We also strive to give better services to our consumers. So we have upgraded consumer protection and also services throughout the entire shopping experience. For example, for most of the product categories, the shipping processing time has been cut down from 72 hours to within 48 hours. Our virtual platform ecosystem of more savings and better services has earned us a decent consumer and seller feedback. Also, our Q1 growth is early testament to our progress in building up the platform ecosystem. Looking ahead, we still need to remain down to earth and further strengthen our core capabilities, so that we can create more value for consumers. For example, we are launching the 10 Billion Ecosystem Initiative to further support quality supply. Thank you.
Unidentified Company Representative: Hi, operator, I think we are ready to take the next question on the line.
Operator: The next question comes from Natalie Wu with Haitong International.
Natalie Wu : Thanks for taking my question. So I have two questions here. First one is with June 18 approaching, we see that many of your peers have rolled out this year’s promotion, which seems to be very aggressive. Just wondering what’s your response and how do you explain — how do you plan to maintain your competitive advantage, specifically for pricing? Do you think there will be an endless spiral of increasing discount in short or the list price? And secondly, we noticed that your profitability margin this quarter is another sequential decrease. Just wondering what are the major reasons behind? Is it because of the seasonality or competition? Does it mean that you are now actively spending extra for growth?
Jiazhen Zhao: This is Jiazhen here, and thank you for your questions. I will share my views on competition. So instead of paying too much attention to what competitors are doing, we actually focus more on how we grow in competition. We view competition as a testing ground, and it motivates us to iterate quickly. Just I have mentioned in my remarks, we are always consumer-oriented, and we actively and positively embrace all types of competition. We are accelerating to build up a healthy ecosystem of more savings and better services. Our more savings essentially comes from retail efficiency improvement. And we will continue to strengthen our R&D to help better match supply and demand. We will also root ourselves deeply in more production regions to connect quality products to consumers directly.
So for example, in initiatives such as our agriculture initiative — agricultural cloud initiative, we are leveraging our supply chain expertise to offer more users quality and also affordable agriculture products. And we hope to further improve our efficiency and turn it into a sustainable price advantage for consumers. At the same time, we will also continue to increase discounts and issue more coupons to give back to consumers directly. And better services is another important area we are optimizing our service quality throughout the entire shopping experience. So for example, we offer extra care to the elderly people and also consumers living in remote areas, and we give them preferential customer services. We have also upgraded our post-sales services such as offering consumers the option to receive a refund without having to return items.
And we are launching a dedicated 10 Billion Ecosystem Initiative. And this aims to channel more resources towards high-quality sellers to support SMEs and also quality businesses, and enhance the platform overall service efficiency and quality. And we will continue to focus on sales improvement in competition and strive to create more value for our consumers. Thank you.
