A recent survey revealed that nine out of ten domestic sellers on the Chinese e-commerce platform Temu have experienced improvements in their businesses, including increased sales and new customer acquisition.
Temu conducted a survey in August among over 100 domestic sellers, and on November 5, it announced that 91% of respondents felt their businesses had improved since joining the platform.
The most common responses indicated a rise in sales and revenue, reported by 58% of sellers, while 47% noted they had secured new customer bases. Some sellers also mentioned reductions in excess inventory, improved cash flow, and decreased operating costs.
Eighty-five percent of the participating companies were small businesses with fewer than 50 employees. Ninety-four percent of respondents had been selling products on other online platforms prior to joining Temu.
Eighty-two percent viewed Temu as a key distribution channel or a driving force for revenue growth that complements their existing sales channels. Additionally, 66% of sellers had been on the platform for six months or less.
The biggest challenges cited by small sellers were product visibility and acquiring new customers. Among those with prior online sales experience, 54% reported difficulties in securing product exposure, while 50% struggled with attracting new customers.
Conversely, 57% highlighted the advantage of being able to introduce their products to new consumers, even with low brand recognition on Temu.
For instance, Pet Food Palace, a pet snack company, reported generating approximately 4 million won in sales in its first month after joining Temu in December last year. Currently, it sells about 500 products monthly on the platform, with Temu sales accounting for over one-third of its total revenue.
Chef's Delight, a side dish and convenience food manufacturer, also noted that its sales on Temu have increased more than fivefold since joining in September last year. In July of this year, it recorded around 22 million won in sales from approximately 1,375 orders.
Feedback on seller support policies was also positive. Sixty percent of respondents identified direct support from dedicated account managers as the most satisfying service, and 73% regarded Temu as a trustworthy business partner.
Temu fully launched its 'Local Seller Program' in May last year, allowing domestic sellers to sell products directly. By the end of last year, there were about 3,500 domestic sellers on the platform, expanding its focus from primarily Chinese direct purchase products to include domestic goods.
AliExpress is also localizing its offerings, focusing on a dedicated section for domestic products called 'K-Venue,' intensifying competition among overseas e-commerce platforms to secure domestic sellers.
A Temu representative stated, "We will continue to support the growth of domestic sellers through the Local Seller Program and will incorporate feedback from this survey into our seller support system."
* This article has been translated by AI.
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