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Why Lianjia's Business Model is so successful?

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Lianjia’s Company Overview

Lianjia, also known as Homelink, is a leading real estate brokerage company based in Beijing, China. Established in 2001, it has grown exponentially and currently operates in more than 28 cities across the country, with over 8000 branches. Lianjia's primary business revolves around providing comprehensive real estate services including second-hand housing transactions, new house sales, rentals, decoration, financial and other related services. With its mission to make housing transactions more transparent, efficient, and customer-friendly, Lianjia leverages cutting-edge technology and big data to provide users with high-quality and personalized services. Lianjia's business model revolves around acting as an intermediary between buyers and sellers of real estate properties. They provide a platform where sellers can list their properties and potential buyers can browse and make purchases. Additionally, they also offer a range of related services such as financial services, home decoration, and property management, further enhancing their value proposition. As for their revenue model, Lianjia primarily earns through commission fees from successful property transactions facilitated through their platform. The commission rate varies depending on the type of property and the specific services utilized. Additionally, they also generate revenue from the various ancillary services they offer. For instance, they earn fees from their home decoration service, property management service, and from providing financial services such as mortgage loans. This diversified revenue stream not only ensures a steady income but also enables Lianjia to cater to a wider range of customer needs.

Country: China

Foundations date: 2001

Type: Private

Sector: Consumer Services

Categories: Real Estate

Lianjia’s Customer Needs

Social impact:

Life changing: affiliation/belonging

Emotional: design/aesthetics, provides access

Functional: organizes, integrates, connects, informs

Lianjia’s Related Competitors

Lianjia’s Business Operations


Cross-selling is a business strategy in which additional services or goods are offered to the primary offering to attract new consumers and retain existing ones. Numerous businesses are increasingly diversifying their product lines with items that have little resemblance to their primary offerings. Walmart is one such example; they used to offer everything but food. They want their stores to function as one-stop shops. Thus, companies mitigate their reliance on particular items and increase overall sustainability by providing other goods and services.


A brokerage firm's primary responsibility is to serve as a middleman, connecting buyers and sellers to complete transactions. Accordingly, brokerage firms are compensated through commission once a transaction is completed. For example, when a stock trade order is executed, a transaction fee is paid by an investor to repay the brokerage firm for its efforts in completing the transaction.

Customer relationship:

Due to the high cost of client acquisition, acquiring a sizable wallet share, economies of scale are crucial. Customer relationship management (CRM) is a technique for dealing with a business's interactions with current and prospective customers that aims to analyze data about customers' interactions with a company to improve business relationships with customers, with a particular emphasis on retention, and ultimately to drive sales growth.

Digital transformation:

Digitalization is the systematic and accelerated transformation of company operations, processes, skills, and models to fully exploit the changes and possibilities brought about by digital technology and its effect on society. Digital transformation is a journey with many interconnected intermediate objectives, with the ultimate aim of continuous enhancement of processes, divisions, and the business ecosystem in a hyperconnected age. Therefore, establishing the appropriate bridges for the trip is critical to success.

Online to Offline O2O:

Online to offline is a term (often abbreviated as O2O) used in digital marketing to refer to systems that entice customers to purchase products or services from physical companies while they are in a digital environment.

Two-sided market:

Two-sided marketplaces, also called two-sided networks, are commercial platforms featuring two different user groups that mutually profit from the web. A multi-sided platform is an organization that generates value mainly via the facilitation of direct contacts between two (or more) distinct kinds of connected consumers (MSP). A two-sided market enables interactions between many interdependent consumer groups. The platform's value grows as more groups or individual members of each group use it. For example, eBay is a marketplace that links buyers and sellers. Google connects advertising and searchers. Social media platforms such as Twitter and Facebook are also bidirectional, linking consumers and marketers.

Online marketplace:

An online marketplace (or online e-commerce marketplace) is a kind of e-commerce website in which product or service information is supplied by various third parties or, in some instances, the brand itself, while the marketplace operator handles transactions. Additionally, this pattern encompasses peer-to-peer (P2P) e-commerce between businesses or people. By and large, since marketplaces aggregate goods from a diverse range of suppliers, the variety and availability are typically greater than in vendor-specific online retail shops. Additionally, pricing might be more competitive.

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