Temu expansion continues in the Philippines, Chile

Despite Temu's rapid expansion in its front-end sites and growing global presence, challenges remain in the back-end warehousing and logistics operations.

Photo from CFP

Photo from CFP

By CHENG Lu

 

Cross-border e-commerce platform Temu opened up in Chile and the Philippines on Monday, the 36th and 37th countries where the bargain-basement platform operates. Temu is owned by PDD Holdings, the parent company of the Chinese shopping site Pinduoduo.

The Philippines is the first Southeast Asian country for Temu, a hotly contested spot for e-commerce giants, including Shopee backed by Tencent and Alibaba's Lazada. 

Presently, most products on the Philippines site are priced from 50 pesos (US$0.8, 6 yuan). Temu collaborates with local logistics companies and, in addition to discounts, offers free shipping. 

J&T Express is Temu's logistics partner in the Philippines, with delivery taking up to 10 days. In Chile, given the greater distances involved, the timeframe is extended to 18 days.

Despite Temu's rapid expansion in its front-end sites and growing global presence, challenges remain in the back-end warehousing and logistics operations. Cultural differences and pressure from local regulators are also obstacles to be overcome.