Temu is winning big in South Africa

One year after its launch in South Africa, Temu says it is gaining ground, with a growing number of consumers turning to the platform for affordable, high-quality products.
According to a survey conducted by News24 in partnership with Temu, one in three South African respondents have used the platform, and nearly 40% of these have become active monthly users.
These figures reflect Temu’s rapid rise and its increasing appeal to budget-conscious shoppers.
Temu, owned by global online retail giant PDD Holdings, debuted in South Africa in January 2024. Its success is attributed to a combination of affordable pricing, a diverse product range, and savvy marketing strategies.
By eliminating intermediaries and connecting consumers directly with manufacturers, Temu offers factory-direct prices that resonate with South Africans, particularly as price remains the most significant purchasing factor for 65% of surveyed consumers.
Additionally, 81% of respondents agree that this model delivers high-quality products at significantly reduced prices.
The survey results highlight how Temu’s value proposition has struck a chord with local shoppers.
Among its users, 81% cited affordability as a key reason for their loyalty, and 46% estimated saving more than half their shopping budget through the platform.
These savings, combined with a growing reputation for reliability, have translated into strong consumer satisfaction.
Over three-quarters of Temu’s customers (77%) would recommend the platform to friends and family, underscoring its broad appeal.
The platform’s popularity is further evidenced by logistical challenges arising from a surge in demand.
Buffalo International Logistics, which handles orders for Temu and fellow international retailer Shein, has reported delays due to the overwhelming volume of orders.
This surge highlights the significant traction Temu has gained in a relatively short time.
Sensor Tower data shows that weekly app downloads in South Africa ranged from 72,000 to 551,000 during the third quarter of 2024, while active users jumped from around 788,000 in mid-August to nearly 1.8 million by late September.

The broader e-commerce landscape in South Africa is also evolving.
The survey revealed that 64% of respondents are shopping online more frequently than a year ago, driven by convenience (72%), price comparison capabilities (56%), flexible shopping hours (53%), and access to a wider product range (51%).
Temu has adeptly capitalised on these preferences by tailoring its offerings to meet consumer needs, with most products priced between R10 and R300.
Some higher-priced items, such as inverters and batteries, have also drawn attention because they are affordable compared to local alternatives.
Despite Temu’s meteoric rise, the platform still trails behind established market leaders.
Takealot remains the dominant player, with a market share of 15% to 20%, followed by Checkers Sixty60 at 12% to 15%.
While Temu’s entry has disrupted the market, it serves as a wake-up call for local retailers to innovate and adapt to changing consumer expectations.
Industry analysts have highlighted that while Temu’s success is impressive, the e-commerce battle is far from over, and South African players retain a strong foothold for now.