Temu welcomes European sellers
In March, the rapidly growing ecommerce player from China, Temu, will open its marketplace to sellers from the United States. Shortly after, it will also add European sellers. However, it remains to be seen whether online sellers will actually join the Chinese platform.
Temu is an international online marketplace, backed by Chinese tech giant PDD Holdings. It launched in Europe last year, after its owner opened an office in Ireland. The marketplace operates through dropshipping, where products are shipped directly from manufacturers to consumers.
Growing presence in Europe
With the entry of the Chinese app, other ecommerce giants like Amazon and eBay saw their daily mobile shoppers decline. Last November, Temu already expanded its delivery network in Europe through partnerships with logistics companies.
‘After March 15th, the marketplace will open up to local sellers.’
Currently, all sellers on the app are from China. However, the company has now announced that on March 15th, it will expand the marketplace to allow sellers from the United States. After that, it will also add European sellers.
Local sellers will use domestic warehouses
These sellers will need to set up logistics from their domestic warehouses, meaning that customers will receive their goods quicker. At the same time, Temu will not manage pricing or marketing. In that way, it is mimicking Amazon and eBay.
‘AliExpress has also tried to attract European sellers, but was unsuccessful.’
While sellers can profit from reaching Temu’s large customer base, it remains to be seen whether brands will actually join the platform. Platforms such as Wish and AliExpress have also tried to diversify their seller base, but were unsuccessful in attracting a large amount of domestic sellers.