The e-commerce world never stops to surprise us with new players in the arena, and Temu has attracted a lot of attention. Not only has Temu been able to beat the competition with its favorable pricing policies and convenience, but also the business is being noticed by both the consumers and the entrepreneurs. However, for the latter group, a crucial question arises: Will dropshipping with Temu be successful in 2024? This article delves into the intriguing world of Temu dropshipping.
What is Temu?
Temu is a relatively new player in the online marketplace arena, but it’s already making significant moves in the e-commerce industry. In September 2022, Temu, a subsidiary of PDD Holdings, which is a leading social trade company in China, was launched. Temu’s rise is nothing but a meteor! The company has seen incredible growth, especially in the US market. This quick expansion comes to Europe and other countries, highlighting that Temu has global ambitions.
Temu, being deemed an e-commerce budget platform with global ambitions, must be addressed. It is yet unknown whether it can continue its outstanding progress, figure out the issues, and become one of the major shopping websites. One thing’s for sure: Temu, with its revolutionary approach, is a brand to watch out for as the e-commerce terrain continues to transform.
Why We Want to Use Temu for Dropshipping?
Temu’s emergence as a major e-commerce player presents interesting possibilities for dropshipping businesses. Here’s a breakdown of why Temu might be attractive:
Cost Advantage
Temu is known for offering products at highly competitive price points. This plays to the strength of dropshipping by allowing sellers to offer goods at low margins while still being cost-effective for buyers. Temu’s affordable prices open the door to a broader customer base.
Fast Delivery
Shipping speeds on Temu have improved dramatically in recent years. Sellers report many standard shipments arriving within 2-4 weeks internationally. This is comparable to other large marketplaces and meets most customer expectations. Fast shipping helps boost repeat purchases and loyalty for dropshipping businesses.
Product Variety
Browse sections cover a wide spectrum from home goods and clothing to electronics and toys. This diverse catalog gives dropshippers many product categories to identify opportunities. There is less risk of relying on only a narrow niche.
Product Novelty and Interesting Finds
Temu is known for surfacing unique and interesting products not readily found elsewhere, from creative gadgets to novelty snacks. This attracts customers eager to discover the next new thing and be the first to share on social media.
Large Customer Base
As Temu expands into new global regions and demographics, the potential customer base and order volume for sellers grows steadily. Staying ahead of this growth curve positions dropshippers for increasing sales in 2024 and beyond.
Something You Need to Know about TEMU Dropshipping
Temu’s low prices and fast shipping make it an intriguing option for dropshipping, but there are significant considerations before diving in. Here are the key factors to keep in mind:
Stable Prices
Temu could offer stable supply prices due to its direct connection with manufacturers and suppliers in China. This allows dropshippers to set pricing and profit margins accurately. However, Temu’s frequent promotions and discounts might create price fluctuations, impacting your profit margins.
After-sales and Return Policies
Temu handles after-sales service and returns for orders placed directly through their platform. If you choose to dropship from Temu, you’ll be responsible for managing these aspects for your customers. This can become complex, especially considering potential language barriers and geographical distances.
Temu’s return policy might not be ideal for dropshipping. Understanding their return window, restocking fees, and overall process is crucial before listing Temu products in your store. Disgruntled customers who have difficulty returning items could reflect poorly on your dropshipping business.
Payment Security
Temu accepts major credit/debit cards and payment apps like PayPal. Fraud protection is provided through partnerships with companies like Mastercard. Funds are securely deposited in a seller’s account.
Temu utilizes secure payment gateways for transactions on their platform. However, when dropshipping, you’ll need to ensure your own store has robust security measures to protect customer financial information.
Order Tracking & Fulfillment
Sellers have visibility into order statuses and can provide tracking links to customers. Temu coordinates directly with suppliers/manufacturers/warehouses for fulfillment and shipping. When dropshipping on it, you may need to take responsibility for tracking orders for your customers.
Is It Feasible for TEMU Dropshipping?
Temu clearly states they don’t support dropshipping. Their platform is designed for direct purchases by consumers, not as a supplier for other businesses.
So, it can be said that Temu dropshipping is technically possible, but not officially allowed and comes with significant risks. Here are some challenges and risks you may have to face when choosing Temu dropshipping:
- Account suspension: Since dropshipping violates Temu’s terms, your account could be suspended if they discover your activity.
- Handle after-sales & returns by yourself: You’ll be solely responsible for handling customer returns and after-sales service, which can be complex due to potential language barriers and geographical distances.
- Temu branding: Products arrive in Temu’s orange packaging, undermining your brand identity and potentially raising customer concerns about product origin.
- Quality control: Temu’s focus on low prices might lead to inconsistent product quality. Implementing quality control is crucial, but challenging without direct access to suppliers.
How to Start Temu Dropshipping on Shopify?
As stated in the previous part, TEMU dropshipping is not officially allowed, but you can technically implement it. Let’s try the 2 following methods:
Method 1: Using a Dropshipper’s Account on Temu3
While this method might seem like a way to leverage Temu’s low prices, it comes with significant downsides:
- Temu parcels are visibly marked as coming from Temu, which may confuse customers expecting Shopify branding. This damages customer experience.
- If Temu identifies high order volume from one account for dropshipping purposes, they may block the account for violating policies.
- Return/exchange processes are lengthy and complicated, requiring the Shopify store to collect customer issues and liaise with Temu support on behalf of customers. Poor after-sales service damages trust.
- Tracking order statuses and providing updates to customers in real-time becomes challenging since the Shopify merchant relies on the dropshipper’s account for order visibility.
- Responsibility for any supply chain issues, customs delays, or other order fulfillment problems falls entirely on the dropshipper and Temu. The Shopify merchant has little control over order fulfillment quality.
- Temu may change order submission policies or account privileges in the future, disrupting this workflow without warning and damaging the Shopify store’s operations and customer experience.
This method shifts most risks and downstream fulfillment responsibilities away from the Shopify merchant while potentially violating Temu policies. It is not a reliable long-term dropshipping strategy.
Method 2: Using Dropshipman to Dropship from Temu
Key advantages over method 1 are lower prices, more reliable order management support, hassle-free returns/exchanges, and fast seamless tracking updates. The Shopify merchant gains full oversight and control.
Here are some Dropshipman‘s advantages for TEMU dropshipping:
- Convenience: One-click product import from Temu can save you significant time compared to manual listing.
- Potentially lower costs: Dropshipman suggests they have stable supplier relationships and competitive pricing, which could benefit your margins.
- Faster shipping and tracking: Fast shipping and early access to tracking information can improve customer experience.
- Customer service: 24/7 customer support from Dropshipman can be helpful for order fulfillment issues.
- Fast order fulfillment：Professional quality check, fulfilling your order at a stable price in 3-5 days, and automating your order status updates when packaged parcels.
So, how to dropshipping on Temu with Dropshipman?
Step 1: Sign up for a Dropshipman account and connect your Shopify store.
Step 2: Install Dropshipman in your Shopify app store, click “List Products” and find “Import products from TEMU“.
Step 3: Install Dropshipman extension, open TEMU, browse for the products you want, click “Add to my product list“.
Step 4: Check your “List Product“, you can see the products you imported from TEMU.
Dropshipman can help dropshipper solve the problem of importing products from TEMU, easy to use and find the exact product you want. Then give you the same product at a low price. Surprisingly, Dropshipman can also do fulfillment for customers, which means that Dropshipman realizes your TEMUl shipping business. Not only provide low-priced products, while accomplishing the goal of shipping as well as shipping info synchronization.
How to Pick Dropshipping Products in TEMU?
By using Temu for product research and then finding those products through established dropshipping platforms, you can leverage Temu’s competitive pricing to source potentially profitable items for your Shopify store. Here’s how to pick products on Temu for dropshipping, let’s check it out!
Browse categories: Temu offers a wide range of categories like electronics, fashion, home & garden, and more. Explore these to discover potential product niches.
Utilize filters: Within each category, use filters like “Top Rated,” “Newest Arrivals,” or “Sales” to see popular items.
Check reviews and ratings: Look for products with high star ratings and positive reviews. This indicates customer satisfaction and potential demand.
Identify trends: Look for recurring themes or styles across different categories. This can point towards trending products you can capitalize on.
Temu VS AliExpress
Both Temu and AliExpress are popular e-commerce platforms offering a vast selection of products at competitive prices. However, dropshipping has distinct advantages and features.
| Criteria | Temu | AliExpress |
| Customer base | Southeast Asia, Latin America, Eastern Europe, Africa | Global leader, especially US, Europe, AU |
| Product selection | Growing catalog of 100k+ items | Large catalog with millions of products over 20+ categories |
| Pricing | Marginally lower prices from suppliers | Discounted bulk order shipping rates |
| Shipping speed | Estimated 2-3 weeks internationally | Standard estimated 2-4 weeks internationally |
| Localization | English focus, expanding local markets | Well-localized sites, languages, payments |
| Customer service | Adequate response times | 24/7 global multi-lingual support |
| Seller tools | Basic tools improving regularly | Robust analytics, ads, CRM for large sellers |
| Overall trends | Rapid growth, lower initial costs | Established global scale and selection |
Temu offers the allure of lower prices and faster shipping, but operates in a gray area regarding dropshipping. AliExpress provides a more established platform with clear dropshipping support, but comes with potential drawbacks in shipping times and product quality.
Here’s how to choose based on your needs:
- Prioritize security: If a secure and reliable dropshipping platform with clear policies is your top concern, AliExpress might be a better option.
- Focus on price & speed: If the lowest prices and fastest shipping are your priorities, Temu could be tempting, but be aware of the associated risks.
- Consider your niche: Analyze the product category you target. Does AliExpress or Temu offer a better selection for your niche?
Conclusion
Temu dropshipping remains a promising opportunity for entrepreneurs seeking to capitalize on burgeoning new export markets. The choice ultimately lies with you. For the risk-tolerant entrepreneur, Temu’s price advantage might be a calculated leap worth taking. However, for those seeking a well-lit path with established guardrails, familiar dropshipping platforms offer a safer route.
FAQs about TEMU Dropshipping
Is dropshipping allowed on Temu?
Temu’s terms of service don’t explicitly endorse dropshipping. There’s a chance your account could be suspended if they discover this activity.
Why consider Temu for dropshipping?
Temu’s main attractions are its incredibly low prices and surprisingly fast shipping times, potentially leading to higher profit margins and satisfied customers.
What are the challenges of Temu dropshipping?
Besides the uncertain dropshipping policy, other challenges include managing after-sales service (returns, exchanges), potential language barriers, and Temu branding on the packaging.
Is AliExpress a better alternative for dropshipping?
AliExpress is a well-established platform with clear dropshipping support and a wider product range. However, shipping times might be slower, and product quality can vary significantly.
What’s the best approach to dropshipping in 2024?
Focus on established platforms with clear dropshipping policies. Prioritize quality control measures and conduct thorough research on suppliers to ensure a secure and sustainable dropshipping business.
