Temu Opens Marketplace to All U.S. Sellers; SHEIN Aims for $52.7B IPO in Early 2025
Latest news and analysis on China’s global e-sellers
Here’s our pick for last week’s news:
Temu Plans to Launch a Third-Party Model to Attract More Sellers
SHEIN Lowers Entry Thresholds to Attract More Sellers
Autel's EV Charger Sales on Amazon Set to Top $27.6M This Year
Temu Opens Marketplace to All U.S. Sellers
SHARGE Secures Multi-Million RMB in Series A Funding
UK TikTok Shop Sellers Hit 200,000
SHEIN Aims for $52.7 Billion IPO in Early 2025
Kwai's Q3 Overseas Revenue Soars 104.1% to $179.46M
Temu Plans to Launch a Third-Party Model to Attract More Sellers
Temu, which initially adopted a fully-managed model where sellers handed over goods to domestic warehouses, leaving pricing, sales, and shipping to the platform, plans to expand its approach to include a third-party model. In this new structure, sellers manage their own product selection, pricing, and shipping, while Temu takes a commission on sales. The platform also offers a semi-managed model, allowing for faster delivery with self-run or overseas warehouses. By operating all three models, Temu aims to attract a broader range of merchants, enhance seller participation, and balance efficiency with flexibility.
SHEIN Lowers Entry Thresholds to Attract More Sellers
SHEIN has intensified efforts in the second half of this year to focus more on its core fashion categories across fully-managed, semi-managed, and Marketplace models. Sources say the company has recently relaxed entry requirements to attract more sellers, including those in key categories such as men's and women's apparel. Factory size requirements, previously set at 1,000 or 800 square meters, have been significantly reduced, with policies now more flexible. This move is part of SHEIN's strategy to tap into untapped factory resources and lure sellers from competitors, bolstering its supply chain strength.
Autel's EV Charger Sales on Amazon Set to Top $27.6M This Year
Autel Tech reported strong growth for the first three quarters of 2024, with revenue rising 28.1% year-on-year to $387.08 million and net profit surging 103.1% to $74.68 million. In Q3, revenue hit $132.80 million, up 29.7%, while net profit nearly doubled to $21.40 million.
Founded in 2004, Autel offers a range of products including diagnostic tools, ADAS calibration systems, and EV chargers. The company has expanded its presence across 70 global markets and is now expanding to the digital energy sector with smart charging solutions. On Amazon and Walmart, Autel's products have become top sellers, with its EV chargers ranking second in U.S. sales and first in Canada during Prime Day. With Amazon sales alone, Autels revenue for this product line is expected to exceed $27.61 million this year.
Temu Opens Marketplace to All U.S. Sellers
Temu is intensifying its push to capture Amazon's independent sellers. After six months of invitation-only access for U.S. merchants, Temu has now opened its doors to all U.S. brands and individual sellers. The sign-up process is quick—taking just 10 minutes—with applications typically reviewed within one business day.
This move is part of Temu's strategy to mirror Amazon's success by attracting U.S. brands that ship from local warehouses. The shift marks a departure from Temu's previous reliance on direct shipping from China. The company is aiming to offer faster delivery times and compete directly with Amazon, where independent sellers generated $140 billion in sales last year.
While Temu has made strides in recruiting U.S. sellers, including five of Amazon's top 25 merchants, American sellers still make up less than 1% of Temu's 300,000 total vendors. It remains to be seen if the open registration model will draw in more U.S. merchants.
SHARGE Secures Multi-Million RMB in Series A Funding
SHARGE has raised multi-million RMB in Series A funding to expand its AI Smart Glasses market, enhance AI research and development, and build its talent pipeline.
Founded in 2020, SHARGE specializes in cutting-edge charging and energy storage solutions. That same year, its 100W super power bank surpassed $1 million in crowdfunding on Kickstarter, and by mid-2020, it debuted the industry's first 90W and 100W GaN chargers, with over 100,000 units sold. Within two years, SHARGE became the top power brand in the $200 price range on Amazon US, with revenue surpassing $1.38 million.
In 2023, SHARGE set its sights on AI hardware, with plans to launch smart glasses with features such as extended battery life, HD photography, immersive audio, and AI capabilities. The company has set a December 19 launch date for the product.
UK TikTok Shop Sellers Hit 200,000
TikTok reports that the number of TikTok Shop sellers in the UK has more than doubled in the past year, with over 200,000 merchants now active on the platform. This surge is fueled by brands leveraging livestream shopping and shoppable videos for sales. Since TikTok Shop's UK launch in 2021, daily livestream sessions have increased by 64%, and daily sales have risen 93% over the past year.
TikTok anticipates triple-digit growth in Black Friday sales this year compared to 2023. The livestream shopping boom has been particularly significant, with beauty brands Made by Mitchell and P. Louise hitting record sales of $1 million during a 24-hour livestream and $1.5 million in just 12 hours, respectively.
SHEIN Aims for $52.7 Billion IPO in Early 2025
SHEIN plans to go public in Q1 2025, with an estimated valuation of £50.3 billion ($52.71 billion), though final approval from regulators is still pending. The company is preparing for an investor roadshow in the coming weeks. Not long ago, in Forbes' "2024 China Rich List," SHEIN founder Sky Xu topped the fashion and retail sector for the third consecutive year, with a net worth of $9 billion.
Kwai's Q3 Overseas Revenue Soars 104.1% to $179.46M
Kwai posted $4.29 billion in Q3 2024 revenue, an 11.4% year-over-year increase. The platform saw online marketing revenue double, with overseas revenue rising 104.1% to $179.46 million.
In Brazil, its key international market, Kwai's localized strategies drove a 9.7% increase in daily active users and a 4.2% rise in average daily usage time per user.
Kwai's international segment improved significantly, reducing its Q3 operating loss by 75.9% to $21.12 million. The e-commerce model tested in Brazil for over a year is yielding results, with gains in product offerings, content, services, and transaction efficiency.