Airbnb China handed in a beautiful report card:
In the second half of 2018, Airbnb's business in China is expected to grow threefold. The domestic tourism market has exceeded 50% of the total business volume. Among them, Xiamen, Changsha, Guiyang and other non-first-tier cities are growing rapidly, while Shenzhen's business volume in first-tier cities is growing four times.
During this whole year, Airbnb China has spent a lot of energy on marketing. January's Spring Festival marketing, May's Spring Marketing, in August, also launched Zhao Youting, Ma Sichun and other star advertising. This transcript of 2018 also demonstrates the immediate impact of these marketing efforts.
But for Airbnb China, the appointment of Peng Tao, China's regional president, in August this year was a more important change. Previously, he was the founder and CEO of bread travel. In Airbnb China, he is responsible for formulating and implementing local market strategies in China. And Airbnb co-founder Bergsky still serves as chairman of China. He comes to China once a month and exists as a communicator between China and the United States.
For a long time, the position of the top person in charge of China has not been decided. Before Peng Tao, Ge Hong, head of China, had only been a vice president for less than five months. Before that, Airbnb China was headed by Henek Lo, former general manager of Greater China, Sean Pan, head of China operations, and Varsha Rao, former Chief Operating Officer.
In the Chinese market, they have maintained their consistent rhythm. Abe Ying was officially established in 2008, began to lay out in the Chinese market in 2013, and officially announced its entry into the Chinese market in 2015. It took Airbnb seven years to enter China.
Peng Tao, President of Airbnb China
According to data released by the National Tourism Administration in February this year, Chinese people completed 5 billion domestic tours in 2017. At the same time, China continues to maintain its position as the largest outbound tourist and outbound consumer. In 2017, the number of outbound trips reached 123 million, and the cost was 115.29 billion US dollars. Brian Chesky, co-founder of Airbnb, has also said that the Chinese market is undoubtedly one of the most important markets in the world.
But there have been too many failures for Silicon Valley Technologies to enter the Chinese market. Google, which appeared in the Chinese market and then disappeared, has been trying hard to get on-line at home, but has not yet succeeded in Facebook. Uber, which was finally acquired by Chinese competitors, has entered China with great momentum, but can not display its impressive notebooks and leaders as well as in foreign markets. These Silicon Valley companies, which are at the centre of public opinion and have attracted much attention from capital and users, are not going well in the domestic market, which makes the market in China a mystery.
Although Airbnb's high growth rate is closely related to the company's base in the Chinese market, it gradually opened up the situation when its Silicon Valley partners were losing ground in the Chinese market.
Airbnb can choose to develop slowly in China, largely thanks to its vast overseas market. Abe Ying now has more than 5 million houses in more than 191 countries and regions and 81,000 cities.
The outbound travel of Chinese tenants is an important entry point for Airbnb in China. Many of the landlords interviewed by PingWest said that they first met Airbnb and chose their house when they were out of the country. They changed from original tenants to landlords.
With its own large data analysis team, Airbnb has also adjusted its service cost ratio for the Chinese market. Since October this year, tenants have changed from 6% - 12% to no charge, while landlords have increased from 3% to 10%. Peng Tao, the president of China, said that this was to be more in line with China's actual situation and consumer habits. He believed that other growth was natural as long as beneficial changes were made to users.
Airbnb now has four independent business units, including housing, experience, luxury housing, and China. Airbnb China is the only region with a product and technology R&D team with more than 200 people besides US headquarters.
Shared accommodation service standard, which was published by the National Information Center Shared Economy Research Center this year, shows that in 2017, the share accommodation turnover accounted for 7.3% of the national accommodation turnover. In the past two years, his growth rate reached 65%, while the traditional accommodation industry grew by only 4.8%. These figures are enough to show that the Chinese market has enough imagination space.