Answer to Temu, Shein and Co.: Amazon tests low-cost portal in the USA
Amazon is taking on its low-cost competitors from Asia with a low-cost portal called Haul. The portal is initially being tested in the USA.
(Image: Daniel AJ Sokolov)
Amazon apparently wants to fend off growing competition from the Chinese low-cost mail order companies Temu and Shein with a new offer. A new portal called "Amazon Haul" has now been opened in the USA, where only items costing less than 20 US dollars can be found. Rumors that Amazon was planning something similar were already reported in June. The offer is initially being run as a beta test. Whether and when it will come to Europe is unknown. Competition from retailers in Asia is also an issue here.
According to media reports, clothing, household goods, electronics and other items are offered at the same price level as the competition from the Far East. The offer resembles a one-euro store with many goods costing between 1 and 5 US dollars. There are also some reunions with products that are already listed in Amazon's main inventory of 300 million products – but usually at lower prices, while the main portal advertises guaranteed and significantly faster delivery times.
Delivery time of 1 to 2 weeks
In addition, Haul only offers free shipping for orders over 25 US dollars, with buyers having to pay around 4 US dollars for orders under this amount. According to an Amazon blog post, Haul wants to differentiate itself from its competitors by ensuring that Amazon checks the products for safety, authenticity and compliance with legal requirements.
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Amazon sends the ordered goods directly from China to customers. As a result, customers should expect delivery times of one to two weeks. However, there could also be longer delivery times in some cases. Like Temu and Co, Amazon is apparently acting as a kind of platform that works with various local producers who supply Amazon without intermediaries.
Turning away from the Amazon principle
The longer delivery times are in contrast to Amazon's previous ambitions in online retail to be particularly fast. The company now offers delivery within a few hours in some regions of the USA. Amazon has already set standards with its promise of next-day or same-day delivery. With Haul, the focus is now on price rather than delivery speed. Buyers in the USA can access the portal via the Amazon app.
(mki)
