How Companies Can Compete with Temu

Temu, as a fast-growing e-commerce platform backed by PDD Holdings, has disrupted

global online retail with low-cost products shipped from China. For foreign companies,

competing with Temu requires strategy beyond price.

1. Understand Temu’s Strengths

• Extremely low prices due to direct-from-China supply chains.

• Massive product variety across categories.• Fast global shipping and promotions targeting value-conscious buyers.

2. Focus on DiSerentiation

Quality & Reliability: Emphasize product quality, durability, and customer

service, which can outweigh low prices.

Branding: Build a strong brand story to create customer trust.

Niche Markets: Target specialized segments that Temu cannot easily dominate.

3. Leverage Local Presence

• Use local warehouses to reduce shipping times.

• Partner with local distributors or retailers to increase visibility.

• O^er localized content, support, and marketing campaigns.

4. Invest in Customer Experience

• Provide easy returns, warranties, and post-sales support.

• Engage customers through personalized marketing and loyalty programs.

While Temu competes on price, foreign companies can compete on quality, trust, and

customer experience. CHEVALAC assists international businesses in designing market

strategies and operational setups to succeed even in a highly competitive landscape.