Eggs cost as much as $12/dozen. Gas is sky high. And the costs of countless other everyday goods that fuel consumers’ lifestyles are also steadily rising thanks to inflation and other factors that are bringing up the cost of living.
Consumers trying to navigate these prices are not only looking for ways to get more with less — they’re trying to live passionate lives, despite, well, the cost of life. One of their go-to hacks is shopping at ecommerce marketplaces like Temu and Amazon, where they know they’ll get the most bang for their buck. Some have gone as far as building backyard chicken coops to ride out the egg crisis.
A newly released report from Omnisend offers insight into why those who are looking to stretch their dollars are likely to gravitate toward Temu: Products on Temu average 40% cheaper than those on Amazon. And, according to the report, these savings don’t come with compromised quality. Omnisend’s findings show that more than three quarters (77%) of Amazon’s-listed products are closely matched by products on Temu. The remaining 23% are either almost identical or exactly the same.
What Omnisend found in its review of the 25 top-selling products — across each of the 23 categories it looked at on both Amazon and Temu — will give consumers a road map to savings as they weather the pricing storm.
If It’s the Same or a Similar Product, Why Pay More?
Consumers rarely just look for cheap products, they look for affordable products of good quality. Knowing that Temu closely matches an average of 77% of Amazon-listed products might give consumers who are less familiar with Temu the assurance they need to trust their products the same way they trust Amazon’s.
The survey finds that the average Amazon product has 50,000 reviews while listings for relative newcomer Temu hover at about 1,500 reviews each. This strengthens consumers’ trust in Amazon, though Temu products do have a critical mass of consumer feedback for shoppers to reference.
Omnisend found that in some categories, Temu and Amazon products have even more overlap. For instance, in Beauty & Personal Care, Temu’s products match Amazon’s 96% of the time. Other categories where Temu’s products match Amazon’s at an exceptionally high rate include Appliances (84% match, 9.52% identical), Arts, Crafts & Sewing (80% match, 15% identical), Automotive (80% match, 10% identical), Camera & Photo Products (96% match), Clothing, Shoes & Jewelry (92% match, 4.35% identical), Electronics (80% match, 5% identical), Home & Kitchen (92% match, 5.7% identical), Kitchen & Dining (92% match, 13% identical), Musical Instruments (92% match, 4.35% identical), Office Products (92% match, 17.39 identical), and Tools & Home Improvement (92% match, 13% identical).
These types of savings not only take pressure off everyday consumers. In some cases, they open them up to explore new passions and even businesses. One example of this comes from the craft community, where Arizona-based Lauren Brown, founder of Wildly Woven, is among the many entrepreneurs who have fueled their thriving businesses with materials from Temu. With over 1 million followers on social media, Lauren has managed to rise to the top of the very crowded knitting space thanks to the competitive pricing she’s able to offer for her finger-knitted blankets with affordable yarn from Temu.
“I was really surprised by the quality of the yarn from Temu,” Brown said. “It’s been a game changer for me. I can save about $30 per blanket using it. This lets me keep my prices affordable while still making a profit.”
Consumers Are Saving an Average of $13.37 on Every Product That They Buy on Temu
As for actual dollar savings, Omnisend found that customers that buy on Temu are saving an average of over $13 per product. To put this into perspective, a cart with five items would be about $65 less on Temu than on Amazon. A cart with 10 items would be more than $130 less on Temu, and so on.
The savings increase significantly in categories like Appliances, where shoppers save $78.83 per product, and Camera & Photo, where shoppers pay an average of $28.18 less per product.
Automotive is the only category that Omnisend reviewed where Amazon offers lower prices than Temu, averaging 12% cheaper than Temu.
But that hasn’t stopped car enthusiasts from looking to Temu’s vast automotive category for unique finds that Amazon doesn’t have to completely overhaul their cars.
Take, for instance, “Grandpa Ramos,” who pulled off an epic, yet cost-conscious car customization with Temu.
Henry Ramos, affectionately called “Grandpa Ramos” by locals in his California hometown, had always wanted to customize his 2013 Nissan 370Z Roadster, but didn’t have thousands of dollars to do it. He also knew that he would have to budget a little extra for a trial-and-error approach to get it right.
Grandpa Ramos came across Temu while doing his research on the most wallet-friendly way to trick out his car. He was able to buy and test out multiple options for many aspects of the car, from the striped hood decal, red flames on the spoiler, and red lining under the grill to the seat covers, belt covers, and an entirely new gear shift.
“I enjoy watching guys fixing their Nissans on YouTube. I don’t have as much money as they do, spending thousands of dollars, so I took the opportunity from Temu to fix it my way and the way I like it. Now I’m always making changes,” shared Ramos.
When consumers are able to stretch their dollars, they’re able to explore their passions, try new hobbies, and experience more of the things that bring them joy.
Temu and Amazon May Have Overlap, but Temu Has Unique Finds That Consumers Can’t Get Anywhere Else
With more than 250 product categories and over 100k suppliers from all over the world, not all products on Temu can be found on Amazon. Temu has products and props that even the most dedicated hobbyists have never seen anywhere else.
Take Philadelphia-based Dollhouse Designer Kylie White, who recently resurrected her childhood passion for dollhouses. The difference between Kylie’s childhood dollhouse and her current creations is that now, Kylie seeks out the most obscure and hard-to-find decor from Temu — things that simply weren’t available when she was a child. No detail has been overlooked. From cow-hide rugs, mini guitars, succulents, and shower heads to light switch covers, mirrors, picture frames, and even mini pieces of toast popping out of a toaster.
“I just love the quality and the variety of items that Temu has, from little battery-operated lights and kitchen stoves and miniature plates, bowls and accessories. It’s been really helpful and cost-efficient for me,” shared Kylie.
Temu Has Prioritized Everyday Discounts vs. More Infrequent Sales
Temu doesn’t just have lower base prices — it’s dedicated to offering steeper and more frequent discounts, as high as 98% in some categories. This is compared to 67%, which is the highest discount Omnisend found on Amazon.
Temu also discounts more of its products than Amazon does. Sixty-five percent (65%) of Temu’s listings are marked down, while Amazon offers discounts on around 47% of its products.
Omnisend says that consumers gravitate toward Temu’s approach, which makes them feel like there are constant savings and they’re always getting a deal. Temu has completely reimagined traditional discount strategies with seemingly permanent low prices that Omnisend notes “serve as a never-ending ‘sale’ tactic.”
While consumers have long been trained to associate high prices with high quality, Temu is demonstrating that prices are often a function of the cost of getting products to customers. The more middlemen and stops along the way, the more consumers pay. That’s why the same product can be sold for nearly 80% less on Temu than on Amazon, without sacrificing quality.
