🧸 Temu and Shein Ramp Up Toy Sales
Temu and Shein are expanding their reach into the toy market as they continue their rise in eCommerce. During this holiday season, the two platforms are expected to capture more market share in the US and Europe, Reuters reports. Shein, known for affordable fashion, now sees toys as one of its fastest-growing categories. Temu is also benefiting from increasing toy-related searches, signaling heightened consumer interest. Both platforms are leveraging their reputation for low prices to win buyers while growing their product offerings.
🛒 Competitive Landscape in the US
In the US, Temu and Shein face tough competition as Amazon, Walmart, and Target control 70% of toy sales. To compete, both platforms offer lower fees to attract sellers and bid aggressively on search keywords to redirect traffic. For example, Temu used terms like "Walmart Black Friday deals" while Shein targeted "Nordstrom Rack shoes." These strategies aim to challenge major retailers during peak shopping periods like Black Friday.
🌍 European Expansion and Market Growth
In Europe, both companies are making strides. About 39% of European consumers, and 60% of younger buyers, have purchased toys or games from Temu, Shein, or AliExpress this year. Shein recently committed $271M over five years to strengthen its presence in Europe and the UK. This includes potential investments in R&D and local production facilities. The company is also supporting European brands to expand through its marketplace, enhancing regional growth.
📦 A Growing Seller Ecosystem
Temu recently opened its platform to all US sellers, removing the need for invitations. This move allows small businesses and entrepreneurs to connect directly with millions of shoppers. "Temu provides the tools; sellers bring the products," a company spokesperson said. Shein, meanwhile, sources products primarily from China but is also exploring local partnerships in Turkey and Europe. These initiatives aim to broaden their product offerings and cater to diverse consumer needs globally.
Can Temu and Shein outpace Amazon in toys?
