Pinduoduo has launched its online shopping site in the United States as the Chinese e-commerce giant makes its first big step overseas.
The website called Temu, which went live on Thursday, lists items in a number of categories including clothing, jewelry, pet supplies and home and garden, and could mark a new challenge for the American e-commerce leader Amazon.
Pinduoduo did not respond to a request for comment when contacted by CNBC.
Temu marks Pinduoduo’s biggest overseas push yet, as China’s domestic economy faces a number of challenges, from a resurgence of Covid-19 to an energy crisis. This hurt economic growth in China and undermined consumer confidence.
China’s biggest tech companies, from Tencent to e-commerce rivals Pinduoduo Alibaba and JD.com, continue to seek international markets. Pinduoduo, a much younger company than Alibaba and JD.com, which was only founded in 2015, is behind its rivals when it comes to overseas push.
Alibaba took a majority stake in Singapore-based e-commerce site Lazada in Southeast Asia in 2016 and has since poured money into the company to expand its presence in the region. Alibaba also has a separate website called AliExpress which serves markets like Europe and the United States.
JD.com operates Joybuy.com for international customers.
Pinduoduo’s Temu is a cross-border e-commerce website with most of the products likely to come from overseas, especially China. Temu said shipping to USA might take 7-15 business days.
“It’s important to keep in mind that you may see longer delivery times than you’re used to on other e-commerce sites. This is because items that may come from another country or need to be bundled or packaged with other items of a similar size,” the website states on the shipping information page.
Shipping is free on orders over $49.
Pinduoduo could face challenges in breaking into the US market. First, it will need to build brand reputation against Amazon. And it could also suffer from its relatively long delivery times compared to the same-day or next-day deliveries that Amazon offers through its Prime subscription services.
“Temu’s main challenges will be cultivating customer trust and awareness,” Jacob Cooke, CEO of WPIC, an e-commerce technology and marketing company that helps foreign brands sell in China, told CNBC.
There are currently also some categories that have very few products. For example, the men’s wristwatch category had only two products listed.
However, Temu could compete on price. On Thursday, Temu had a sitewide 20% off offer. And the products seem pretty cheap. For example, the women’s dresses listed were mostly under $20.
Temu may also have an advantage due to “existing relationships with low-cost manufacturers in China that may not yet have expanded to the United States,” Cooke said.
Pinduoduo has grown rapidly in its seven years of existence to become one of the largest e-commerce companies in China. The company has tended to focus on low-income consumers by offering heavily discounted products. And it has focused on introducing agricultural products on its platform to differentiate itself from its rivals. The company is worth around $87 billion.
The shipping options and costs for your order will depend on your location and the items you have purchased.
You can view the available shipping options and their corresponding costs by adding items to your shopping cart and proceeding to the checkout page. On the checkout page, you will be able to select your shipping destination and choose from the available shipping options.
Temu.com offers a variety of shipping options, including standard shipping, expedited shipping, and express shipping. Delivery times may vary depending on the shipping option you choose and your location.
Please note that Temu.com is not responsible for any delays caused by customs or other factors beyond their control. You can track your order by logging into your account on the Temu.com website or by using the tracking number provided in your shipping confirmation email.
Temu.com customer service phone number US
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