TEMU vs. SHEIN: 2023 Share of Voice Analysis by Category
In the dynamic world of online shopping, TEMU is emerging as a formidable competitor to SHEIN, signaling a potential shift in consumer preferences. Throughout 2023, SHEIN maintained an average Share of Voice (SOV) of 1.01% across all categories, while TEMU surpassed this with an average SOV of 1.8%. This development is particularly notable in specific categories:
- TEMU is rapidly gaining market share, trailing closely behind SHEIN in Apparel & Accessories (3.61% vs. 4.45% SOV).
- More strikingly, TEMU leads in Home Furnishings by a significant margin (2.18% vs. 0.18% SOV), suggesting a potential shift in this sector.
- Across Automotive, Beauty, and Musical Instruments, TEMU demonstrates a steady presence with SOVs ranging from 0.4% to 1.90%, while SHEIN’s involvement remains minimal.
TEMU experienced significant growth in SOV in the last quarter of 2023, while SHEIN saw a decline over the same period. These insights reveal TEMU as a significant player, especially in markets beyond Apparel & Accessories. Although SHEIN currently leads, TEMU’s rapid growth and broad category engagement demand attention. This analysis invites further exploration into consumer trends and strategic opportunities for both brands.
TEMU’s Share of Voice Analysis: Strong Apparel Presence with Surprising Spikes
The data paints a compelling picture of TEMU’s Share of Voice (SOV) across diverse industries. While Apparel remains a stronghold with an average SOV of 3.61%, other sectors are showing promise:
- Automotive: With a SOV of 1.90%, TEMU is marking its territory in this non-traditional market, hinting at possible expansion plans.
- Home Furnishing: TEMU stands out with a strong SOV of 2.18%, indicating a strategic emphasis on this e-commerce segment.
- Beauty: TEMU’s moderate SOV of 0.92% suggests there’s potential for growth within this industry.
- Musical Instruments: A SOV of 0.42% suggests a more focused approach in this niche market.
To deepen our understanding, let’s analyze the graph provided: Between October 9-15 and 16-22, the Share of Voice (SOV) for Apparel surged to 9.3% and 9.27%, respectively. This upsurge may indicate targeted marketing efforts or special promotions during those periods. A detailed examination of the strategies implemented during these times could offer valuable insights into TEMU’s marketing approach. In summary, Apparel and Home Furnishings demonstrate a positive trend throughout the year, with Apparel’s SOV experiencing a notable upturn towards the end of 2023. On the other hand, the Automotive, Beauty, and Musical Instruments & Equipment categories exhibit much lower SOV, with Beauty displaying some volatility and a slight increase in the other categories towards the year’s end.
Untapped Territory: How Diversification Can Unlock SHEIN’s Growth Potential
This data paints a picture of SHEIN as a dominant force in the apparel industry, boasting a commanding 4.45% SOV. Further highlighted by an impressive 8.65% peak during September 11-17, their marketing efforts in this domain are clearly effective. However, venturing beyond clothing reveals a different story.
SHEIN’s presence in other categories is noticeably limited:
- Automotive: 0.14% SOV
- Beauty: 0.31% SOV
- Home Furnishings:0.18% SOV
- Musical Instruments: 0.016% SOV
By venturing beyond apparel, SHEIN can tap into new customer segments, increase market share, and mitigate risk associated with overreliance on a single category. This data is a valuable roadmap for unlocking their full potential. From this data, we can also infer that Apparel is the dominant category on SHEIN, with significant consumer interest, especially in the spring and early fall of 2023. The other categories do not experience such dramatic changes in SOV throughout the year.
TEMU vs. SHEIN: A Multi-Category Battleground Emerges – Conclusion
The 2023 Share of Voice (SOV) analysis paints a captivating picture of a potential shift in the e-commerce landscape. While SHEIN remains the apparel king with a 4.45% average SOV, TEMU’s impressive 1.86% average across all categories and its strong presence in diverse sectors signal a rising challenge.
Key Takeaways:
- Apparel remains a battleground:TEMU trails closely behind SHEIN in Apparel & Accessories (3.66% vs.4.45%),suggesting intense competition in this core market.
- TEMU emerges in new territories: Home Furnishings (2.18% SOV) and Automotive (1.03% – 1.90% SOV) showcase TEMU’s potential beyond apparel, potentially challenging SHEIN’s future dominance.
- Diversification is key: While SHEIN currently leads, its limited presence outside apparel presents an opportunity for TEMU to capture a broader market share through strategic expansion.
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FAQs
While SHEIN has proven its dominance in the competitive market, TEMU's unique approach to sustainability, brand identity, and social media marketing sets them apart. By focusing on these areas, TEMU has managed to carve out its own niche and create a presence in the fashion industry.
Are Shein and Temu competitors? ›
While Shein and Temu seem similar — both are online shopping platforms that rely on their extensive manufacturing operations in China to mass produce ultra-cheap, trendy products at huge volumes and fast speeds — the two companies have different business models.
What is the competitive advantage of Temu? ›
Unlike Amazon, which has a more established brand presence and a wider range of products, Temu's competitive advantage lies in its ability to offer extremely low-priced products, primarily targeting cost-conscious consumers.
What is the competitive strategy of Shein? ›
Shein's business model focuses on low costs, rapid production cycles, advanced technology, and influencer marketing. The brand uses a 'large-scale-automated test and re-order' (LATR) model to quickly adapt to consumer preferences by producing small batches and scaling up successful styles.
Who does Temu compete with? ›
List of temu.com competitors in May 2024: aliexpress.com , with 1.02B visits, 94 authority score, 54.35% bounce rate. shein.com , with 215.42M visits, 87 authority score, 50.22% bounce rate.
Who is Shein's competition? ›
The closest competitor to shein.com are temu.com, prettylittlething.us and shein.co.uk. To understand more about shein.com and its competitors, sign up for a free account to explore Semrush's Traffic Analytics and Market Explorer tools.
Is Temu child labor? ›
The Third Party Code of Conduct mandates that anyone doing business with Temu must strictly comply with all regulatory standards and compliance requirements." "The use of forced, penal, or child labor is strictly prohibited.
What are the cons of Temu? ›
Temu is not accredited by the Better Business Bureau (BBB) and has an average rating of two-and-a-half out of five stars. Many recent complaints about Temu on the BBB website say that items never arrived or took weeks or even months to arrive.
Who is the target audience for Temu? ›
A chic marketing opportunity awaits Temu
Temu enjoys high awareness across all generations. Its popularity, however, varies significantly by age group. Generation Z and Generation X show the highest scores, while Baby Boomers lag far behind. This pattern extends to usage and brand loyalty.
Why is Temu so successful? ›
Another factor contributing to Temu's rapid rise is its investments. With a reported $3 billion spent on online advertising in 2023, Temu has spared no expense in promoting its brand and attracting new customers. They also spent tens of millions of dollars on Super Bowl ads this past February.
Unavailability of warehouses: The SHEIN supply chain lacking a warehouse can be a severe weakness for the organization.
Who won the Shein competition? ›
Eleonora Falcone, winner of the Shein X Global Challenge 2024.
Who is the largest consumer of Shein? ›
The biggest segment of SHEIN's audience is women aged 25-34. SHEIN was the fifth-highest-earning e-commerce store in 2022, as it made $26.15 billion in total worldwide that year.
Is Temu or Shein better? ›
In essence, Temu allows customers to find virtually any product they can imagine. Shein, on the other hand, is a more dedicated fast fashion shopping destination and it is one of the top choices when it comes to apparel.
Who is better than Temu? ›
The best alternative to Temu depends on your specific needs. If you're looking for an app that offers affordable shopping options for a wide range of products, then Wish, AliExpress, and Joom are all great options. These apps allow you to browse products from different sellers and purchase them at a discounted price.
Is Temu owned by Amazon? ›
History. Temu is owned and operated by PDD Holdings, which also owns Pinduoduo, a common online commerce platform in China. PDD Holdings was initially registered in the Cayman Islands before moving its place of incorporation to Dublin in 2023. The Temu platform first went live in the United States in September 2022.
Why is Temu and Shein so cheap? ›
Temu and Shein ship packages straight from Chinese warehouses on the cheap, allowing American consumers to buy fast fashion, electronics and other products for astonishingly low prices.
What is Shein comparable to? ›
SHEIN's top competitors include Wish, Poshmark, and Verishop. Wish is a mobile e-commerce platform specializing in affordable consumer goods across various categories. The company offers a wide selection of products with a focus o…
What is better than Temu? ›
The best alternative to Temu depends on your specific needs. If you're looking for an app that offers affordable shopping options for a wide range of products, then Wish, AliExpress, and Joom are all great options. These apps allow you to browse products from different sellers and purchase them at a discounted price.
What brand is the same as Shein? ›
Myntra. Another brand that doesn't need an introduction, but we're being optimistic here and trying to show how it's still a great replacement for Shein. Curated looks, a gamut of awesome local as well as international brands, great deals to bag and authenticity of merchandise guaranteed - we have no reason to complain ...
