Following a robust advertising campaign, Chinese online retailer Temu has rapidly become the most downloaded app in Nigeria on both Android and iOS platforms.
Its marketing blitz, designed to establish Temu in the Nigerian e-commerce space, allows transactions in naira and delivery to local addresses and appears effective.
As a subsidiary of Pinduoduo, Temu gained traction in the US market after its 2022 launch. Temu is known for offering affordable consumer goods with swift delivery, similar to the fast fashion brand Shein. Following its entry into South Africa, Nigeria marks Temu’s second market in Africa.
Temu was the top advertiser on Meta last year, spending nearly $2 billion, intensifying competition by impacting ad costs and drawing focus away from established players like Etsy. The Nigerian e-commerce landscape features smaller niche retailers and larger companies like Jumia, which has recently shifted toward a leaner, profit-focused model.
While analysts and consumers express mixed feelings about Temu’s entry—recognising its successful launch yet fearing potential disruption to local markets—one significant advantage for Temu is its direct shipping model from manufacturers in China.
This operational efficiency allows it to offer a wide range of products at competitive prices, making it appealing in price-sensitive markets with low brand loyalty.
Combined with its gamified shopping experience, analysts warn that Temu’s presence could pose considerable challenges to Nigeria’s homegrown e-commerce platforms and the developing fashion and design sectors.
