3690.HK: Rapidly Rolling Out Meituan Selected In More Places; Food Delivery GTV Likely To Grow Y/Y In October And November
Meituan announced in early September that it will expand its community group purchase service, Meituan Selected (美团优选), to 1,000 Chinese cities and counties by the end of 2020. Based on our data, in early December, Meituan Selected is available in 277 cities vs. 186 on November 16th. For food delivery, Meituan market share decreased slightly in October and November 2020 compared with 3Q20, as Ele.me organized successful “11.11” promotional events; however, Meituan’s market share is still close to 70%. Based on our data and calculation, Meituan’s 4Q20 revenue is likely to be better than consensus at RMB36,110M (28.2% Y/Y growth).