Jiang Xiao

Jiang Xiao asked about the success of KE Holdings' renovation business in Beijing and Shanghai, questioning if high Lianjia market share is a key factor, and how agents will be motivated to cross-sell in cities with lower market share.

Answer

CFO Tao Xu explained that while core cities are a focus for proving the model, second and third-tier cities offer significant long-term growth due to lower property costs and larger renovation budgets. He detailed a multidimensional framework to motivate Lianjia agents, including deepening expertise, incentive programs like 'bigger coins' for online promotion, and AI-powered lead identification for high-scoring homes.

Jiang Xiao from Barclays questioned whether KE Holdings' high market share with the Lianjia brand in Beijing and Shanghai was the primary driver for its renovation business success, and how agents in other cities with lower market share would be motivated for cross-selling.

Answer

Tao Xu, CFO of KE Holdings, emphasized the strategic value of second and third-tier cities due to lower property costs allowing larger renovation budgets. He explained that current efforts are concentrated in core cities, but future expansion will leverage a multidimensional framework including agent education, incentive programs like "bigger coins" for online promotion, and AI for identifying high-likelihood renovation leads.