Another Internet giant was exposed to lay off 30% of its staff. According to media reports, recently, a number of pulse users broke the news that the e-commerce platform Mushroom Street plans to lay off employees. After the adjustment of the technical department of Mushroom Street, there are only 30 people left, and another Internet giant has been exposed to lay off 30%.
Another Internet giant was exposed to lay off 30% of its staff. 1 The cold winter of the Internet continues.
After Aiqiyi and Aauto Quicker laid off employees one after another, it was revealed that the e-commerce platform Mushroom Street planned to lay off 80% of the technical department staff. It is reported that in April last year, Mushroom Street laid off 14%, and the number was as high as 140.
Technology cut by 80%
Recently, a number of pulse users broke the news that the e-commerce platform Mushroom Street plans to lay off employees, of which the technical department will lay off 80% and the overall layoffs will be about 30%.
According to the news, only 30 people (including front-end, back-end, client, algorithm and other technical related personnel) are left after the adjustment of the technical department of Mushroom Street, only 3 people are left in the operation and maintenance department, and only 2 people are left in the product post. Some commentators said that in the absence of large-scale business to share the cost of technology, technology is naturally the first choice for companies to lay off employees.
It is understood that in April last year, Mushroom Street laid off employees 14%. According to an internal letter sent to all employees by Qi Chen, the founder of Mushroom Street, this round of layoffs is mainly to optimize and adjust some businesses and abolish some businesses left over from historical reasons, especially those that deviate from the core business of e-commerce live broadcast.
Prior to this, at the end of March, Jin Tingting (alias Roy), the person in charge of mushroom street live broadcast, resigned. It is reported that at least three executives of Mushroom Street have left their jobs within one month.
After years of losses, the stock price has fallen by more than 80%.
Mushroom Street is an e-commerce website focusing on fashionable female consumers. 20 16 Mushroom Street and Meili Shuo invested by Tencent merged to form Beautiful United Group. 20 18 12, Mushroom Street was successfully listed on the NYSE with the stock code "Gu Mo".
However, the performance since listing is not good. According to the financial report data, from 20 19 to now, Mushroom Street has been losing money for years, of which the total revenue in fiscal year 20 19 was 1074 billion yuan, with a loss of 500 million yuan; By fiscal year 2020, the total revenue dropped to 835 million yuan, down 22.24% year-on-year, and the loss further expanded to 2.238 billion yuan.
In fiscal year 20021,the total revenue fell to 482 million yuan again, down 42.25% year-on-year, and the loss narrowed to 328 million yuan.
In August this year, according to the first quarter of fiscal year 2022, the total revenue of Mushroom Street dropped to 965,438+0,968,000, a year-on-year decrease of 30.57%. The loss narrowed to 95.497 million yuan.
In terms of stock price, as of February 20th, 65438, Mushroom Street reported $0.42 per share. Since the beginning of this year, the stock price has fallen by more than 80%, and the amplitude has exceeded 144%. At the same time, the latest market value is 45.6 million US dollars, compared with the market value of nearly 654.38+05 billion yuan at the beginning of listing in 2065.438+08, the market value has evaporated by more than 654.38+04 billion, a decrease of more than 97%.
Wind data shows that up to now, Tencent is still the largest shareholder of the company, with a shareholding ratio of 18.4%. The shareholding ratio of founder Qi Chen is 12. 1%. As the largest shareholder of Mushroom Street, it is reported that Tencent has increased its investment after the merger of Mushroom Street and Beauty. At that time, the total valuation of the new company was about 3 billion US dollars, but compared with the current market value of 45.6 million US dollars, it not only shrank seriously, but also became the lowest market value among Tencent listed e-commerce. According to the closing price of Mushroom Street at 65438+February 20, the market value of Tencent's stock is only 8.39 million US dollars, which can be said to be another failure case of Tencent's investment in e-commerce after Vipshop.
Transformation live broadcast e-commerce
Although it has been losing money, Mushroom Street is constantly trying new areas. But because I am not good at "persistence", I missed it perfectly several times.
The first way out is Haitao e-commerce. It is understood that Mushroom Street started as a social activity, focusing on content sharing, and soon began to be a taobao guest, and gained a generous commission from taobao guest through a high conversion rate of shopping guides. However, because it was "blocked" by Taobao, it quickly transformed into an e-commerce.
In 20 14, Mushroom Street tried Haitao, but gave up because it had not been able to get through the chain. I didn't expect Haitao to suddenly prevail 20 15. Not only Taobao, Amazon, JD.COM and other e-commerce platforms have specially opened up the channel of sea purchase, but Netease koala and Ocean Terminal have also settled in.
The second way out is brand sales. The management of Mushroom Street once considered helping big brands to deal with the tail goods, and discussed it internally, but it didn't do it in the end. Then Vipshop will enter the market and the brand will be on fire.
The third outlet is community sharing, which has existed since the beginning of Mushroom Street. However, due to the transformation into e-commerce, this business was marginalized until the rise of another social sharing platform, Xiaohongshu, and the enthusiasm of the e-commerce community was on fire again.
The fourth outlet is social e-commerce. After being invested by Tencent, Mushroom Street was the first batch of internal testing cooperation companies of WeChat applet. For this reason, the company also set up a special team to study the business, but unfortunately it was not made in the end. In the same period, another company named Pinduoduo made it, which brought fire to social e-commerce.
Since the establishment of 20 1 1, after missing several outlets in succession, Mushroom Street finally chose to switch to live e-commerce.
In 20 19, Mushroom Street put forward the "Hundred Flowers Plan", "Migratory Birds Plan" and "Baijia Plan", focusing on developing live broadcast business, recruiting anchors with experience in wearing the United States for the whole network, and encouraging institutions or supply chains with high-quality anchor resources to settle in, hoping to use live broadcast e-commerce as a breakthrough to break the bottleneck of the company's development.
The effort finally paid off. Although the company's revenue has declined year after year, the live broadcast business has begun to grow continuously.
According to the data of the fourth quarter of fiscal year 2020, the total GMV of Mushroom Street platform was 2.42 billion yuan, down 33.8% year-on-year, of which the live broadcast business GMV increased by 5.4 1% year-on-year to 65.438+0.58 1 billion yuan.
As of the first quarter of fiscal year 2022, the total GMV of Mushroom Street platform was 2.864 billion yuan, of which the live GMV reached 2.600 billion yuan, up 65.438+04.7% year-on-year and 65.438+05.8% quarter-on-quarter. The proportion of live GMV of Mushroom Street to the total GMV of the platform increased to 90.8%.
However, perhaps Mushroom Street itself did not think that when it finally transformed into a live e-commerce, the field of live e-commerce suffered a lot of shock. Victoria, Sydney, Lin Shanshan and other big anchors have been banned due to tax issues. With the continuous supervision of the tax authorities on the tax situation of the live broadcast industry and some undisclosed information, the public's trust in the anchor is also decreasing, and the industry is beginning to reflect on the disadvantages of live broadcast e-commerce. ...
In this context, it is still unknown whether Mushroom Street can still make a beautiful "turnaround" by live e-commerce. After all, no one knows how long the enthusiasm of live e-commerce will last after the shock.
Another Internet giant was exposed to lay off 30% of its staff. According to media reports, a number of pulse users recently broke the news that the e-commerce platform Mushroom Street plans to lay off employees, including 80% in the technical department and about 30% in the whole.
According to the news, only 30 people (including front-end, back-end, client, algorithm and other technical related personnel) are left after the adjustment of the technical department of Mushroom Street, only 3 people are left in the operation and maintenance department, and only 2 people are left in the product post. It is understood that in April last year, Mushroom Street laid off 14%, and the number was as high as 140.
In this regard, an insider close to Mushroom Street confirmed to the reporter of Science and Technology Innovation Board Daily that the layoffs are true, mainly for technical teams, and the specific proportion is uncertain.
The financial report shows that in the first quarter of fiscal year 2022, the total GMV of Mushroom Street platform was 2.864 billion yuan, of which the live GMV reached 2.600 billion yuan, up 14.7% year-on-year and 15.8% quarter-on-quarter. The proportion of live GMV of Mushroom Street to the total GMV of the platform increased to 90.8%.
The data shows that in the 20021618 Live Shopping Festival, more than 60% of the transaction volume on the Mushroom Street platform was contributed by the post-90s generation. With the blessing of young users, the live broadcast transaction volume of Mushroom Street during the 6 18 promotion period increased by nearly 40% year-on-year, and the transaction volume of several new categories increased by over 220% year-on-year. The turnover of milk tea and other foods and beverages, which are deeply loved by young people, increased by 67.2% year-on-year, and the turnover of medical beauty products "super picosecond freckle removal" exceeded 1.58 million.
Mushroom Street is an e-commerce website focusing on fashionable female consumers. It is affiliated to Hangzhou Juangua Network Co., Ltd., established on 20 10, with legal representative Qi Chen and registered capital of 100000 yuan. Its business scope includes: performance broker; The second kind of value-added telecommunications services; Network culture management; Drug internet information service, etc.
Another Internet giant was exposed to lay off 30% of its staff. 3 Following the layoffs of iQiyi and Aauto Quicker at the end of the year, another Internet giant, Mushroom Street, also reported layoffs. Compared with Aiqiyi's 20% to 40% layoffs and Aauto's 30% layoffs, Mushroom Street directly put a big move-the technical department laid off 80%.
Today, a number of pulse users broke the news that the e-commerce platform Mushroom Street plans to lay off employees, the technical department will lay off 80%, and the overall layoffs will be about 30%.
According to the data, after the adjustment, there are only 30 people left in the technical department of Mushroom Street and only 3 people left in the operation and maintenance department. Some commentators said that in the absence of large-scale business to share the cost of technology, technology is naturally the first choice for companies to lay off employees.
However, this layoff was compensated by N+ 1.5.
As of press time, Mushroom Street has not yet made an official response to this matter.
Tonight, the share price of Mushroom Street was 2.38% before the opening, and rose after the opening. As of press time, it fell by 0.48% to 0.4 18 USD/share, with a market value of 4 18 1 10,000 USD. It is worth mentioning that compared with 65.438+0.5 billion yuan when it landed on the NYSE in 2065.438+08, the current market value has evaporated by more than 65.438+0.4 billion US dollars, a drop of 97%.
It should be mentioned that at the same time as the layoffs in Mushroom Street, a live broadcast sister Viya was fined 1.38+0 billion for tax evasion and was banned by the whole network.
If the punishment in Sydney and Lin Shanshan only sounded the alarm for the industry, then the punishment of Weiya this time poured cold water on the live broadcast industry in time.
Mushroom Street is fully betting on e-commerce live broadcast. Starting from 20 16, Mushroom Street launched live broadcast business, and plans to deal with various problems through live broadcast and the transformation of e-commerce supply chain. The financial report shows that in the first quarter of fiscal year 2022, the live broadcast service GMV of Mushroom Street has contributed more than 90% to the total GMV of the platform. As of June, 20021year, the live broadcast of GMV in the past1125438+0.3 billion yuan, a year-on-year increase of 27%.
However, relying on live broadcast failed to save performance. The financial report for the first quarter of fiscal year 2022 showed that the GMV of Mushroom Street was 2.864 billion yuan (about 443.6 million US dollars), down 8.2% year-on-year. The total revenue was 92 million yuan (about 6.5438+0.42 million US dollars), down 30.6% year-on-year. The net loss attributable to ordinary shareholders was 95.5 million yuan (about 65.438+04.8 million US dollars), compared with 88.9 million yuan in the same period last year.
Not in accordance with US GAAP, the adjusted net loss was 24.3 million yuan (about 3.8 million US dollars), while the adjusted net loss in the same period last year was 6.5438+0.44 million yuan.
According to the latest announcement, Mushroom Street will announce its financial report for the second quarter of fiscal year 2022 before the closing of US stocks on February 23rd, 65438. However, the conference call and webcast of the results of the second quarter of fiscal year 2022 originally scheduled for 202165438+February 23rd 19:30 (6:30 EST) have been cancelled.