Coincidentally or joined forces?Whether the TEMU of the Temu of Pinduoduo and the Rabbit can be the next shein

"As a young company, Pinduoduo has been exploring new opportunities, and overseas business has the possibility of creating new value."

Pinduoduo (PDD, a stock price of $ 72.19, a market value of $ 91276 billion) CEO Chen Lei revealed the new cross -border business at the Q2 financial report telephone meeting this year. Three days later, September 1, Pinduoduo officially launched the "" Temu's cross -border e -commerce platform has been launched overseas two versions: APP and PC.

"Team Up, Price DOWN" (There are many people who buy it, the price is low.) - The slogan existed in the introduction of the application store can't help but remind people, "Overseas Edition Pinduoduo" seems to be "the original formula, familiar familiar smell".

It is reported that at present, TEMU has been put on jewelry, clothing, underwear, shoe bags, 3C digital and other categories of products, and has played a "low -price" ace on the eye -catching position of the webpage and APP homepage.

Why do Pinduoduo hit the price battle to the other side of the ocean?

Judging from the recent financial report, overseas markets are undoubtedly a new continent selected by Pinduoduo after the continuous slowdown of users. At the beginning of exploring this new continent, Pinduoduo seemed to try to walk on the footprints left by his predecessors.

In terms of product business model, TEMU chose a similar play to Shein: the seller was shipped to the domestic warehouse in Guangzhou, and the platform was priced and sold. At the same time, there are market rumors that most of the Temu teams have dug corners from cross -border e -commerce platforms such as Shein.

According to statistics from EUROMOOMONITOR International, a world -renowned market survey agency, SHEIN's GMV exceeded 10 billion US dollars in 2020, a growth rate of 250%; The United States surpassed H & M for the first time and became the national fast fashion sales champion.

On June 2, 2022, shein opened the first physical store picture source in Madrid: icphoto-1491526912354418689

In the face of giant whales that have lived in this water, how will Pinduoduo fight for growth?

Coincidentally, at the juncture of Pinduoduo, the "old partner" extremely rabbit also announced a new layout for overseas markets. On August 26, Jimbu International officially released Ji Rabbit Wangbao products, providing customers with prices and stable cross -border light sub -delivery services for customers sent to Europe and the United States. This also adds imagination to Pinduoduo's going to the sea.

"We also fully understand that overseas business will be full of challenges, and we need to try it constantly." Chen Lei seems to be mentally prepared for the challenges that TEMU will encounter in the future. "We will not simply repeat what others have done, and we will work hard to create Out of your own unique value. "

TEMU is launched in North America, and the seller is only the supplier?

The eye -catching "TEMU" four capital letters, small icons of dresses, children's Trojan, high heels and handbags, with an orange background -behind such a logo, Pinduoduo's cross -border business officially landed in North America.

The reporter found that the TEMU APP has a simple design style, similar to the style of overseas shopping apps such as eBay, Amazon, and Sephora. At present, the APP has 14 products such as jewelry, clothing, underwear, shoe and bags, beauty, pet products, home horticultural supplies, and electronic products.

Picture source: TEMU screenshot

In terms of commodity prices, Pinduoduo still plays ace, "Team Up, Price Down "'s slogan of" multi -spelling "explains everything. "Autumn new products are as low as 0.99 US dollars", "Newcomers enjoy a 20 % discount", "September 2nd to 6th from all orders free shipping", the rolling head map of the main interface also reveals that TEMU wants to kill by price advantage to kill everywhere. Open a bloody ambition.

On TEMU, the price of a short sleeve is basically within $ 15, and the price of a pair of earrings is around $ 2. Jiuqian Zhongtai data shows that the average price of clothing, shoes, bags, accessories and other products sold by Shein is $ 10 per piece. Therefore, Temu's product pricing is close to SHEIN, which is much lower than the price on other overseas e -commerce platforms such as Amazon.

According to interface news reports, the minutes of the Pinduoduo Live Live Conference mentioned that TEMU positioning is positioned with medium -end users, rather than Pinduoduo's main sinking market in China. It can be seen on the TEMU's APP that some products of clothing and daily department stores have already sold records.

While supporting the department store in North America, Pinduoduo also made a rushing investment in China.

According to the "Pinduoduo Cross -border E -commerce Investment Guide", TEMU recruits the first batch of businesses with certain supply capacity and cross -border experience with "0 yuan to settle in, 0 commissions", "with cross -border e -commerce platform experience, independent stations, independent stations Suppliers with experience or North American market experience preferred. "

It is worth noting that TEMU uses the supply model, which is very different from third -party sellers on e -commerce platforms such as Amazon.

TEMU's product launch sales process is that the seller will send samples to the platform after the buyer is selected. The product is priced by the platform. Merchants can be confirmed and priced. "

Picture source: TEMU screenshot

Zhuang Shuai, an expert in the retail e -commerce industry and the founder of Bailian Consulting, said in an interview with the reporter of the Daily Economic News that this supply model is similar to that of Jingdong's self -operated. The advantage is that one is the management of inventory, that is, the control of supply and quality is stricter; the second is that Pinduoduo has a pricing power to ensure corresponding profits. "For export merchants, this model is also attractive, eliminating the cumbersome operation of the platform, and can also enjoy bonus." He believes that in a sense, TEMU is a smooth wind from some merchants. Car, "(merchants) will gain sales growth through the vigorous promotion of Pinduoduo itself, and will also obtain more platform support, preferential terms, shorter account periods and better profits."

Joining the Nuggets overseas, Temu is going to go to Shein?

This small step that Pinduoduo took out in North America was not surprising. In fact, going to sea is no longer a fresh range for Internet giants.

As one of the first domestic e -commerce platforms that embrace overseas markets, Alibaba (HK09988, a stock price of HK $ 90.65, and a market value of HK $ 1.92 trillion) has gradually expanded from the initial Alibaba International Station to the global speed sales, Lazada deeply cultivated in the Southeast Asian market, Trendyol, who serves the Turkish market, and a large ecosystem of platforms such as Pakistan's Daraz root.

At the same time, JD.com (HK09618, HK $ 244, and a market value of HK $ 770.9 billion) DMONSTUDIO, a cross -border women's independent station, is also an attempt for Internet giants to do on the way to sea.

Overseas markets have become a place where giants write new stories.

Internet analyst Zhang Shule said in an interview with "Daily Economic News" on WeChat that the reason why large manufacturers frequently went to sea because domestic e -commerce companies have become red sea. After leaving the country, overseas markets have a platform for domestic brands and international small and medium -sized brands, that is, an incremental market.

The "2022 Global E -commerce Market Forecast Report" released by the well -known market research institution EMARKETER shows that global e -commerce sales in 2022 are expected to exceed $ 5 trillion for the first time, accounting for one -fifth of the total retail volume. It is expected Over $ 7 trillion. In addition, according to customs statistics, in the first half of 2021, China's cross -border e -commerce imports and exports were 886.7 billion yuan, an increase of 28.6%year -on -year.

Global e -commerce sales trend chart

(Red curve represents the trend of increased sales of global e -commerce sales, and the blue curve indicates that global e -commerce sales accounted for a change in the proportion of global overall sales.)

Image source: EMARKETER, January 2022

Such a seductive big cake may happen to be the second curve where Pinduoduo wants to look for now.

Although Q2 increased 36%year -on -year revenue data that surprised the market, Liu Yan, Vice President of Pinduoduo Financial Vice President, said at the financial report and telephone meeting that occasional factors such as some promotion and agricultural projects, and reduced business activities such as travel. The overall cost of the quarter, so the profit of this quarter should not be used as a reference for the future.

Looking back at the previous data, according to the financial report, in 2021, the number of newly active buyers in Pinduoduo in a single quarter was 35 million, 26 million, 0.7 billion, and 014 million. The growth rate is the lowest point since 2019.

In this regard, Li Chengdong, an e -commerce angel investor and the founder of Dolphin Club, told the reporter of the Daily Economic News that for Pinduoduo, the domestic market competition is too fierce. Seeing what is doing international, this is a thing worthy of continuous attention for investors. "

As for the steps of Pinduoduo how to be in overseas markets, in addition to imitating Shein's supply model, TEMU seems to be "carrying" the talent team of Shein. On social platforms such as the pulse and Xiaohongshu, those who were close to Shein revealed that many Shein employees have recently received the invitation of Pinduoduo.

Concentrated similar talent reserves and business play. Will the strategy of competing with Shein competition with Shein will be a replication of a shein?

Li Chengdong analyzed that at present, Temu is still difficult to follow Shein's road. Because TEMU mainly depends on self -employment in a short period of time, there are relatively few third -party merchants, which allows Pinduoduo to switch from a multi -platform model to a self -operated company.

At the same time, Zhuang Shuai believes that Pinduoduo will definitely compete with Shein overseas, but both sides can find differentiated methods. "But I am more optimistic about Pinduoduo. Shein, headquarters abroad, is a major advantage of Pinduoduo. "

Pinduoduo overseas story: Can you copy the domestic miracle?

"Many peers have achieved good results. We think this is a direction worth trying." Chen Lei said when talking about overseas business expansion at the financial report telephone.

As he said, domestic players in the overseas e -commerce market are Ali, JD.com, which have been rooted in domestic e -commerce giants, and new challengers with TIKTOK. Divided into cakes and created a wave of growth miracles. But most of the pioneers are not as lucky as Shein, and the layout has not yet blossomed for many years. The theoretical level of feasibility schemes and the practical level of substantial operations have proved lessons in trial error in several years of trial and error. Going to sea is not a frank way.

"However, we also fully understand that overseas business will be full of challenges and need to be continuously trying. This process will not be achieved overnight, but the experience accumulated in the process will be very valuable for the company and the team." Chen Lei said.

But the long -lasting market nerves have been provoked. Pinduoduo's dazzling performance in the second quarter and the intensive overseas layout have filled the expectations of the outside world.

How much is the victory?

From the actual operation level, e -commerce platforms are out of sea, and although it is not wise to copy the domestic model in China, the core positioning, traffic, customer acquisition, infrastructure, and performance are still indispensable. Each item may determine success or failure. Essence

At the level of infrastructure and performance, the extremely rabbit that has always been regarded as a "logistics partner" that has always been regarded by the outside world also coincides with new products for the European and American markets a few days ago.

On August 26, Jimbu International officially released Ji Rabbit Wangbao products. Relying on the advantages of Rabbit International in cross -border full -link resources, it provides customers who send them to Europe and the United States with price preferential and stable cross -border light small small small small small small small small small small small small small small small small little Piece delivery service.

The reporter noticed that the package price of Ji Rabbit Wangbao service was as low as 5 US dollars, providing services for small commodity businesses such as accessories, 3C products and accessories. In addition, from receiving the receipt, 7-15 working days can be transported empty.

The long -term layout of extremely rabbits in overseas markets may bring a hint of imagination to the sea. However, from the perspective of traffic and customer acquisition, as the domestic e -commerce market, expensive traffic and low conversion are also the current situation of the cross -border e -commerce market.

Amazon operation tool Sellics data shows that from 2021-2022, Amazon's CPC (click cost) increased by 22%year-on-year to 87 cents. Even though the cost of advertising in Amazon's station has become increasingly higher, compared with platforms such as Google and Wal -Mart, there is still a certain advantage. The high degree of flow cost is evident.

Compared with advertising in traditional stations, social media has the advantages of naturally close to customer bases, low thresholds, and high cost -effectiveness. Pinduoduo's success in the country, to a certain extent, may also benefit from the rapid fission effect of social attributes caused by mature social media such as WeChat such as WeChat. However, the marketing maturity of overseas social media and the genes that are highly fitted with itself are actually not available in the short term.

In addition, considering Amazon's large -scale blockade of Chinese sellers and PayPal, it has brought uncertainty to the overseas e -commerce market's operating environment to some Chinese seller accounts and the clearing of funds.

On the other hand, the highly compliance problem behind it is still the sword of Damocles hanging on each player's head.

Zhu Sha, partner of Zhejiang Kenting Law Firm, said in an interview with the reporter of "Daily Economic News" that the asymmetry of information is the biggest challenge for cross -border e -commerce to go to sea. In addition to the problems such as intellectual property rights, content compliance, and product output under market rules, it is more about the differentiation of local policies, religion, culture, and legal regulations that have caused "uncertainty of going to sea".

She also believes that before carrying out business, it is necessary to do a good job of investigating relevant laws and regulations and market standards. Such as reducing the risks of relevant laws and regulations such as labor dispatch, taxation, taxation, and customs regulations.

In this way, many domestic and effective marketing and drainage methods are difficult to work in the overseas e -commerce market. In addition to compliance, judging from the strategic trend of mainstream overseas e -commerce platforms, sellers who make a living with low -quality cargo models will gradually disappear, and a large number of new high -quality sellers will become the main merchant ecology, branding and high quality Operation is also the future of the entire overseas e -commerce market, and it is difficult for someone to be alone.

"We will not simply repeat what others have done." But what is the uniqueness of Chen Lei's mouth to go to the sea, it still needs to be tested in the market.

The huge overseas e -commerce market contains treasures, but the trip to the gold rush is bound to be extremely dangerous. The huge efforts may not be exchanged for a certain gain. Domestic players who live a "tight" life will be difficult to see growth in the short term.

After all, the cruel overseas e -commerce battlefields will not care about more people who break through. And Pinduoduo went to the sea, leaving a war book written to Shein.

Daily Economic News

- END -