ALBAWABA - Amazon has introduced “Amazon Haul,” a new online storefront inside its mobile app and website according to a press release from the company, in an effort to compete with rapidly expanding, low-cost retailers, Shein and Temu.
With the majority of its products priced under $20 and many under $10, Amazon Haul provides a large selection of inexpensive goods in a variety of categories, including electronics, apparel, and home goods.
Since Amazon Haul products ship straight from Chinese warehouses, delivery times may be one to two weeks longer than those of Amazon's usual rapid shipping options.
Temu, owned by Chinese e-commerce giant PDD Holdings, and Shein have rapidly gained popularity, are rapidly becoming extremely popular, especially with younger consumers who are attracted to the affordable rates on a variety of goods.
Since its US debut in 2022, Temu has amassed a monthly user base of over 51 million thanks to significant investments in U.S. advertising, while Shein reportedly generated $22 billion in sales just in the last year, causing Amazon to view the retailers as a direct threat, according to a New Yor Times report.
Amazon Haul sets itself apart by prioritizing product safety and regulatory compliance, supported by Amazon’s “A-to-z Guarantee”, even as it offers competitive pricing and seeks to replicate the appeal of these low-cost platforms.
According to the Amazon, its offerings are screened to make sure they adhere to safety regulations, aiming to alleviate customer worries about the lackluster goods offered by many fast-fashion sellers. Furthermore, Amazon Haul provides discounts for larger purchases along with complimentary delivery for orders over $25.
The new storefront is currently running in beta stage limited to the United States, with Amazon saying it plans to improve the platform as it goes into this strategy shift towards the budget-conscious segment of online shoppers.
