Deep-discount wonders: How aware are US shoppers of retail brand Temu?

Deep-discount wonders: How aware are US shoppers of retail brand Temu?

Lesley Simeon - April 15th, 2024

Just a year after launching in the US in 2022, the Chinese-owned e-commerce company, Temu, reportedly has more than 61 million users as of September 2023. Recently, the brand reportedly spent an estimated $21 million on three Super Bowl ads and “more than $15 million in coupons and giveaways”.

But consumers (and lawmakers) have sounded the bugle around Temu’s privacy and security practices, and some have raised questions about how ethical the company’s supply chains are.

Controversies notwithstanding, Temu has its eyes firmly set on expanding market share and boosting awareness among consumers, experts opine. Using data from YouGov Self-serve – a highly targeted, fully self-service fast survey-building tool, we provide an overview of the brand’s awareness levels in the US and whether its recent efforts to reach audiences have resonated with American consumers.

Awareness of Temu among Americans

Majority of Americans have heard of Temu, and advertising appears to be the driving factor.

Findings from the YouGov Self-serve survey reveal that nearly nine in ten Americans polled (88%) have heard of Temu. Further, women are significantly more likely than men (95% vs. 80%) to have heard of the discount online retailer.

Advertising is the leading factor driving awareness, our data shows. More than half of all American adults who are aware of Temu (52%) say they have heard of the brand via advertising and, 77% of Americans who’ve heard of the brand say they’ve seen an advertisement for Temu in the past three months.

There are few gender differences in how people are hearing about the viral retail brand. Women are more likely than men to have heard of Temu via friends and family (22% vs. 18%) and online search (18% vs. 10%). Men, on the other hand, are more likely to have heard of the brand through the news (9% vs. 3%). Similar proportions of men and women have seen an advertisement for Temu in the past three months.

While most Americans have heard of Temu, a significant proportion of them have never purchased from the site. 

Nearly three in five (56%) Americans who have heard of the brand say they have never bought from Temu.

However, nearly a quarter of Americans who are aware of Temu (24%) say they are likely to buy from the brand again. Fewer respondents, 15%, are unlikely to buy from the site again.

Looking at the age divide among consumers, data shows that the youngest lot (18-to-29-year-olds) are most likely across age groups (34%) to say they are likely to make a repeat purchase from Temu. Notably, 30-to-44-year-olds are most unlikely to purchase from the brand again (22%).

US adults between the ages of 45 and-64 are the most likely not to have made a purchase from Temu (62%).

Nearly half or more of American shoppers who have heard of Temu have never shopped from it. Given the considerable proportions of US adults who have heard of the brand (88%), the ecommerce platform has its work cut out in taking the consumers from converting awareness to customers.

YouGov

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Methodology:

YouGov polled 700 US adults online on March 27-28, 2024. The survey was carried out through YouGov Surveys: Self-serve. Data is weighted by age, gender, race, political affiliation, education level and region. Learn more about YouGov Surveys: Self-serve.

Photo byAndrea Piacquadioon Pexels