According to recent reports, amazon is preparing to launch a new section of budget products to compete with Temu and AliExpress. They mention that the e-commerce giant will offer discounted products shipped directly from China, seeking to gain ground in the competitive market for cheap products, given that competitors have captured the public’s attention due to the issue of extremely low prices.
A report of The Information reveals that the company is in talks with Chinese companies to offer their products on its platform. The company made a presentation to several vendors in China, detailing a direct purchase and shipping service from that country. The giant is recruiting sellers for a launch planned for later this year.
According to sources, Chinese sellers will be able to choose products and prices, and will have the option of manufacturing them in small batches to gauge demand. The report does not clarify whether this section will be exclusive to Amazon in the United States or if it will be implemented in other countries, the company faces strong competition from stores like Temu, AliExpress and Sheinwhich sell cheap products. In Mexicocompetition is especially intense because Cainiao, the logistics company AliExpressopened a distribution center in that country. The idea of a product section shipping from China could be attractive, especially if Amazon handles the shipping.
However, the product catalog of amazon It is already saturated with clones and cheap products. The third-party seller program has enabled the sale of hundreds of thousands of products from China. Amazon seeks to intensify its competition against AliExpress and other rivals through a new strategy of discounted products shipped directly from China. While this strategy might appeal to some consumers, it also poses challenges due to market saturation with similar products.
Via: The Information
Author’s note: Even with all this involved, it is difficult for them to compete, and they are also considered very different businesses, given that there is much higher quality on Amazon.
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