Zhejiang Homestays: From Brutal Growth to Standing Alone

In Zhejiang Province, China, homestays have grown rapidly over the past few years. In 2015, there were only about 1000 homestays in Zhejiang, but by 2020, that number had exceeded 50,000. This rapid development has caused problems such as uneven quality, a lack of regulation, and even illegal operations.

However, some homestay owners have been able to stand out from the crowd and establish themselves in the industry. They have invested in the quality of their properties, provided unique experiences for guests, and maintained responsible operations.

One such example is the "Dujuanshan Art House" in Moganshan, Deqing County, which offers a tranquil environment and artistic atmosphere. The owner, Wu Jun, renovated an old house and turned it into an art gallery and homestay. He also provides his guests with opportunities to learn about traditional Chinese painting and calligraphy.

Another successful homestay is the "Haifeng Yunge" in Ninghai County, which offers a seaside getaway with a unique cultural experience. The owner, Lin Xiuzhen, preserves the local culture by providing guests with access to traditional fishing methods and seafood cuisine.

These examples show that despite the challenges faced by the homestay industry in Zhejiang, there are still opportunities for success with thoughtful planning, investment, and commitment to quality and authenticity.




Homestays are a way for travelers to experience local life in depth, while for locals, they are a sunrise industry that taps into the value of rural areas and creates jobs and wealth. With a series of favorable policies, the homestay industry is experiencing a new wave of development. Recently, the State Administration for Market Regulation and the National Standardization Management Committee jointly issued the "Basic Requirements and Classification of Tourist Homestays" (GB/T 41648-2022) national standard. The "national standard", which was developed by experts organized by the Ministry of Culture and Tourism over five years of in-depth research and discussions throughout the country, provides a powerful reference for tourism management departments and operators and an effective consumer guide for tourists, promoting the high-quality development of China's homestay industry.

The drafting units of the "national standard" include the Ministry of Culture and Tourism, the Zhejiang Provincial Department of Culture and Tourism, and the Zhejiang Tourism Vocational College. As one of its main drafting units, we have deep feelings and many experiences when looking back on the birth process of the "national standard". Around 2010, homestays as a new type of tourist accommodation emerged in various parts of the country, but most of them were operated by operators using their own homes, and they generally faced problems such as incomplete policies and regulations in land use, public safety, fire protection, and sanitation. On April 25, 2013, the "Tourism Law of the People's Republic of China" was promulgated, which clearly stated that "the management measures for urban and rural residents to use their own housing or other conditions to engage in tourism operations shall be formulated by provinces, autonomous regions, and municipalities directly under the Central Government." This provided a basis for the legal development of homestays and authorized localities to formulate their own management measures, encouraging them to explore and innovate, and providing a broad stage for the standardized, scaled, and branded development of homestays in Zhejiang.

After that, the tourism authorities in Zhejiang cooperated with public security, fire protection, market supervision, construction and other departments to conduct in-depth research on homestays in various places, while compiling the "Basic Requirements and Evaluation of Homestays" local standards and promoting local legislation.

On September 25, 2015, the "Zhejiang Provincial Tourism Regulations" were promulgated, which put forward for the first time that "urban and rural residents are encouraged to use their own housing or other conditions to start homestays. Relevant departments should issue relevant business licenses to those who meet the conditions." In December 2016, the General Office of the People's Government of Zhejiang Province timely issued the "Guiding Opinions on Determining the Scope and Conditions of Homestays", and the public security, industry and commerce, food and drug supervision and other departments also promptly followed up with policies, clarifying the process and escorting the development of homestays. In less than a year, more than 10,000 tourist homestays obtained special industry permits and legal operating status, breaking through the problem of the legalization of homestay operations at the provincial level for the first time.

With the effectiveness of local exploration becoming apparent, the national standard for homestays was accelerated. The former National Tourism Administration led research and discussions in each province, solicited opinions from multiple dimensions, and perfected and revised the first industry standard for homestays in China, the "Basic Requirements and Evaluation of Tourist Homestays" (LB/T 065-2017), which was published on August 15, 2017. At the same time, the application for the standardization of tourist homestays was included in the third batch of national standard revision plans for 2017 by the National Standardization Management Committee.

In the same year, Zhejiang further explored and innovated, issuing local standards, formulating evaluation rules, organizing expert teams, and launching the first batch of graded homestay evaluations. According to the stricter "Basic Requirements and Evaluation of Homestays" local standard, a total of 122 graded homestays were selected, including platinum, gold, and silver levels, setting a demonstration benchmark for the quality improvement of homestays throughout the province.

From weak to strong, from no standards to standards, innovation has been the thread running through it all. Bold experimentation and action in local areas, combined with the "streamlining administration and delegating power" at the national level, have given birth to today's homestay "national standard", which will undoubtedly play an unprecedented role in promoting the industry's development.

It must be seen that in the rapid development of tourist homestays, there are also many problems and hidden dangers. The first is the problem of "ownerless" homestays. The "national standard" clearly states that "tourist homestays must be owned, leased or authorized by the operators themselves." It requires that operators should have legal ownership of the property, and obtain relevant approval documents, such as land use certificates, building permits, business licenses, etc. This will help to avoid the phenomenon of "ownerless" homestays, which may pose risks to tourists' personal and property safety.

The second is the problem of quality control. To promote the high-quality development of the homestay industry, the "national standard" sets strict requirements for the hardware facilities, service quality, hygiene and safety, environmental protection, and cultural characteristics of tourist homestays. Operators should strictly implement the standards and regulations, and provide tourists with safe, comfortable, and personalized accommodation experiences. Meanwhile, competent authorities should strengthen supervision and inspection, and crack down on illegal activities such as false publicity, overcharging, and poor service quality.

The third is the problem of sustainable development. The homestay industry should follow the principles of ecological conservation, resource conservation, and environmental protection, and strive to achieve sustainable development. The "national standard" emphasizes the importance of protecting natural resources, cultural heritage, and local customs, and encourages operators to adopt eco-friendly and low-carbon measures in their operation and management.

In conclusion, the issuance of the "Basic Requirements and Classification of Tourist Homestays" (GB/T 41648-2022) national standard marks a new stage in the development of China's homestay industry. It is expected to promote the standardized, healthy, and sustainable development of the industry, improve the quality of tourism services, enhance the competitiveness of rural tourism destinations, and enrich the cultural experience of tourists. However, the implementation of the standard still faces many challenges and requires the joint efforts of all parties to achieve success.

03 From Emerging Industry to Shared Prosperity Industry In recent years, Zhejiang has always adhered to the principle of government guidance and market entities, and in accordance with the requirements of high-quality development, regards shared prosperity as the fundamental direction and continuous income increase of farmers as the fundamental task. Local governments have issued more than 200 documents and adopted various policies to promote the development of homestays. With the deepening of all-for-one tourism and the accelerating construction of beautiful countryside, it has provided a solid ecological foundation and fertile development soil for the development of tourism homestays. Faced with the impact of the epidemic, Zhejiang released and implemented the local standard "Basic Requirements and Evaluation of Homestays," formulated the three-year action plan (2020-2022) for improving the quality of rural homestays in Zhejiang Province, established the first provincial tourism homestay industry association in China, promoted the pilot reform of "homestays (farmhouse inns) assisting rural revitalization" in Zhejiang Province, developed a dynamic management system for homestays, publishes an annual homestay "blue book", cultivates cultural-themed (non-heritage) homestays, carries out micro-upgrades and improvements for homestay transformation, launches "Ten Million Red Envelope Tour in Zhejiang" and 519 homestay special sales livestreaming, and deeply cooperates with sales platforms to help homestay owners broaden their marketing channels and increase customer sources, etc., forming a series of combinations. The homestay industry has undergone multidimensional leapfrog development from an overlooked, non-scale emerging industry to a sunrise industry that rejuvenates rural areas, narrowing the urban-rural gap and promoting common prosperity.

Zhejiang has become a pioneer, innovator, and model for the development of homestays. Nearly 20,000 homestays are registered in the province's public security system, of which 96.5% hold special industry licenses, with a total of more than 300,000 beds, driving nearly 200,000 employment opportunities. Through five years of standard guidance, the province has evaluated a total of 858 homestays, including 52 platinum-rated, 138 gold-rated, and 668 silver-rated homestays, as well as 40 cultural-themed homestays, including 12 non-heritage homestays. Homestays of different types and characteristics are scattered throughout ancient towns, villages, high mountains, and islands, becoming windows and spokespersons for telling good stories about the beautiful rural life in Zhejiang.

04 From "Zhewei Yangfan" to Opening a New Chapter Since the reform and opening up, there have been few influential national standards in China's accommodation industry. It is evident that the national standard "Classification and Evaluation of Tourism Hotels Star Rating" has been issued, and for more than 30 years, it has promoted the development of China's hotel industry, ushering in one wave after another of peaks. Tourist star-rated hotels have always led the development direction of the industry, while also promoting the comprehensive improvement of the industry's quality and gaining broad social recognition of service levels, making tourist star-rated hotels the earliest and most widely influential service brand in the minds of Chinese consumers. Looking back on the development process of China's star-rated hotels, we can profoundly feel that the first "national standard" for tourism homestays has extraordinary significance for the overall development of the tourism homestay industry. It will enable government industry regulators to grasp a direction with clear guidelines, help homestay owners improve their services according to specific clauses, provide consumers with discernible labels when choosing homestays, and provide work guidelines for operators, regulators, and investors, allowing China's services to take root in rural areas, helping homestays become a bright scenery line showcasing the beautiful rural life of China.

Currently, the "14th Five-Year Plan for Cultural Development" issued by the Central Committee and the State Council proposes to create a unique Chinese cultural tourism experience and "establish a national list of preferred rural homestays" and "rationalize the management system for tourist accommodation such as hotels and homestays"; the "14th Five-Year Plan for Tourism Industry Development" clearly stated that it will "optimize accommodation supply and support innovative development of characteristic homestays and theme hotels", and the Ministry of Culture and Tourism and other 10 departments jointly issued the "Guiding Opinions on Promoting the High-quality Development of Rural Homestays"; the "14th Five-Year Plan for Tourism Industry Development in Zhejiang Province" also specifically pointed out that "it is necessary to accelerate the development of cluster, specialized, and industrialized homestays." Turning the page to zero and starting anew, setting sail toward a new journey, the release of the homestay national standard is not only an essential requirement for high-quality development, but also an innovative concept that keeps up with the times, and more importantly, it is an effective practice exploration. Looking to the future, Zhejiang must shoulder the mission of the times, taking the implementation of the homestay national standard as an opportunity, learning from the good practices of other provinces, benchmarking against standards, making plans before taking action, focusing on the integration and innovation of the homestay industry, systematized supply, quality experience, brand leadership, and shared driving, making homestays an important part of the "livable, enjoyable, prosperous, and colorful" "poetic dwelling" life landscape in rural areas, and making rural homestays a cultural tourism golden name card with Zhejiang characteristics.

With the wind in our sails, we are embarking on a new journey. The development of homestays can provide more and more tourists with poetic travel experiences, help local people create a beautiful life, and realize the vision of rural revitalization. We have reason to believe that tomorrow's tourism homestays will be even better.