Interview: Airbnb's China Rival Tujia and the Power of Home-Field Advantage

When Tujia announced it had a record number of bookings in one day this month — 56,000 room nights in total for Aug. 5 — it was the first time that the "Airbnb of China" as it's often referred to, had disclosed data of this type. And while 56,000 room nights seems relatively small in comparison to Airbnb (more than 101,370 room-nights in a single day on average) it's a significant sign that the world's largest travel market is warming up to the idea of alternative accommodations and the sharing economy. Tujia, which means "journey home," got its start three years after Airbnb in 2011, and while it may not be worth much as Airbnb is today ($30 billion), it is worth more than $1 billion. And the company continues to grow. It acquired rival Mayi.com in June and now offers 430,000 listings in 312 cities in mainland China, as well as overseas in destinations throughout Southeast Asia, Japan, and South Korea. To get a better sense of where Tujia is headed, and what the environment for alternative accommodations is like for the Chinese travel market, Skift spoke to Tujia co-founder and chief technology officer Melissa Yang. For one, she isn't concerned about other alternative accommodations providers like Airbnb, Wyndham Vacation Rentals, or HomeAway (one of Tujia's investors) from trying to do more business on Tujia's home turf. Tujia also has partnerships with Ctrip and HomeAway (parent company Expedia owns nearly 10 percent of the company). Homegrown Chinese tech startups often occupy a stronghold in the Chinese market. For example, earlier this month. Uber sold its China business to its main competitor, Didi Chuxing, a move that reflects the challenges for Western companies to do business in what already is the largest consumer market in the world, let alone the biggest travel market. Home-field advantage tends to be a given in China, as in many other places. Where Amazon has struggled, Alibaba has flourished. Instead of Facebook, there's WeChat. Instead of Google, you have Weibo. Will the same happen to Airbnb? When asked if she thinks a similar situation could play out between Airbnb and Tujia, as it did with Didi Chuxing, China's homegrown on-demand car service and Uber China, Yang said, flatly, "I don't have any comments on this." Note: This interview has been edited for length and clarity. Tujia Isn't Airbnb Skift: Whenever we hear Tujia, it's always followed by, "Oh, that's the Airbnb of China." How do you feel about that