Can This Discount Retail Company Beat Amazon At Its Own Game?
If most companies bought five commercial slots during the Super Bowl only to run the same ad five times, it would seem like a waste. When Temu did it this year, it was just a reminder of its business model. The Chinese e-commerce challenger is trying to become a household name among American consumers by focusing on sheer volume rather than quality to increase its market share.
Temu has been a near-constant presence in Americans' social media feeds and even their routine web browsing for more than a year, promoting the lowest-cost options of everything from shower caddies to camera drones. This has led to strong growth for PDD Holdings (NASDAQ: PDD), Temu's parent company, whose stock price has risen more than 50% in the past year. For consumers focused on the lowest-price marketplace, Temu has become an attractive alternative to Amazon's (NASDAQ: AMZN) e-commerce offerings.
Source Fool.com
