Within the range of Chinese low-cost shopping sites and applications, SHEIN, AliExpress and Wish are already on the throne. Another giant there is depopulating, Pinduoduo (PDD for friends was founded in 2015), and is now arriving in Europe with the name of Temu.
Because Chinese online shopping giant Temu is likely to be a hit in the West
Already launched in the United States, the Temu platform is doing very well, with more than 50 million downloads and 17 million active users since its launch in September 2022. And this, thanks to its aggressive marketing, of course, its Facebook ads and Instagram, and above all the shopping experience that wants to be as playful as possible and therefore experienced as a video game. The more mini-games you play on the site, the more discount coupons you earn, which makes you want to come back again and again and consume more and more. This gamification it also invites many shares on social networks in order to obtain further prizes: just enough to maintain Temu’s virality.
Just launched in Germany, the UK, Italy, Spain, the Netherlands and now in France, Temu could therefore make new followers, and thus even more devastation for humans and the planet.
In a May 2023 article, the media Wired investigated the maddening success of the platform being able to offer 8 makeup brushes for less than $1, with free international delivery, 10 pairs of socks for less than $4, or even 6 lip balms for less than $1. It all starts from Guangzhou, China which subsidizes Freight extensively to arrive at negligible shipping costs. These incredibly low prices are used to penetrate these new Western markets, even if the company has to lose money in acquiring new customers upfront (about $30 per US order, calculated Wired), but to better try to keep them in the long term. Temu even paid $14 million for two 30-second ad slots during the Super Bowl in February 2023. A sign that the company is ready to bet big to win over the West.
Do you like our articles? You will love our newsletters! Sign up for free on this page.
Source: Madmoizelle
Mary Crossley is an author at “The Fashion Vibes”. She is a seasoned journalist who is dedicated to delivering the latest news to her readers. With a keen sense of what’s important, Mary covers a wide range of topics, from politics to lifestyle and everything in between.
