Meituan-Dianping

Meituan.com is a group-discount website which sells vouchers from merchants for deals, subject to a minimum number of buyers who demand a discount, from which Meituan generates commissions.[3] Meituan.com generates most of its revenue from mobile application services. The company has partnering agreements with over 400,000 Chinese local businesses. Meituan accounts for the largest market share by revenue, followed by Lashou, 55tuan and 58tuan [3][8]

Piloted in Shanghai and Beijing, Meituan had rapidly expanded to second-tier and third-tier cities, totalling 200 million users in 2015. Meituan.com became a dominating company in China after a rapid consolidation of the deal-of-the-day companies. Earlier estimates show that there were 2000 voucher selling companies in the mid 2000s and due to intense competition in the industry only a few have emerged as dominant players.[9] In 2014 it accounted for 60% of the market share of deal-of-the-day group-buying websites in China. The company received initial funding of $12 million from Sequoia Capital. In May 2014, global growth equity firm General Atlantic led a $300 million series C funding round with two other investors.[10][11][12][13] On 8 October 2015, Meituan and Dianping, a Chinese group buying site, became one company.[14] On 19 January 2016, Meituan Dianping announced that it has raised more than $3.3 billion.[15] On September 20, 2018 Meituan Dianping debuted on the Hong Kong stock exchange at an IPO price of HK$69 per share.[16]

Meituan is a Chinese O2O (online-to-offline) local life service platform, connecting over 240 million consumers and five million local merchants via a comprehensive array of e-commerce services and products.[17] It has 600 million users and almost 4.5 million business partners that cover nearly all China. About 35 million people use the service everyday. Meituan offers a one-stop “travel life” service platform for users in order to achieve coverage of full consumption in different places. Therefore, now there are 70 million users of hotel and travel business in total.[18]

The company is headquartered in Beijing and was founded in 2010 by Wang Xing.[19] Prior to starting Meituan, Wang founded Xiaonei and Fanfou, which were based on Facebook and Twitter respectively.[9]