In the past two days, I have flipped through the 2023 performance of Shell Housing.
Just looking at the transaction volume, income and profit, Beike's performance is really bright. In 2023, Beike's GTV increased by 20.44% year-on-year to 3.14 trillion yuan, with the growth mainly coming from the second-hand housing transaction value, which increased by 28.64% year-on-year to 2.03 trillion yuan, and the new housing transaction volume increased by only 6.65%.
Such performance is a true reflection of the current situation of the real estate industry.
According to the data of the Bureau of Statistics, the sales of commercial housing in 2023 will be 11.66 trillion yuan, a year-on-year decrease of 6.5%. According to the Shell Research Institute's own calculations, the national second-hand housing transaction volume was 7.1 trillion yuan, a year-on-year increase of 30%.
This is still a quality of performance growth, which is reflected in four aspects of data:
1. In terms of revenue, Beike's income increased by 28.2% to 77.8 billion yuan, gross profit increased by 57.25% to 21.7 billion yuan, and gross profit margin also increased by 5.16 percentage points to 27.89%. For the first time since listing, the net profit was 5.89 billion yuan, and the adjusted net profit soared 244.64% to 9.798 billion yuan.
2. In terms of business, the income of second-hand housing increased by 16.18% and the income of new housing increased by 6.62%, the home improvement business became a new growth point, with the income soaring by 118% to 10.9 billion yuan, and the income of emerging business soaring by 200% to 8.4 billion yuan.
3. In terms of the output ratio of stores and people, the number of stores increased by more than 3,300, the number of brokers increased by 33,600, the average revenue ratio of stores increased from 1.4985 million yuan to 1.7756 million yuan, and the average revenue ratio of brokers increased from 154,100 yuan to 181,900 yuan.
4. In terms of profitability, the earning capacity of second-hand houses has decreased slightly from 1.53% in 2022 to 1.38%, and the earning capacity of new houses has remained at the same level of 3.05% last year. The profit margin of real estate transactions in the core business increased, with the profit margin of second-hand housing and new housing increasing by 7.34 percentage points to 47.2% and 2.95 percentage points to 26.56% respectively.
It has to be said that Beike has survived the downward cycle by relying on the success of its business model. But this beautiful profit data is deducted from the hands of franchisees and brokers.
First of all, last year, the number of Beike stores and the broker team were expanding on a large scale, increasing by more than 3,000 and 30,000 respectively, but it is likely that franchisees and external brokers will be introduced by reducing franchise fees and platform service fees.
There are two supporting facts, one is that the number of Lianjia stores submitted by Beike itself has decreased, and the cost of internal commission is the same as that of the same period; second, the income related to platform services and franchise services has not increased significantly, from 3.5 billion yuan to 5.1 billion yuan, and the external commission cost has increased by about 5.2 billion yuan.
The cost of 5.2 billion yuan has generated as much as 514 billion yuan of real estate transaction volume, which is very cost-effective.
Secondly, with the benefits, it depends on how to improve the profit margin, which is nothing more than: to increase the sales cost of the market channel to the developer, increase the proportion of consumer commissions, increase the cost of store services, reduce personnel, and reduce the proportion of broker commissions.
Judging from the financial report data, Beike did not explain the developer's market channels and consumer commission departments, and did not make inferences. The increase in revenue mentioned above in the store service fee is not obvious, and it is likely to remain the same.
At the same time, we also saw from the sharing of the departing employees of the social platform Beike that Beike has lowered the threshold for joining and facilitated the rapid deployment of stores and brokers. It is also reported that when the home improvement business was promoted, many people chose to leave when the real estate internal agent was transferred to the home improvement business.
Whether it's true or not, please leave a message from someone in the know.
Then the rest is the staff reduction, the broker commission part.
In November 2021 and May 2022, Beike has carried out two rounds of large-scale layoffs in R&D, marketing, and operation departments, with the layoff ratio reaching 50%, with more than 10,000 employees.
Therefore, last year, under the large-scale deployment of stores and personnel, it was impossible to go the other way around. In 2023, the number of employees will increase from 98,500 to 116,300, of which 17,200 will be agents and support staff, accounting for 96.6% of the new employees, and the cost of salaries and benefits payable will increase from 958 million yuan to 1.22 billion yuan.
If you want to increase your income, the most effective and direct way to increase your income is to reduce the broker's commission rate.
Compared with the income from real estate transactions and commissions, Beike's commission share has dropped from 1.62% to 1.51%. If you want to increase the motivation of franchisees and external brokers, you will definitely not reduce the commission share, which has increased from 1.28% to 1.29%, but internal brokers have dropped from 1.95% to 1.72%.
In 2023, the transaction volume completed through Lianjia will reach 1.04 trillion yuan, and the commission share will be reduced, and the revenue will immediately increase by nearly 2.4 billion yuan.
In the downturn of the industry, the commission share given to franchisees by Beike is not high, and the commission share of internal brokers is also reduced.
Needless to say, with its own industry dominance and ability to control market channels, the financial data of Beike is a good proof.
The transaction volume of second-hand housing was 2.03 trillion yuan and the transaction volume of new housing was 1 trillion yuan, corresponding to the 11.66 trillion yuan and 7.1 trillion yuan mentioned above, and the proportion of the shell housing market was as high as 8.6% and 28.6%.
Such a high market share is enough to reflect the market dominance of Beike Housing.
Another important point is that Beike's housing business is mainly concentrated in first- and second-tier cities, and it has to be subtracted a lot on the basis of the national transaction volume, the numerator does not change the denominator, and the market share is even more unimaginable.
With such an ability, how much profit do you want, isn't it possible to change the franchise requirements and adjust the commission score?
Making money is so easy!