As for competition.  

This imbalance intensifies buyer competition, driving up home prices as demand outstrips supply.2.

Pretend to be a renter and shop the competition.

While it was a scary jump at first, we quickly realized this space is actually less competitive.

What is the compelling reason for them to pick you, with your competitive rates, over someone else they've already been using with competitive rates? 

I don't trust them and it so much more reliable to take a few minutes and look at your real competition to set pricing. 

Any tips for navigating the competition in such a hot market?

There are opportunities out there but some strategies are risky. 1 - Airbnb (STR) comes to mind - very competitive, very saturated and becoming highly regulated.2 - Most STRs are transitioning to MTR so that market will be saturated soon if it isn't already.3 - Insurance crisis in florida is getting bad so those costs will eat up cashflow and short term appreciation.

Does anyone have any advice for people starting out in this competitive field?

I was willing to pay more than my competition.