Launching its service in the United States in September 2022, Temu quickly became a formidable contender against established players like Amazon and eBay, thanks to its ultra-competitive pricing strategy. (Image from Temu webpage)
SEOUL, Apr. 4 (Korea Bizwire) – In a striking surge of market dynamics, Temu, the Chinese shopping platform, saw its South Korean user base grow by over 40% last month, closely rivaling the more established AliExpress.
According to analytics services WiseApp and Mobile Index, Temu’s user count in South Korea grew from 5.8 million in February to an impressive 8.3 million in March, marking a substantial increase of 2.49 million users (42.8%).
During the same period, AliExpress experienced a growth of 680,000 users (8.4%), increasing from 8.18 million to 8.87 million. These figures highlight a significant shift in consumer preference and market share within the South Korean e-commerce landscape.
IGAWorks’ Mobile Index also noted a remarkable 46.3% rise in Temu’s domestic mobile app users from February to March, from 4.34 million to 6.36 million.
In contrast, AliExpress’s mobile app user base in South Korea was estimated to have grown from 6.21 million to 6.94 million during the same timeframe.
Despite entering the South Korean market much later in July last year, compared to AliExpress’s debut in 2018, Temu has quickly gained traction.
Its aggressive marketing strategies, including the distribution of cash-equivalent coupons and engaging users through roulette games and a multi-level marketing scheme, have sparked debates but also contributed to its rapid user acquisition.
Those in the retail industry attribute the explosive growth in users for both platforms to the rising consumer interest in ultra-low-cost direct-purchase items.
M. H. Lee (mhlee@koreabizwire.com)
