Temu, the global Chinese e-commerce platform, has seen growing local consumer uptake since it launched in the South African market a year ago.
A recent survey conducted by News24, with Temu’s support, found that one in three surveyed South Africans have used the platform, with nearly 40% becoming active monthly users.
The survey, which polled 1 700 local consumers, explored Temu’s purported popularity, the savings it promises and its role in improving access to affordable products.
It reveals that factors driving shopping to the site include the ease of shopping (72%), the ability to compare prices (56%), flexible shopping hours (53%) and access to a broader range of products (51%).
The survey also found that 77% of Temu shoppers recommend the platform to friends and family, which it says reflects a high level of consumer satisfaction and loyalty.
In a written interview with ITWeb, a Temu spokesperson explains affordability and convenience are driving the site’s growth in SA.
“We are incredibly grateful for the trust and support from our consumers in South Africa − a vibrant and dynamic market. As we celebrate our first anniversary here, we remain committed to offering unbeatable prices and refining our services to enhance the shopping experience.
“With a selection of products spanning over 200 categories, many of which may not be available on other platforms or local stores, Temu offers a diverse shopping experience.”
Temu’s business model is based on a multi-segment marketplace, where listed third-party sellers offer a range of product categories, including fashion, household goods, home appliances, toys and electronics.
Owned by Chinese online retail giant PDD Holdings, the e-commerce platform says it has seen growth across its 71 markets, through offering affordable products and employing marketing campaigns.
Over the last few years, new online retailers have entered the market, shaking up the local landscape with low-cost products manufactured in China and offering free shipping. These include Shein, Wish, Made-in-China and Sunsky.
This led to local e-tailers and the manufacturing sector expressing concern over the Chinese multinational e-commerce disruptors, with complaints of alleged anti-competitive practices.
Temu was the most downloaded shopping app worldwide in 2024. The application counted almost 550 million downloads from the Apple App and Google Play stores, according to research firm Statista.
Temu's main rival, Shein, was the second-most downloaded shopping app last year, with roughly 235 million downloads, it notes.
The Temu spokesperson declined to disclose its monthly or year-on-year customer growth rate in SA.
“Unfortunately, as part of a Nasdaq-listed company, Temu is unable to separately disclose financial or business figures, but we can share that with regards to growth in the region, Temu aims to offer great prices on quality products by cutting out middlemen. This lets customers buy directly from manufacturers at wholesale prices without compromising on quality, making everyday essentials more affordable for everyone.”
The survey also highlights that online shopping continues to grow across SA, with 64% of respondents indicating they shop online more frequently than a year ago.
The top drivers include convenience (72%), the ability to compare prices (56%), flexible shopping hours (53%) and access to a wider range of products (51%).
For 65% of South Africans, price remains the deciding factor when making purchases. Nearly 81% believe that a factory-direct model, like Temu’s, provides access to products at lower prices.
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