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Join the waiting list You will be notified by email when this item is available for purchase. Thank you for your patience. The most downloaded free app on both the App Store and Google Play in the past two months was TikTok; Not YouTube or Instagram, but a shopping app that’s been around for the past four months.
Temu offers special discounts on many products, many of which are shipped directly from factories or warehouses in China. In addition to the incredibly low prices, Temu’s popularity can be doubted for its strategy of promoting the app on their social networks and offering free stuff to users to get their friends and family to sign up.
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But the company, which is the US arm of Chinese e-commerce giant Pinduoduo, is reporting undelivered packages, mysterious charges; It’s starting to get a reputation for incorrect orders and unresponsive customer service. Temu has been the subject of over 30 complaints to the Better Business Bureau and has a BBB customer rating of less than 1.5 stars.
“They make promises to pay, and people don’t get things when they should,” said Melanie McGovern, director of public relations and social media for the BBB.
When contacted, The company does not directly inquire about customer complaints and BBB concerns.
Temu’s business model—if it pans out—could have major implications for U.S. retailers and the global supply chain in the year ahead.
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At first glance, It might make some users wonder if Temu is legit or not. Besides really cheap consumer goods; Temu boasts opportunities to earn credits through wheel games or by getting your friends to join. Over the past two months, Posts praising Temu on Facebook, It’s spread like wildfire on Twitter and TikTok, though most use glossy language that seems to be recycled from one post to the next.
But now, Temu offers everything from deep fryers to Lenovo wireless headphones ($8.98); computer keyboard ($15); It’s a platform that offers real products at discounted prices on clothing ($1.69 for five pairs of socks). Users turned to Temu as their holiday shopping lifeline this month in the face of the highest inflation in a generation, making it one of the fastest-growing platforms in the US.
A better question is whether Temu is not for sale. Users on the Temu website or app are immediately besieged by deals of all kinds: running shoes for $17.48; universal keys $4.48; Talking Toy Hamster $6.99 New Year’s Sale features products up to 90% off retail prices in a banner. The range of items and prices are remarkable, and the beauty of the site is that it becomes a virtual dollar store.
Temu offers extremely low prices on a variety of affordable consumer goods shipped directly from factories and warehouses in China.
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But the strategy makes sense when you realize that Temu is a sister company of Chinese e-commerce giant Pinduoduo. Pinduoduo is successful in China by selling discounted products directly from manufacturers to low-income buyers, as well as agricultural products to farmers. The company now has a market capitalization of $102 billion, and its share price has soared in a year that has seen it hit hard by rivals such as Alibaba.
Pinduoduo began courting Temu in the US market in September, and Temu’s website lists an office in downtown Boston. A Temu spokesperson answered questions with a statement on its website: The company’s prices are “enabled by a deep network of merchants, logistics partners and an established ecosystem [Pinduoduo] has built over many years”.
Although Temu’s prices are cheap, Many new customers don’t actually pay anything. Because Temu the more others sign up. The more credits you get, This allowed Temu to accept certain household items with enough credit without even revealing their credit card information.
“It looks like they’re being subsidized to become a loss leader to gain market share, unlike what Amazon has done for a long time, it’s being subsidized to become a loss leader,” said Douglas Schmidt, a computer science professor at Vanderbilt University.
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Fort Worth, Texas resident Brianna Lukey says she got $200 worth of free stuff from Temu. She first heard about the app from a friend about a month ago, and at first, “I know there’s a lot of stuff that’s not official,” she says. “But that’s it.”
Lukey Facebook; He posted about Temu on TikTok and Snapchat and eventually convinced his friends to join the app, earning a lot of credit in the process. She runs her small plastic art business; A light ring for Array of Aura’s ($25.48); oil filler ($5.48); I ordered several necklaces and a mouse and keyboard ($19.98) for my daughter. Lukey says the keyboard works well: “I didn’t expect it to be this good. But it’s pretty good to be free,” she said. “For that I am grateful.”
Temu can give Lukey a lot of stuff without handing over money, but the company gets free publicity through Lukey’s social network. Temu brands the campaign as a way for communities to come together and save money: their motto is “Team Up, Price Down”.
The tactic seemed to work: When Lukey posted a photo of her Temu shipment on Facebook, her post was soon flooded with 70 comments from her Facebook friends.
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However, one of the comments on Lukey’s post was significantly less positive than the others. Julie Roper Malloy wrote that a package she ordered from Temu containing Christmas gifts never arrived, despite the company’s promise that it would be delivered by Dec. 19. “Still waiting for my November order. Thanks Temu, you ruined Christmas.” she wrote
In a Facebook message with Roper Malloy, Temu said she spent $178 on gifts for her family, including two drones and some makeup for her daughter. But the goods did not arrive. Roper Malloy said he has contacted the company several times for a refund, but has yet to receive one. “I’m sure I’ll be more diligent about ordering online in the future,” she wrote. [Update: After this article was published; Roper Malloy received Temu orders and reimbursement from the company.]
Roper Malloy wasn’t the only one having trouble with the Temu command. Temu himself admits that orders from Amazon take longer – typically 7-15 business days – because they come from “overseas warehouses”. But Temu seems to be having trouble delivering within that larger window. In October, the Better Business Bureau’s Boston branch opened a case against Temu, receiving 31 complaints about the site.
Temu currently has a C rating on the BBB and an average customer rating of 1.4 out of 5 stars. Only 20 reviews. (Complaints are separate from reviews, which are not included in BBB’s official rating.) BBB’s McGovern said it’s unusual for a new company like this to receive so many complaints in such a short period of time. She notes that Temu has acknowledged and responded to every complaint posted on the BBB website, but most of those complaints remain unresolved.
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Temu’s sister company, Pinduoduo, is known for counterfeit products that don’t match their descriptions. It has long been accused of hosting illegal goods or merchandise for sale. (Pinduoduo
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