Chinese marketplaces are rapidly gaining traction in the UK and challenging traditional retail giants, with 60% of Brits making purchases from at least one in the past year, according to new research by e-commerce marketing platform Omnisend.
When it comes to the most popular sites, 43% of Brits who shop online have bought something from Temu, while 42% have bought from Shein, 25% from TikTok Shop and 22% from AliExpress.
Launched in the UK just over a year ago, Temu has quickly become one of the nation’s top e-commerce platforms, with 71% of Brits having heard of it, surpassing established players such as Shein on 63%.
However, the research also highlights that – like the attractive prices, trust levels are at rock bottom. Only 8% of people consider Temu trustworthy, compared with 88% of people who deem Amazon safe.
Gen-Z shoppers are the most likely to use these cheap shopping sites, with 82% of young people visiting in the past year and a quarter (23%) purchasing items at least once a week. Younger generations are most likely to have personal data stored on devices, due to their higher rates of device ownership and usage.
Shoppers are also playing the field when it comes to these newer shopping sites, with nearly two thirds (62%) shopping on more than one Chinese marketplace.
The most popular purchases are adult clothes from Shein (62%), homeware from Temu (34%), electronics from AliExpress (24%), and accessories from TikTok Shop (27%), according to the research. Women have a higher disposition to these sites than men, with favorability ratings higher for every site.
Greg Zakowicz, senior e-commerce expert at Omnisend said, “The rise of Chinese marketplaces presents a formidable challenge for local businesses with millions of Brits turning to them during the cost-of-living crisis.
“Consumers are lured in by products priced in pennies, as well as free gifts and new customer offers.
“Their ability to compete with other formidable shopping giants like Amazon and eBay when it comes to price and product variety is the key factor, with shoppers willing to put quality to one side.
“To remain competitive, smaller businesses should focus on providing exceptional customer experiences, leveraging marketing tools, and differentiating their offerings.
“Both large and small high street shops have faced many challenges in the past decade, but keeping prices fair and emphasising the importance of substance over style can help them remain buoyant.”
