Alibaba Group Holding Limited 117 Management Discussion and Analysis Our Monetization Model Our marketplaces and businesses are highly synergetic, which creates an ecosystem that enables consumers, merchants, brands, retailers, other businesses, third party service providers and strategic partners to interconnect and interact with each other. We leverage our leading technologies to provide various value propositions to participants in our ecosystem and realize monetization by offering different services and creating value under each of our business segments. We derive majority of our revenue from our China commerce segment, which accounted for 69%, 70% and 69% of our total revenue in fiscal years 2020, 2021 and 2022, respectively, while International commerce segment, Local consumer services segment, Cainiao segment, Cloud segment, Digital media and entertainment segment, and Innovation initiatives and others segment contributed in aggregate 31%, 30% and 31% in fiscal years 2020, 2021 and 2022, respectively. The following table sets forth the principal components of our revenue for the periods indicated: Year ended March 31, 2020 2021 2022 RMB % of revenue RMB % of revenue RMB US$ % of revenue (in millions, except percentages) China commerce: China commerce retail 339,550 67% 487,361 68% 575,993 90,861 67% China commerce wholesale 12,427 2% 14,322 2% 16,712 2,636 2% Total China commerce 351,977 69% 501,683 70% 592,705 93,497 69% International commerce: International commerce retail 24,323 5% 34,455 5% 42,668 6,731 5% International commerce wholesale 9,594 2% 14,396 2% 18,410 2,904 2% Total International commerce 33,917 7% 48,851 7% 61,078 9,635 7% Local consumer services 29,660 6% 35,442 5% 43,491 6,861 5% Cainiao 22,233 4% 37,258 5% 46,107 7,273 5% Cloud 40,301 8% 60,558 8% 74,568 11,763 9% Digital media and entertainment 29,094 6% 31,186 4% 32,272 5,091 4% Innovation initiatives and others 2,529 0% 2,311 1% 2,841 447 1% Total 509,711 100% 717,289 100% 853,062 134,567 100% Starting from the quarter ended December 31, 2021, our chief operating decision marker (“CODM”) started to review information under a new reporting structure, and segment reporting has been updated to conform to this change, which also provides greater transparency in our business progress and financial performance. Comparative figures were reclassified to conform to this presentation. Our monetization and profit model primarily consists of the following elements: China Commerce China Commerce Retail We generate revenue from merchants by leveraging our consumer insights and data technologies which enable brands and merchants to attract, engage and retain consumers, complete transactions, improve their branding, enhance operating efficiency, and offer various services. On the consumer side, leveraging these insights and technologies, as well as our supply chain capabilities, we also generate revenue from product sales for our direct sales businesses.
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