Overview

• Chinese e-commerce platforms Shein and Temu are dominating global holiday shopping, with Salesforce projecting $160 billion in sales outside China for Asian-based marketplaces this year.
• Temu employs gamified shopping tactics, offering steep discounts and urgency-driven features, while Shein leverages influencer partnerships to target young women with trendy, affordable fashion.
• Both platforms are expanding beyond their low-cost origins, with Temu focusing on larger items like furniture and Shein partnering with established brands like Forever 21 and The Children's Place.
• Criticism surrounds the platforms over allegations of forced labor, environmental concerns, and their use of duty-free trade rules, prompting U.S. lawmakers and regulators to propose stricter oversight.
• To compete with Amazon and mitigate regulatory risks, both companies have established U.S.-based warehouses to improve delivery times and diversify their customer bases.