It seems like a mistake to compete with Craigslist in its entirety. They had years to grow their community and brand while maintaining a relatively low cost structure.
Startups that are concentrating on different pieces of the pie and providing a better experience seem to be on the right track. AirBnb, OkCupid, and the other companies listed in the comments here. Even in the jobs space I find LinkedIn jobs having more and better listings than Craigslist.
It's easy to hate Craigslist because of stories about it "crushing" other companies. But much of Craigslist's value is in its data and that data being solely available on its website. If that data was available on competitors, then it would lose leverage. This is true for many websites out there and they go to lengths to protect that data (eg. LinkedIn shutting off its API to third-parties).
Startups that are concentrating on different pieces of the pie and providing a better experience seem to be on the right track. AirBnb, OkCupid, and the other companies listed in the comments here. Even in the jobs space I find LinkedIn jobs having more and better listings than Craigslist.
It's easy to hate Craigslist because of stories about it "crushing" other companies. But much of Craigslist's value is in its data and that data being solely available on its website. If that data was available on competitors, then it would lose leverage. This is true for many websites out there and they go to lengths to protect that data (eg. LinkedIn shutting off its API to third-parties).