The ultra-low-cost e-commerce platform Temu, owned by PDD Holdings, has announced its entry into the Asian market with the launch of its services in Japan. Temu, the sister site of Chinese discount e-commerce platform Pinduoduo, has gained popularity in the West by offering rock-bottom prices on a wide range of products, including clothing, electronics, and home goods.
Temu’s website now includes a drop-down menu that confirms Japan as one of the countries it ships to, indicating its recent expansion into the Japanese market.
The platform has consistently ranked at or near the top of app download charts in many of these countries. This success can be attributed to its ability to attract consumers grappling with inflation and a cost-of-living crisis.
Vion Zhi Voon Yau, head of research at consultancy Momentum Works, views Japan as an “attractive, affluent” market for Temu. However, the challenge for Temu lies in effectively adapting its business model and navigating the local nuances of the Japanese market. The success of Temu’s expansion into Japan remains to be seen.
