Last year, Xiongbai reached a valuation of RMB 10 billion from zero, but before that, the Republic also had a great Internet transportation company - Didi Chuxing!

This company has pulled the company to US$10 billion in three years, with a valuation of RMB 70 billion. So how did it rise?

Its strategic and tactical nature is very simple.

It is a bloody battle of sky-high subsidies. Didi Chuxing’s success is a benchmark event in Chinese Internet companies. So many companies now have a solution when they encounter promotion problems: subsidies!

Xiongbai shared bicycles use a vast advertising marketing model. Under the influence of idol stars, they quickly occupied the market. The Alibaba giants who invested in of can no longer sit still. They immediately urged of Dai Weiwei to quickly develop marketing confrontation strategies.

Now of has raised more than 3 billion yuan again, which is rich and powerful.

Dai Weiwei thought that Didi Chuxing had the first place in the online car-hailing industry, and it won the Chinese market through subsidies and money-burning model. Didi dared to fight an expensive price war with its American competitor Uber. By taking generous subsidies, it beat Uber, the founder of taxi-hailing applications, to the ground. Uber directly lost $1 billion in the Chinese market, and Didi finally monopolized China's online car-hailing industry.

He Dai Weiwei decided to copy this model!

Then we must first study Didi-Tun this model.

Smart people know that the sky-high subsidy must know that this subsidy is not as simple as giving money. There are open conspiracies, secret battles, bayonets, and product black magic.

Didi first defeated the earliest taxi-hailing software with rogue and financing models. Didi used offensive methods to simultaneously install rogue and Didi Taxi, and prompts would automatically pop up on mobile phones that installed rogue and rogue, guiding users to uninstall rogue; for a long time, Didi would push fake orders to the driver. Although the driver could not get it, he would feel that he was slow to do it. This was its early rogue method.

Secondly, Didi’s subsidy tactics for taxi-hailing software were actually not originally from Didi.

But Didi has reached its peak!

The first thing that started subsidies was the 100-meter taxi shaking.

At first, it was a subsidy for the driver. The taxi driver recommended a passenger to install a 10-meter taxi rock app to reward the driver for 10 yuan, and a driver would reward 20 yuan. This method really worked and the driver was very motivated. Later, he began to try subsidy for passengers. Passengers successfully took a taxi using a 10-meter taxi and would receive a subsidy for phone bills.

However, problems arose soon after the shaking capital chain.

So he shook to death.

After Didi succeeds!

In August 2013, WeChat was launched, but compared with Alibaba's Alipay, WeChat Pay has always lacked a very explosive application scenario. Didi and WeChat bundled.

So Didi and Ma Huateng successfully reached a strategic cooperation, and Didi connected to WeChat Pay.

Tencent actually started the payment field, and Alibaba felt a crisis.

In the taxi-hailing industry, Alibaba also saw business opportunities, so it invested in Didi Chuxing's other unknown competitor, "Quidi Taxi", and integrated its mobile payment application "Alipay" with Kuidi Taxi.

Fight against the emerging WeChat Pay.

With the support of two Internet giants, Didi Chuxing and Kuaidi Taxi also aimed at each other.

If you want to defeat the other party, Didi will subsidize this trick. Tencent invests and subsidies will be amazing. Didi's trading volume soars, and the subsidies have exceeded 100 million in a week.

For drivers and users, binding bank cards and credit cards has a relatively high threshold for use, and it also brings safety hazards. It is easy to cause user loss during actual operation. It is very convenient to access WeChat payment, basically one

The key is done. Adding cash subsidies, the effect is amazing.

In late January, Kuaidi launched a more fierce subsidy campaign to subsidize passengers and drivers. At that time, Didi's subsidies were cancelled, the situation quickly reversed, and Didi's transaction data began to decline sharply.

WeChat and Alipay spending "decisive battle" between payment.

During the competition, Didi Chuxing took on an inspirational story called "Seven Days and Seven Nights".

In two weeks, Didi Chuxing's order volume increased by 50 times, and 40 servers could not hold on. In the end, Cheng Wei called Tencent's founder and CEO Ma Huateng overnight. Ma Huateng mobilized an elite technical team at Tencent and prepared 1,000 servers overnight. In Yinke Building on Suzhou Street, Didi Chuxing fought for seven days and seven nights, rewriting the server architecture.

At that time, the engineers and programmers who built background programs at Didi Chuxing worked overtime and worked continuously for seven days and seven nights. In the end, some people could not take off their contact lenses, and some people fell into a coma.

The two sides invested a total of about 2 billion yuan in subsidies.

There is no doubt that at the same time, order volume is also growing rapidly.

The subsidy war is fully launched.

The order volume rose rapidly, and then the two sides entered a tug-of-war, and the money burned faster and faster, from millions to tens of millions a day in the early days, and then at the peak of March and April, the 100 million yuan that could be burned a day. The quick subsidy was 10 yuan, and Didi subsidy was 11 yuan; Didi subsidy was 11 yuan, and the quick subsidy was 12 yuan. Later, product manager Ma Hua made another idea: each order was randomly subsidy, ranging from ten to twenty yuan. In this way, the other party could not follow up at all.

At first, Didi's hands were trembling when she was burning money frantically. The original intention was to grab the market, but later she found that the more money it burned, the more valuable it was. The subsidy war was not a zero-sum game, but a Zhengsum game.

When I first started burning money, Didi didn’t know whether it was for the fastest or for itself, but the taxi market expanded rapidly, jumping from one order of hundreds of thousands to a few million orders. At the same time, the market share of both parties not only did not decrease, but instead served as an education.

The role of the market. Instead of spending money on TV advertising, it is better to let users experience the product directly. This is the deepest experience accumulated in the subsidy war.

The powerful online ride-hailing industry leader Uber suddenly targeted the huge Chinese market. Investors of Didi Chuxing and Kuaidi Taxi finally realized that the two companies could no longer fight.

Otherwise, they will all be defeated by Uber, and each of them will not be the opponent of the American behemoth!

So they united and agreed to the outside world, which reminded people of the alliance between the Kuomintang and the Communist Party.

In February 2015, the two companies merged, Didi Chuxing accounted for 60% of the new company's shares, and Didi Chengwei took over Kuaidi Taxi.

Let's fight against the American uber together!

The Uber American has some competitive advantages that are difficult to surpass, such as better applications and more stable technologies. Investors valued Uber for US$42 billion, which is 10 times the valuation of Didi Chuxing at that time. As Didi Chuxing focuses on the merger of fast taxi, Uber is catching up: it controlled nearly one-third of the Chinese private car taxi market in a few months.

Didi Chen Wei said: "At that time, we felt like the People's Liberation Army of the past. We only owned rifles and were bombed by enemy aircraft and missiles. Their weapons were very advanced."

So, Chen Wei held a meeting with some executives to discuss the matter. They analyzed Didi Chuxing's daily transaction volume and adjusted the amount of subsidies given to drivers and passengers. Chen Wei also regularly reminded employees: "If we fail, the result will be destruction."

Didi's counterattack is still a game of subsidy and money-burning.

Of course, there is also black technology in December, and Dimi was launched. This is a point reward system for drivers, which relies on big data to prevent drivers from picking orders. The product logic of taxi software is how to get users to get a taxi. The subsidy is to encourage users to use cars and how to motivate drivers to get a taxi. This depends on Dimi. Dimi has increased Didi's taxi success rate by 10%.

After the birth of Dimi, Cheng Wei began a large counterattack.

Didi Chuxing said it would subsidize RMB 1 billion, which is unmatched by Uber. At the same time, Chen Wei and his consultants began to find ways to crack down on Uber in the US market. They compared Uber to octopus, with their tentacles all over the world, but their bodies were still in the United States.

"Didi decided to stab the octopus' abdomen."

Didi Chuxing expands its US market business and goes to the United States to spend money. Didi is fierce, and Uber has to follow the trend and subsidize.

At the peak of the confrontation between the two sides, Didi Chuxing and Uber spent more than $1 billion a year to provide subsidies to drivers and passengers. Therefore, both companies need new capital injections.

Apple injects $1 billion into Didi Chuxing.

A month later, Uber raised funds from Saudi Arabia. The signal sent by the two companies was clear: the two sides would engage in a protracted money-burning war.

In the end, the uber couldn't burn Didi and lowered his head.

That summer, almost everyone in the world knew about the other title of "uber killer", Chen Wei, the head of Didi.

Uber agreed to sell its Chinese business to Didi Chuxing and withdraw from the Chinese market.

For Uber, this is also a faceless exit because it acquired 17.7% of Didi Chuxing shares and $1 billion in cash.

Didi completely uses money to kill all its competitors. There are more than 40 players in the taxi market during peak hours. This kind of gameplay is very brutal. The company can't afford to play without so much money.

Last year, Didi Taxi disclosed a new round of financing totaling US$7.3 billion in June. Investors include Apple, China Life, Ant Financial, etc. The company received a valuation of US$28 billion in this round of financing. Didi Chuxing received support from two Chinese Internet giants, including Alibaba and Tencent!

Didi won, and the biggest magic weapon was subsidies.

Now of the financing of has exceeded that of Xiongbai shared bicycles!

With money, Dai Weiwei decided to restart the subsidy tactic and have a decisive battle with Xiongbai Hornets!
Chapter completed!