A new Chinese online sales platform, “Temu,” is quickly capturing the Serbian market. Known for its low prices, extensive product range, and aggressive advertising, “Temu” has become popular across various age groups. However, questions about payment methods and government scrutiny persist. Founded by Colin Huang, the wealthiest man in China and the 25th richest person in the world, “Temu” offers goods at remarkably low prices—a practice that has fueled its rapid global expansion and caught the attention of Serbian consumers.
“Temu” hits major milestones
The “Temu” app, which has been downloaded over 600 million times worldwide, made its Serbian debut in May after establishing a strong presence in the U.S., Canada, Australia, and Europe. The app’s success in markets such as the UK, France and Spain is attributed to its broad appeal and strategic targeting of various demographics.
Marketing expert Miljan Premović notes that while “Temu” has successfully attracted different generational groups, including Baby Boomers, Generation X and Generation Z, the latter may not always be easily swayed by low prices.
How “Temu” operates and the questions it raises
The platform’s success is largely due to its integration of high demand with a vast network of low-cost Chinese manufacturers, allowing direct global sales. Technology and innovation expert Ivan Ostojić explains that “Temu” and similar platforms are part of a broader trend where large tech giants vie for dominance in the global market. He suggests that such platforms may eventually become natural monopolies, affecting the competitive landscape and regulatory environment.
Regulatory scrutiny and consumer caution
Despite its success, “Temu” has faced controversies regarding product quality and safety, including issues with electronics, toys, counterfeiting, and delivery problems. These concerns have attracted scrutiny from several governments, particularly in the U.S. and Europe.
Marko Dragić from the National Organization for Consumer Protection advises Serbian consumers to be cautious. Since Serbian consumer protection laws do not apply to international purchases, buyers should be aware that their rights may not be fully protected. Additionally, consumers should carefully review all online payment notifications and avoid sharing their card information.
Impact on Serbian logistics
The rise of “Temu” has significantly impacted local logistics. The Serbian Post has reported a 30% increase in shipments, with expectations for a further 20% rise in August. By the end of the year, it is estimated that “Temu” will contribute to the receipt of five million packages in Serbia alone.
As “Temu” continues to expand its footprint, its influence on the Serbian market and global e-commerce dynamics will remain a point of interest and concern.
