Temu, a discount e-commerce platform, has caught up to its rival Shein in single-month sales in the US, according to a report by TechNode.
Temu is a relatively new player in the US market, having launched in September 2021. However, it has grown rapidly, thanks to its aggressive marketing campaigns and low prices.
In August 2023, Temu spent more than $300 million on advertising, making it one of the biggest spenders on advertising in the US. This investment has paid off, as Temu has consistently been the top downloaded app in the US in recent months.
Temu’s parent company, PDD, has said that it is planning to continue investing in Temu for the next three years, even if it means making losses. This suggests that Temu is here to stay, and that it is likely to continue to challenge Shein for dominance in the US e-commerce market.
The rise of Temu is a sign that the US e-commerce market is becoming increasingly competitive. Shein has been the dominant player in the market for several years, but Temu is now challenging its position. This is good news for consumers, as it means that they have more choices and lower prices.
It will be interesting to see how the competition between Temu and Shein plays out in the coming months and years. Both companies are investing heavily in the US market, and both have strong brands and loyal customer bases. It is likely that the two companies will continue to grow rapidly, and that they will both play a major role in the US e-commerce market for many years to come.