Shein, Temu win over Gen Z shoppers

The stat: 1 in 4 Gen Z consumers shop at Chinese online marketplace like Temu, Shein, TikTok Shop, and AliExpress at least once a week, per data from Omnisend reported by Chain Store Age.

Digging deeper: The wide array of cheap, trendy goods available on Chinese ecommerce platforms is proving irresistible to Gen Z consumers, who in spite of the generation’s stated commitment to sustainability are increasingly fixated on price.

• Nearly half—44%—of Gen Zers make at least one purchase on Shein monthly, making it the most popular Chinese marketplace among the demographic, although Temu isn’t far behind at 41%.
• Over one-third (36%) make monthly purchases from TikTok Shop, with AliExpress bringing up the rear at 24%.
• However, when it comes to the customer experience, Amazon has the clear edge: Gen Z respondents rated the retailer 8 out of 10, compared with 7.1 for both Shein and TikTok Shop, and a mere 6.4 for Temu.

The big picture: The growing popularity of platforms like Shein, Temu, and TikTok Shop among Gen Zers is pushing established players like Amazon to overhaul their shopping experiences to win back shoppers’ attention.

• Not only is Amazon implementing numerous initiatives—including livestream commerce, a social shopping feature, and a TikTok-like content feed—with the aim of making shopping on its platform more fun, but it’s also planning to launch a budget marketplace to compete directly with the new wave of Chinese ecommerce platforms.
• Others, like Etsy and eBay, are leaning into their niches to differentiate themselves from Shein and Temu.