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Amazon takes on Temu directly with its own dedicated discount store
- Amazon has launched its own discount storefront to compete with the likes of Temu and Shein.
- “Haul” is currently in beta on mobile and available to some in the US.
- The marketplace sells discounted items directly from China, just like its competitors.
Despite Amazon’s dominance in the e-commerce space, the rise of Temu, Shein, and other discount marketplaces has loosened its grip. This has prompted Amazon to consider creating its own dedicated discount storefront to fend off the growing competition. The retail giant has now launched this effort in beta on mobile.
The Information reports that Amazon has launched its discount e-commerce store, which it has dubbed “Haul.” It can currently be found through the company’s mobile app, however, the beta is not widely available as only some customers in the US are being given access.
Haul will sell items at extremely low prices such as $1 eyelash curlers, $14 pajama sets, and $3 handbags. Similar to Temu and Shein, Haul is able to keep these prices so low by allowing individual packages to ship directly from China to the US via airfreight. Consequently, shipping times are much slower and return policies are much tighter than they are for Amazon’s main marketplace. Additionally, Haul offers free shipping on orders over $25, or a fee of $3.99 on orders under $25.
Haul’s launch comes at an interesting time. The incoming Trump administration is expected to crack down on trade between the US and China, which could negatively impact not only Haul but also the marketplaces it was designed to compete directly against.