(Boston) — Temu, the fast-growing global e-commerce platform operated by PDD Holdings, is reshaping the economics of online retail with one of the lowest fee structures in the industry. As marketplaces like Amazon, eBay, and Walmart increase costs for sellers, Temu’s lean commission model is drawing a wave of new entrepreneurs, small businesses, and first-time online retailers eager to compete on a global stage.
A Marketplace Built for Affordability
Temu’s rise has been rapid since its 2022 launch, expanding into more than 90 countries and attracting tens of thousands of sellers worldwide. The platform’s low-cost foundation has become its strongest magnet for growth. Unlike traditional marketplaces that charge multiple layers of listing, referral, and fulfillment fees, Temu typically takes between 5% and 10% commission per sale — without monthly subscriptions, advertising fees, or warehouse surcharges.
This model sharply contrasts with Amazon, where sellers often face combined costs exceeding 30% of the final sale price once referral, fulfillment, and storage fees are included. For smaller businesses and independent sellers, Temu’s approach offers a way to maintain profitability while reaching a massive consumer base.
Empowering First-Time Sellers
Temu’s simplified seller onboarding process is also accelerating the entry of new online retailers. Sellers can register with minimal documentation, upload products, and begin selling to international buyers within days. The platform handles cross-border logistics, payment processing, and customer service — functions that previously required substantial investment or technical knowledge.
This streamlined system has made Temu particularly attractive to individuals entering e-commerce for the first time. Many are former social media resellers, boutique operators, or small-scale manufacturers now using Temu to formalize their operations and expand internationally.
Lower Barriers, Higher Opportunity
The combination of low fees and broad reach allows sellers to experiment with product lines and pricing strategies that would be too risky on costlier platforms. A seller can launch dozens of listings without incurring upfront expenses, enabling agile testing of demand across categories such as apparel, beauty, home goods, and consumer electronics.
Temu’s data analytics tools further support this flexibility. Merchants gain insights into conversion rates, buyer locations, and trending products — helping them identify profitable niches faster than on marketplaces that require paid promotions for visibility.
Competing With Established Giants
While Amazon and eBay dominate the mature e-commerce ecosystem, Temu’s fee advantage has begun to erode their appeal for budget-conscious sellers. Many merchants who once relied on Amazon’s Fulfilled-by-Amazon (FBA) service have migrated to Temu to avoid rising storage and advertising costs.
Temu’s direct-to-consumer model — which emphasizes manufacturer relationships and centralized logistics — enables it to maintain low operational expenses, which in turn translates to lower fees for sellers. By absorbing marketing and fulfillment overhead, Temu levels the playing field for small and midsize businesses competing against larger, established brands.
A Platform for the Next Wave of Entrepreneurs
Temu’s model is proving particularly attractive to younger, digital-native entrepreneurs who value flexibility over infrastructure. With no need for warehouses, upfront capital, or complex software integrations, sellers can operate from anywhere and access a global audience overnight.
This has led to a surge of “micro-sellers” — individuals running lean online operations through Temu as side businesses or scalable ventures. The trend echoes the early days of eBay and Shopify, when low-cost entry barriers fueled waves of small business creation.
Reinventing Marketplace Economics
As consumer spending remains sensitive to price, Temu’s low-fee ecosystem offers sellers a sustainable path to profitability. Its approach reflects a broader shift in global retail toward efficiency and volume rather than premium markups.
For new online sellers, the equation is straightforward: fewer fees mean faster growth and higher margins. And for Temu, that formula is paying off — turning the platform into a launchpad for a new generation of digital entrepreneurs seeking to compete in the world’s fastest-growing online marketplaces.
Temu’s low-cost, high-visibility structure is not only changing how products are sold — it’s redefining who gets to participate in global commerce.
https://seller.temu.com/registration.html?merchant_exclusive_invitation_code=28f00d1853b281f9Zdf8232ccce6d6a59