Hooked on Temu? Consumers cautioned against clinical addiction & overspending
Temu draws shoppers with flash deals, gamification, rock-bottom prices, and a virtual casino-like experience.
John Maytham spoke to Author of "The Hitchhiker's Guide to AI" and Founder of World Wide Worx, Arthur Goldstruck.
Listen to their conversation in the audio clip below.
From clothing to beauty products to musical instruments to appliances and everything in between, Temu has it all (including things you never thought you wanted to need) and it comes at extremely wallet-friendly prices.
A recent BBC article titled 'Temu is as addictive as sugar': How the ecommerce retailer drives a shopping frenzy delves into how shoppers are finding it impossible to resist the Chinese online shopping platform.
Temu draws shoppers with flash deals, gamification, rock-bottom prices, and a virtual casino-like experience.
"It seems to be getting bigger by the week and almost overnight it's replaced Shein as the global retailer that every South African seems to know about and even globally it's making a massive impact."
- Arthur Goldstruck, World Wide Worx, founder
"It's difficult to collate at such an early stage, but anecdotally...I would say one in four people either have bought from Temu or are contemplating buying from Temu and two of the four will say that they are terrified of it and don't trust it and the fourth one would not have heard of Temu."
- Arthur Goldstruck, World Wide Worx, founder
Experts have reportedly cautioned consumers against clinical addiction but have also pointed out the potential for consumers to spend recklessly due to the platform's engaging marketing strategies.
With its ever-growing popularity, questions have also been raised about the impact they are having on the local e-commerce industry.
"In South Africa, it's going to be a threat to a lot of online retailers."
- Arthur Goldstruck, World Wide Worx, founder
"Temu is superior to most of the international cheap goods sites."
- Arthur Goldstruck, World Wide Worx, founder
"As someone who has bought from Temu myself, I have to say that it is hit or miss. Generally speaking, it's good value for money but in some cases you get what you pay for - in other words, you pay cheap you get cheap."
- Arthur Goldstruck, World Wide Worx, founder
Despite its website saying that the reason why prices are so low is because "Temu connects customers directly with cost-efficient producers, allowing for competitively priced goods", the company is facing regulatory scrutiny and ethical concerns, including allegations of slave labour and data breaches.
"There are issues and there are question marks. If it's so cheap, are they using child labour for example, are they using sweatshops, well that needs to be investigated by journalists, you can't just assume."
- Arthur Goldstruck, World Wide Worx, founder
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