(Boston) — Online marketplace Temu is emerging as a powerful new growth channel for merchants already selling on Amazon and eBay, offering sellers lower costs, easier global access, and a growing base of international buyers. The platform, owned by PDD Holdings, has quickly become a preferred alternative for retailers looking to expand beyond the highly competitive environments of established U.S. e-commerce giants.
A New Avenue for Growth
Since its U.S. debut in 2022, Temu has positioned itself as a low-barrier gateway for sellers seeking to reach millions of buyers across more than 90 global markets. For Amazon and eBay merchants facing rising fees and intense competition, Temu’s simplified onboarding and logistics infrastructure present a faster route to new revenue streams.
Sellers can list products without monthly subscription charges or high referral fees, a sharp contrast to Amazon’s and eBay’s tiered cost structures. Temu’s commission rates average below 10%, while Amazon’s can climb past 15% once fulfillment and advertising costs are included. The cost advantage has encouraged many small and mid-sized businesses to test Temu as a supplemental sales channel.
Leveraging Existing Inventory
Temu’s cross-border fulfillment system allows existing online sellers to repurpose their current inventory and product data. Retailers can import product listings directly from Amazon or eBay, cutting down on administrative time. Temu’s integration with logistics partners such as 4PX and YunExpress enables sellers to ship from U.S. warehouses or rely on Temu’s global network for overseas buyers.
For Amazon sellers constrained by inventory limits or high FBA (Fulfilled by Amazon) fees, Temu offers a way to liquidate excess stock while maintaining international exposure. Many sellers are now splitting shipments between Amazon and Temu to reach both premium and discount-driven audiences.
Expanding Global Reach
Temu’s rapid international rollout is opening markets that were previously difficult for independent U.S. sellers to penetrate. Through its centralized logistics model, Temu manages customs, delivery, and payment processing across dozens of countries, from Canada and the U.K. to Germany, Australia, and Japan.
That global reach provides an opportunity for sellers who previously lacked the resources or infrastructure to scale internationally. Temu’s app, now among the most downloaded in multiple regions, allows sellers’ products to gain visibility across a massive consumer base with minimal upfront marketing investment.
Competing Platforms, Divergent Models
Temu’s approach differs sharply from Amazon’s self-managed seller ecosystem and eBay’s auction-style marketplace. While both competitors rely on merchant-driven marketing, Temu’s algorithm curates product visibility and dynamically adjusts pricing to drive conversions. The model, similar to that of PDD Holdings’ Pinduoduo in China, emphasizes affordability and high-volume transactions.
For sellers, that means Temu handles much of the promotion automatically — a key advantage for small businesses without large advertising budgets. By contrast, Amazon and eBay increasingly depend on paid ads to determine search visibility.
The Shift in Online Retail Strategy
As inflation and shipping costs pressure margins, many online sellers are diversifying beyond Amazon and eBay to maintain profitability. Platforms like Temu, SHEIN Marketplace, and TikTok Shop are reshaping the competitive landscape by offering sellers alternative ways to reach consumers at lower operational costs.
Temu’s seller recruitment push, which began in earnest in late 2024, now includes incentives for top-performing merchants and streamlined onboarding through its “Sell on Temu” portal. The company has also expanded warehousing partnerships in the U.S. and Europe to support faster delivery.
A New Competitive Equation
Temu’s emergence represents a fundamental shift in global e-commerce dynamics. By giving Amazon and eBay sellers a direct, low-cost route to international markets, it is redefining how online retailers scale their operations. For many, joining Temu is no longer just an experiment — it’s becoming a strategic extension of their business model.
As Temu continues to gain market share, its ability to attract experienced sellers from established marketplaces could accelerate its rise as one of the most influential players in global e-commerce — and potentially reshape where the next generation of online retail growth occurs.
https://seller.temu.com/registration.html?merchant_exclusive_invitation_code=28f00d1853b281f9Zdf8232ccce6d6a59