China’s Food Delivery Giants Post Heavy Profits Drop as Subsidy Battle Intensifies

China’s Food Delivery Giants Post Heavy Profits Drop as Subsidy Battle Intensifies

Chongqing - China’s food delivery industry is facing its fiercest competition in years. Meituan, JD.com, Alibaba’s Ele.me, and Taobao Shangou all saw profits squeezed in the second quarter of 2025, as aggressive subsidies boosted orders but eroded margins. A Meituan delivery rider picks up an order from a CHAGEE tea shop in Yubei District, Chongqing. (Photo/Zheng Ran) Meituan reported second-quarter revenue of 91.8 billion yuan ($12.87 billion)…

China’s Delivery Giants Face Off: What the Market Share Battle Means for the Future

read the original version on: www.retailnews.asia The on-demand delivery landscape in China is heating up, with three leading platforms bracing for increased costs and tighter margins as competition intensifies. A fresh analysis from S&P Global Ratings reveals that aggressive promotional strategies, including enticing offers like free fresh-made beverages, are prompting platforms to invest heavily—projected at a staggering RMB 160 billion over […