When it comes to vacation home rentals, it seems like no one can really beat Airbnb. But thatâ€™s not the case in China.
A Chinese startup called Tujia is growing quickly in that market, currently worth more than $1 billion. And itâ€™s succeeding thanks to some unique features that are specific to the Chinese market.
Co-founder Melissa Yang says that there are some fundamental differences between Chinese travelers and those in other markets. So the companyâ€™s whole goal is to focus specifically on the needs of Chinese customers.
For example, Tujia makes its properties instantly bookable, since the pace of booking rentals is much faster in China. It also includes some extra amenities for travelers booking expensive rentals, since customers there donâ€™t want to pay for an expensive stay and then have to take their own trash out, as is the case with a lot of Airbnb rentals in other markets.
The Power of Knowing Your Market
Tujia demonstrates the power of knowing your market. When thereâ€™s a big company that offers a unique service as Airbnb does, you could try to compete with them on a larger scale, likely with fewer resources at your disposal. Or you could focus on one specific niche market. A smaller geographical region or other subset of the larger market are two examples of this. Get to know those specific customers so well you can tailor your product or service just for them.