Chinese shopping app Temu wows US amid TikTok fears

WASHINGTON, United States - Shopping online at Temu, Laurie Silva paid just $1.25 for earrings and $15 for a cardigan -- she is among millions of US consumers the Chinese platform is wooing with low-cost bargains and a dizzying array of products.

Temu topped US app download rankings in early April, a spot it held since January, but its rapid rise comes as platforms with links to China face growing scrutiny and when a ban on youth favorite TikTok appears increasingly inevitable.

According to Sensor Tower data, some of the most popular platforms downloaded in the US currently have Chinese roots, including TikTok, video-editor CapCut and fashion upstart Shein.

Temu is positioned as an Amazon-like superstore, selling everything from make-up to homeware and electronics, and its quiet launch last September marked Chinese e-commerce giant Pinduoduo's first foray into the US market.

Based out of a Boston office block, Temu's out-of-the-blue success makes it the second Chinese-made shopping app -- after Gen Z darling Shein -- to make a splash in America in recent years.

"I've seen so many things in their catalog... offered on Amazon and other online retailers for much more," Silva, a 65-year-old in California, told AFP.

She has placed around 20 orders on Temu, buying craft supplies, jewelry and gifts.

Another customer, 38-year-old Stephanie Wolfe, said she first bought items like eyeliner and jewelry to test the service in January.

"It got here so quick, I couldn't believe it," she said. "Once I realized it was legit, I just started ordering more."

Fueling the frenzy were Temu's commercial spots during the Super Bowl in February that asked more than 100 million US viewers to "shop like a billionaire."

"I was like: 'Oh that's what I use!' Since then I've noticed it's gaining more traction," said Wolfe.

According to Sensor Tower, Temu has had 33 million US downloads since its launch, with user numbers surging on the month of the Super Bowl, the most-watched TV event in the US.

CHINA CONNECTIONS

The rise of Shein and Temu comes as leading US fashion companies seek to reduce their exposure to China with worries intensifying over growing US-China tensions, said Sheng Lu, a professor of fashion and apparel studies at the University of Delaware.

Both brands primarily source their products from China and Temu mostly ships its goods directly from there as well, he added, contrasting this against Amazon's US-based distribution centers.

This allows Temu to tap China's strengths in producing apparel in greater varieties with greater flexibility -- all while qualifying for US waivers on import duties for lower value shipments, Lu said.

A recent notice for Shein suppliers in China seen by AFP requires turnaround times of just seven to 18 days on factory orders.

For Shein in particular, artificial intelligence and big data play a "critical role" in its expansion and success, Lu said.

"Shein has utilized data collected from its apps and other social media channels to gain insights into consumers' shopping habits and lifestyles, enabling the company to offer in-demand items," he added.

FAST FASHION SCRUTINY

But the ascent of Chinese apps have been accompanied by scrutiny that Temu may too have to grapple with.

In 2021, non-governmental group Public Eye found that some workers behind Shein's breakneck production toil for 11 to 13 hours a day.

It has also come under fire for generating fast fashion waste and apologized for products like a swastika necklace in 2020.

"Additionally, similar to the case of TikTok, Shein and Temu's rapid expansion in the US has resulted in the collection of vast amounts of personal data from American consumers," said Lu of the University of Delaware.

TikTok faces a potential US ban amid allegations that its data haul amounts to a national security threat and that its algorithm poses a danger to mental health.

So far, Temu and Shein have avoided the fate of TikTok, whose CEO faced a brutal hearing in US Congress last month, with unanimous accusations by lawmakers that the social media app was a threat to America.

Georgia Institute of Technology professor Milton Mueller downplayed the danger of shared data, arguing that "the nationality of the company is a very crude and nationalistic criterion" in assessing security threats.

A research paper co-authored by Mueller released in January concluded that "data collected by TikTok can only be of espionage value if it comes from users who are intimately connected to national security functions and use the app in ways that expose sensitive information."

"These risks arise from the use of any social media app," the paper said.

Meanwhile, the vast majority of US consumers shrug off security concerns.

But Wolfe said she uses virtual private networks and makes payments through PayPal for added layers of security.

"Because I'm taking precautions, I'm not worried," she said.

Agence France-Presse

Beyoncé’s Athleisure Brand, Ivy Park Is Now Available to the World, Including the Philippines

It came as a surprise to all of us when Beyoncé suddenly revealed her athleisure line Ivy Park earlier this month. Today, the brand is officially available for purchase in several countries, including the Philippines.

Yup, you read that right: Queen Bey has blessed our shores with her athleisure line via shopping website Zalora PH. In a statement, Zalora Group CEO Michele Ferrario expressed his excitement for the venture, saying that they want to “continue our commitment to bring the best global fashion brands to style-minded women across the Southeast Asian region.”

The line consists of tank tops with built-in sports bras, body suits, sweatshirts, and jersey vests fitting for all our workout needs. The price of the clothes also ranges from P1,199 to P5,349, which seems like a hefty price for some. But can you really put a price on something designed by Beyoncé?

 Photo courtesy of Ivy Park’s Instagram

source: preen.inquirer.net

Twitter tests shopping service

Twitter is testing a way to let users go shopping or make charitable contributions between tweets.

A small percentage of users will receive tweets from Twitter test partners Monday featuring a “buy” button that lets them make purchases or donate money. Initial partners include the musical groups Soundgarden and Panic! At The Disco, retailers Home Depot and Burberry, and nonprofits The Nature Conservancy and gay rights group GLAAD.

After clicking the buy button, users will be prompted to enter shipping and payment information. Then the order will be sent to the merchant for delivery. 



Users’ personal information will be encrypted. And their credit card details won’t be given to sellers without permission.

source: technology.inquirer.net

Amazon's sellers unhappy about fee hikes, eye rivals

San Francisco — A brewing conflict between Amazon.com Inc. and its merchants over fee hikes could benefit rival eBay Inc., and provide an opening for Wal-Mart Stores Inc. and Google Inc., which are just getting into the space.

Amazon's online bazaar generates margins many times higher than traditional retail as the company takes a cut of every sale on its site made by a merchant, known as a third-party seller, and charges extra fees for handling logistics.

The growth of this business, which now accounts for almost 40 percent of unit sales, has helped push Amazon shares to record highs.

But a series of fee hikes over the past year and a half have alienated many merchants, and some are threatening to defect.

"If they increase fees too much, some sellers will decide to not sell there anymore," said Niraj Shah, chief executive of furniture retailer Wayfair, which uses Amazon, eBay and Wal-Mart's online marketplaces, as well as its own websites.

"That's against Amazon's plan, which is to get as much selection as possible on their site," Shah added. "The vast majority of Amazon sellers are perfectly happy to go to any marketplace offering meaningful volume."

Amazon said many of the fee increases have been driven by rising costs, such as higher gas prices and hence transport expenses. It said it has also invested in changes to get products to customers quicker— a push that third-party sellers will benefit from because faster shipping should increase sales.

But sellers see it differently, complaining on online seller forums that Amazon's fatter returns came partly from putting a heavier burden on their shoulders. "Shipping & fees are killing my margins," wrote one seller last month.

Another, in August, complained about higher fees for selling electronic accessories that were due to kick in early this year: "Holy crap! 8% to 15%?! Goodbye good deals from 3rd party sellers on Amazon in the electronics section."

A third ranted in August about higher costs for shipping products to multiple Amazon warehouses. "Amazon just pulled a fast one," the seller wrote. "Now that Amazon has all the power, they're imposing increased fee hikes to all those cozy sellers who have supported Amazon since Day 1."

The complaints became so raucous last year that the company took the forums down and re-launched them. The new forums let sellers give each other ratings for their posts—a move that some sellers viewed as a way to reduce extreme complaints.

"The updated forums were created to be more responsive to the needs of the seller community and give them information they need to help build their businesses," Amazon spokesman Erik Fairleigh said.

Multiple customers

EBay used to be the top online destination for sellers, but Amazon's marketplace ended its reign after its launch over a decade ago, helped in large part by "Fulfillment By Amazon," or FBA, a service that stores and ships items and even handles customer service on behalf of sellers.

Fees are a touchy topic for sellers with skimpy margins, as eBay knows from merchant revolts it has struggled to quell in the past. Fee hikes by Amazon are particularly irksome to sellers because they compete with the company, a seller in its own right, in many categories on the site. EBay does not hawk its own wares.

When Amazon introduced a new long-term storage fee for items that sit in its warehouses more than a year, some sellers elected to have the company destroy their unsold inventory as it was cheaper than getting the items shipped back to them.

Kat Simpson, a third-party merchant who also trains others how to sell on Amazon, said the company charges her 50 cents per item to return unsold inventory from its warehouses but just 15 cents per item to destroy it, she said.

"I would have said everybody needed to try FBA last year. Now I would say no," she said. "If you are selling items under $25, you won't do as well on Amazon as on eBay profit wise."

It costs $3.92 to sell a $10 item on Amazon and $2.72 on eBay, according to Bill Vogel of The Cumberland Companies, which sells on both. But eBay takes more time and most merchants store inventory themselves, adding other costs, he noted.

For now, many merchants remain tied to Amazon's marketplace, which has two million third-party sellers.

"Customers like lower prices, but customers also like greater convenience, faster shipping and great selection," said Tom Taylor, vice president of Amazon's FBA business.

Some seller fees, particularly for some larger products, have been cut, he noted.

Competitors


Wal-Mart's marketplace now features just six merchants: Wayfair, Plumstruck, eBags, ProTeam, ToolKing and Shoebuy. Spokesman Dan Toporek said the world's largest retailer is trying to expand available products and it "is a key component of that strategy to accelerate the growth."

Google may be the bigger threat. It already owns most of the necessary pieces, such as product search, listings and a payment service—it just hasn't combined them yet.

It began testing a same-day delivery service with retailers in recent weeks, sparking speculation it's building a marketplace. A spokeswoman said Google is always working to improve the user experience, including shopping.

"If somebody comes in, a Google for instance, and says you can list with us and we will give you wide exposure at much lower cost, that would be a problem for Amazon," said Scott Tilghman, an analyst at B. Riley Caris.

Consumers want selection, bargains and fast shipping, which all cost money. Getting sellers to cover those expenses could drive them elsewhere. Yet if marketplace operators cover such costs, their profits suffer and shareholders grumble.

"There's always a trade-off," said Ken Sena, an analyst at Evercore Partners. "There's always that risk that sellers could defect." — Reuters

source: gmanetwork.com

Earn Cash Rebates on Your Online Christmas Shopping

With Christmas just around the corner, the promise of rebates for shopping online at our favorite retailers is irresistible. Great Canadian Rebates is a website offering us just that. Although the site is Canadian, it has an extensive US membership and offers.









Here’s how the website works:

First, you need to register.  There is no fee required to register and there are no membership fees.  After registration, you can earn cash back rebates by shopping at hundreds of your favourite merchants on the Great Canadian Rebates website.  Just for becoming a member, GCR will deposit a toonie into your account.

For every purchase made through the website, Great Canadian Rebates gets a commission from the merchant and, according to them, they pass most of the commission back to you in the form of a cash back rebate, which is paid by cheque or can be directly deposited into your PayPal account on a bi-monthly basis. Most rebates are posted to your Great Canadian Rebates account within 72 hours but it may take up to 30 days from the time of the purchase for the rebate to appear.

There is a minimum 45 day wait period before you’ll actually be paid a rebate. This is so Great Canadian Rebates can collect their money from the retailer and ensure that merchandise hasn’t been returned. If you decide to return a purchase, the rebate earned will be debited from your account. The cash back rebate will remain if the return is only to exchange a size or get an item in a different colour.


Great Canadian Rebates updates their coupons, sales and deals daily. Some of the over 300 retailers you’ll find on the website include Walmart, Dell, The Bay, Sears, Expedia, Home Depot, Apple Store Canada, Chapters. Indigo, Hotels.com, Sony Style Canada, Groupon, MBNA, American Express and lots more.

Almost every purchase made through Great Canadian Rebates qualifies for a Cash Back Rebate. The exceptions are shipping and handling fees, taxes and any part of your purchase paid for with coupons, gift cards or store credits. You will earn an average of five percent cash back through the website and even more by using their coupons and sales links.

You can also earn referral bonuses of 10 percent on each of your friends who join and earn cash back rebates.
LIMITED TIME $60 MBNA BONUS!

They are also offering $60 cash back when you apply for an MBNA MasterCard and a $25 referral bonus per credit card when any of your referrals are approved by MBNA for any credit card listed on the site and reported to Great Canadian Rebates during November and December.

There are a few simple rules you need to follow in order to qualify for a rebate.

• All orders must be placed through the GCR website, not over the phone.
• You can’t use coupon codes found on other sites.
• Cookies must be turned on.
• Any Ad Blocker program you have must be turned off.
• Click on the appropriate link from GreatCanadianRebates.ca to the merchant before adding to a cart, before a purchase, a reservation or an application.
• Use coupon codes from the GCR site only.
• Purchases must be made by using the online cart, reservation system or application system.
• To make sure of your rebate, be sure to close all other windows you may have opened and click only the link on the GCR website.

All rebates are paid in Canadian funds. Any purchase made in US funds or reported by the merchant in US funds, will be converted into Canadian Dollars based on that day’s exchange rate.

If you do a lot of online shopping, especially at this time of year, you’ve got nothing to lose and cash back to gain when you sign up at Great Canadian Rebates.

Even More Cash Back Tip

If you use your cash back credit card, such as the MBNA SmartCash card, you can earn cash back on your credit card and Great Canadian Rebates.

source: financialhighway.com