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Temu

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This is an old revision of this page, as edited by Kashmiri (talk | contribs) at 11:32, 16 July 2023 (→‎History and business model: Reorder paragraphs to improve logical flow (first describe what it is now, then discuss historical facts).). The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

This article is about an online marketplace. For other uses of the term "Temu", see Temu (disambiguation).

Temu
FoundedJuly 2022 (2022-07)
Area served
  • Australia
  • Belgium
  • Canada
  • France
  • Germany
  • Ireland
  • Italy
  • Mexico
  • Netherlands
  • New Zealand
  • Poland
  • Slovakia
  • Spain
  • Sweden
  • United Kingdom
  • United States
IndustryE-commerce
ServicesOnline shopping
ParentPDD Holdings[1]
URLwww.temu.com Edit this at Wikidata
LaunchedSeptember 2022

Temu is an online marketplace operated in a number of countries by the Shanghai-based company PDD Holdings Inc.[1] It offers heavily discounted goods[2] which are mostly shipped to consumers directly from China.[3]

History and business model

Temu is owned and operated by the Chinese-based and Cayman Islands registered[4] company PDD Holdings, which also owns Pinduoduo, a popular online commerce platform in China.[5] The platform allows China-based vendors to sell and ship directly to customers without having to rely on warehouses in the destination country.[6] Online purchases on Temu can be made using an Internet browser or through a dedicated mobile app. In late 2022, the Temu app was the most frequently downloaded app in the United States.[7]

Temu offers free goods to some users who successfully encourage new users via affiliate codes, social media, and gamification.[2] It also uses online advertising on Facebook and Instagram. According to Sarah Perez writing for TechCrunch, "These ads appear to be working to boost Temu's installs. But dig into the app's reviews and you'll find similar complaints to Wish, including scammy listings, damaged and delayed deliveries, incorrect orders and lack of customer service."[7] According to Andrew Chow writing for Time, Temu is also starting to develop a reputation for undelivered packages, mysterious charges, incorrect orders, and unresponsive customer service.[2]

The Temu platform first went live in the United States in September 2022.[1] In February 2023, Temu launched in Canada.[8] That same month, the company aired a Super Bowl ad.[9] In March 2023, Temu launched in Australia and New Zealand.[10] In the following month, Temu was launched in France, Italy, Germany, the Netherlands, Spain and the UK.[11]

Government reactions

United States

See also: China–United States trade war

In May 2023, the United States–China Economic and Security Review Commission raised concerns about risks to users' personal data on Temu as an affiliated shopping app, Pinduoduo, was removed from Google Play after some of its versions were found to contain malware.[12]

On May 17, 2023, Montana governor Greg Gianforte banned Temu on government devices state-wide, along with ByteDance applications (including TikTok), Telegram, and WeChat.[13][14]

In June 2023, the United States House Select Committee on Strategic Competition between the United States and the Chinese Communist Party stated that Temu does not maintain "even the façade of a meaningful compliance program" with the Uyghur Forced Labor Prevention Act to keep goods made by forced labor off its platform.[15][16][17][18]

See also

References

  1. ^ a b c Murray, Conor (February 17, 2023). "What To Know About Temu: New Chinese-Owned Fast Fashion App Draws Comparisons (Good And Bad) To Shein". Forbes. Archived from the original on February 26, 2023. Retrieved February 26, 2023.
  2. ^ a b c Chow, Andrew R. (December 29, 2022). "The Truth About Temu, the Most Downloaded New App in America". Time. Retrieved March 8, 2023.
  3. ^ Kharpal, Arjun. "China's e-commerce giant Pinduoduo quietly launches US shopping site in Amazon challenge". CNBC. Archived from the original on September 17, 2022. Retrieved September 18, 2022.
  4. ^ "PDD Holdings". www.sec.gov. Archived from the original on June 2, 2023. Retrieved June 2, 2023.
  5. ^ Liao, Rita (November 22, 2022). "Pinduoduo's sister shopping app Temu tops US App Store". TechCrunch. Archived from the original on December 11, 2022. Retrieved December 11, 2022.
  6. ^ Conrad, Jennifer (October 26, 2022). "How Retail App Temu Lures US Shoppers With Mind-Bending Prices: The new ecommerce platform can beat Amazon on price by shipping direct from China. It's already racing up the charts". Wired. Archived from the original on February 18, 2023. Retrieved February 11, 2023.
  7. ^ a b Perez, Sarah (January 28, 2023). "This Week in Apps: Temu's hot streak, Walmart's m-commerce & an Apple XR App Store". TechCrunch. Archived from the original on February 11, 2023. Retrieved February 11, 2023.
  8. ^ McLymore, Arriana; Hall, Casey (March 10, 2023). "Shein, Temu in fierce fight over US market for $10 dresses". Reuters. Archived from the original on April 25, 2023. Retrieved April 25, 2023.
  9. ^ Morley, Olivia (February 12, 2023). "Ecommerce Startup Temu Airs First Super Bowl Spot—Twice". Adweek. Archived from the original on February 13, 2023. Retrieved February 12, 2023.
  10. ^ "China-backed shopping app that could unseat Kmart, Big W". News.com.au. April 18, 2023. Archived from the original on April 18, 2023. Retrieved April 19, 2023.
  11. ^ Qu, Tracy (April 24, 2023). "Chinese budget shopping app Temu opens in Europe amid rapid expansion". South China Morning Post. Archived from the original on April 25, 2023. Retrieved April 25, 2023.
  12. ^ Chiang, Sheila (May 17, 2023). "Temu accused of data risks after sister app was suspended for malware". CNBC. Archived from the original on May 17, 2023. Retrieved May 17, 2023.
  13. ^ Peters, Jay (May 17, 2023). "Montana bans Telegram, WeChat, and Temu from government devices". The Verge. Archived from the original on May 20, 2023. Retrieved May 20, 2023.
  14. ^ Kern, Rebecca (May 17, 2023). "Montana bans TikTok for all residents". Politico. Archived from the original on May 24, 2023. Retrieved June 13, 2023.
  15. ^ Hadero, Haleluya (June 22, 2023). "Congressional report says there's an extremely high risk Temu's supply chains have forced labor". Associated Press. Archived from the original on June 23, 2023. Retrieved June 23, 2023.
  16. ^ Cox, Chelsey (June 22, 2023). "Retailers Shein and Temu violate U.S. tariff law and evade human rights reviews on imports, House report says". CNBC. Archived from the original on June 23, 2023. Retrieved June 24, 2023.
  17. ^ "Temu: Risk popular website sells forced labour goods". BBC News. June 22, 2023. Archived from the original on June 25, 2023. Retrieved June 25, 2023.
  18. ^ Swanson, Ana; Fu, Claire (June 22, 2023). "Congress Spotlights 'Serious' Forced Labor Concerns With Chinese Shopping Sites". The New York Times. ISSN 0362-4331. Archived from the original on June 30, 2023. Retrieved July 3, 2023.
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