PYMNTS MonitorEdge May 2024

Report: Temu Drawing More Return eCommerce Shoppers than eBay


Temu may be the new kid on the eCommerce block, but it’s becoming one of the biggest.

That’s according to a new survey by U.K. marketing firm Omnisend, which found that 34% of shoppers purchase something from the Chinese retailer — which debuted in the U.S. two years ago — once a month, compared to 29% for eBay, a company that’s been around for decades.

(Amazon, the survey found, was still head and shoulders above Temu and eBay, with more than three-quarters of consumers saying they patronize it at least monthly.)

The survey was flagged in a report by Bloomberg News, which noted that Temu has been aggressively discounting and advertising to attract customers, airing two Super Bowl ads and building a robust social media presence.

“It just shows how Temu’s aggressive marketing — like Super Bowl commercials and social-media campaigns — is paying off,” Greg Zakowicz, a senior eCommerce expert at Omnisend, told Bloomberg.

The survey didn’t just compare Temu to its American competitors, but also examined the rise of Chinese eCommerce platforms, finding that 63% of consumers patronize these stores once per year, and 49% shop on more than one.

“The data clearly indicates that Chinese marketplaces like Temu and Shein are becoming go-to destinations for online shoppers worldwide,” the survey said.

“It’s clear that they offer something that people find valuable. Whether it’s competitive pricing, unique product offerings, or both, these marketplaces are not just another option — Chinese marketplaces are becoming a mainstay in global online shopping.”

Meanwhile, Omnisend also found that customers don’t trust Temu as much as Amazon — in fact, just 6.4% said they trust Temu — yet they continue to shop there.

“Clearly, trust isn’t the only thing driving purchases,” the company wrote. “What does this tell us? Simply put, value matters.”

The report came the same day that China’s commerce ministry introduced rules designed to help expand cross-border eCommerce.

China’s “ministries and government departments will smooth financing channels and help cross-border eCommerce companies to ‘go global,’” the ministry said, per a Reuters report.

Sellers like Shein and Temu, which operate primarily in China-made products shipped to markets around the world, have seen rapid growth, opening new avenues for companies that had only focused on domestic revenues.