Within four months after its launch in France, Temu has managed to achieve a larger market share in terms of value than its competitor Shein. It has not yet surpassed AliExpress. Additionally, 96 percent of Temu customers in the last 90 days were repeat customers.
These data come from a new report by FoxIntelligence, which reviews Asian online marketplace Temu’s first year in the French ecommerce market. The marketplace is rapidly expanding in Europe. In January it announced that it would soon welcome European sellers on the platform, in addition to its existing Chinese sellers.
Bigger market share
In April, the marketplace launched in France. According to the report, its use of a discount pricing policy attracted many new consumers quickly. It also offers a diverse range of products, making the platform interesting to various customers. Its marketing campaigns also quickly increased its visibility and popularity.
Temu has a penetration rate of 11.9% in France.
Because of this, Temu reached a larger market share in value than Shein within four months. After a year, the platform has a penetration rate in France of 11.9 percent. This is close to Shein’s rate of 12.8 percent.
Customer characteristics
The report also shows that French Temu customers spend 112.5 euros per year on average on the platform. They make an average of 3.3 purchases per year. In comparison, Shein’s customers in France spend an average of 86.2 euros per year, they also have a purchase frequency of 3.3 times per year.
Surprisingly, Temu has a strong presence of Gen X and Boomer customers. With an index of 145, this share is above average. Gen Y is also present, with an index of 107. Gen Z are underrepresented, with an index of 76. They are more present on Shein, with an index of 122.
