Name: How Temu Is Becoming a Serious Competitor to Amazon and Walmart | WSJ
Uploaded: 2024-03-15T16:30:53.000Z
Duration: 7 min 55 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

- [Narrator] It took discount retail app Temu a year to get

to 51 million monthly active users in the US.

That's approaching the 67 million user base

Temu gained ground by selling cheap goods shipped

to be a bigger player in the US E-commerce landscape.

- Anybody who's not Amazon is the short answer

- [Narrator] Here's how a 1-year-old brand

is keeping the e-commerce industry on watch

and how, just like Amazon, it's redefining

- You are an internet user, you'll see Temu everywhere.

- It aired ads at back to Back Super Bowls.

The name of the company is Temu, not Temu.

- I'm gonna be honest, I don't think I'll ever say Temu.

That confusion hasn't slowed the company down.

It quickly acquired over 161 million monthly app

we really haven't seen in the past online.

we reported that it launched very quietly,

and now Temu is the opposite of being quiet.

- [Narrator] That omnipresence is by design.

It spent $1.7 billion to advertise in 2023,

that Temu could spend nearly $3 billion in 2024.

It can spend that big thanks to the deep pockets

of nowhere when China's e-commerce industry was already

dominated by two companies, Alibaba and JD.com.

of selling extremely cheap goods from China

to build market share, isn't entirely new.

- They're just hoping to replicate its strategies

- Other China founded companies like Shein

and TikTok are also making their mark in US e-commerce.

- You open up the app and there's like a roulette wheel

And the prize is usually here's a whole bunch

And then as you're searching through products, first off,

and then you see a ticker of how much time is left

or before they're sold out of that product.

Research firm Alliance Bernstein estimates

that $17 billion worth of goods were sold on Temu in 2023.

as China's most valuable e-commerce company.

In the US, Temu's growth is putting e-commerce

that consumers are willing to wait as long

- [Narrator] Temu says its standard shipping takes

while express shipping is four to 11 days.

- [Speaker] Temu connects factories and wholesalers

with consumers directly, cutting the middleman.

- [Narrator] Meanwhile, the biggest e-commerce companies

in the US have been betting big on faster delivery.

Amazon's delivery time has more than halved since 2022

with an average of about 4.6 days in January.

Everybody needs to focus in the e-commerce space about

making sure that they've got a distinctive value proposition

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How Temu Is Becoming a Serious Competitor to Amazon and Walmart | WSJ

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