You might also like:
AIRBNB plans to hire more staff on its engineering team in China, where it hopes to make bank by attracting affluent millennials to its platform, reports Bloomberg.
“The most important thing is that we have an engineering team on the ground and local people in charge of the China business,” Blecharczyk said to Bloomberg.
“They understand their country the best. Even though we are a global technology platform, they have the technical ability to go and change things.”
In particular, Airbnb is chasing the young, upwardly mobile segment of China’s population – millennials make up more than 30 percent of the entire population – who are spending more and more on travel every year.
Airbnb’s plans to invest in China will include a relaunch of its service targeted at onboarding younger travelers. The new engineering team will be looking to set up its own local payment platform as well as Mandarin language options for customer support.
Market research outfit Fung Global Retail and Technology estimates that Chinese tourists will spend US$315 billion on overseas spending this year alone; by 2021, that number is set to rise to US$457 billion.
Fung also points to the fact “more Chinese travelers are now making their own travel arrangements in order to enjoy a more personalized travel experience,” indicating a trend Airbnb could take advantage of.
https://www.youtube.com/watch?v=DhYHGPAXk_Y
Video can’t be loaded: Airbnb China Brand Launch – Welcome Each Other With Love (https://www.youtube.com/watch?v=DhYHGPAXk_Y)
Airbnb could be facing stiff competition in China for market share, as they’ll be competing with domestic leaders Tujia and Xiaozhu. However, Blecharczyk said there’s a slight market difference, with Tujia and Xiaozhu catering to the local market while Airbnb reaches out to Chinese travelers looking to go overseas.
“We have been marketing Airbnb as a way for the Chinese to see the world,” Blecharczyk said to Bloomberg.
“Some might say we got off to a slow start in China, but if you look at how we’ve grown, it demonstrates a strong organic traction that I think is going to benefit us in the long term,” he said.
After years of feeling out the market, the world’s fourth-largest startup in 2017 appointed a Chinese chief and declared its intention to take on domestic market leaders.
The post Airbnb ramps up China team to target rich millennials appeared first on Travel Wire Asia.
Source: travelwireasia.com