Temu's Global User Base Reaches 91% of Amazon's; SHEIN Becomes France's No. 2 Fashion Brand, Set to Overtake ZARA by 2024
Latest news and analysis on China’s global e-sellers
Here’s our pick for last week’s news:
Temu Launches in Malaysia with Items Shipped Directly from China
SHEIN Becomes France's No. 2 Fashion Brand, Set to Overtake ZARA by 2024
Aohai Tech's Overseas Revenue Surges 42.93% to $142.73M in H1 2024
Temu's Global User Base Reaches 91% of Amazon's
AliExpress, TEMU, and SHEIN Break into Top 10 across Europe
Pop Mart Expands to 30+ Countries, 45% Revenue from Overseas Markets
DAYU Tech Secures Seed Funding for Three- and Four-Wheeled E-Bikes
MINISO's TOPTOY Opens First Store in Thailand
Temu Launches in Malaysia with Items Shipped Directly from China
The Temu application can be used to shop online in Malaysia. Purchased items are shipped directly from local manufacturers or from China. The subsidiary of China's Pinduoduo or PDD Holdings is already present in 82 countries, including Malaysia, Brunei Darussalam and Vietnam. Temu has also tried to register a trademark in Indonesia three times but was rejected.
SHEIN Becomes France's No. 2 Fashion Brand, Set to Overtake ZARA by 2024
SHEIN has risen to become the second-largest fashion brand in France, nearly on par with ZARA. According to the French consumer magazine LSA, SHEIN's sales in France in 2023 outpaced those of H&M, Primark, and Kiabi, whose sales were around €1.5 billion ($1.63 billion), and was only slightly behind ZARA. With its fast growth, experts expect SHEIN to overtake ZARA in France by 2024.
SHEIN is also performing well in Germany. A report from GlobalData predicts that SHEIN will move up from fourth to third place in 2024, driven by its flexible, digital supply chain. In 2023, ZARA, C&A, and Nike were the top three brands in Germany.
Aohai Tech's Overseas Revenue Surges 42.93% to $142.73M in H1 2024
Aohai Tech recently released its financial statement for the first half of the year. The company recorded a revenue of $416.39 million, up 46.84% from last year. Of this, overseas revenue totaled $142.73 million, up by 42.93%, with a gross profit margin of 28.41%—a 3.19% rise from last year and significantly higher than the 16.73% margin for domestic sales.
Based in Dongguan, Guangdong province, Aohai Tech specializes in chargers and power banks for smart devices, and has established its own brands AOHI and MOVE SPEED. Their products cater to smartphones, wearables, smart homes, and smart speakers. In 2021, Aohai's annual revenue exceeded $562.49 million, and by 2023, it held a 17% share of the global mobile phone chargers, ranking first in the world. The company's annual revenue for 2023 was $727.58 million, with 33.7% coming from overseas sales.
In recent years, Aohai has maintained strong partnerships with VIVO, Huawei, and Xiaomi. In 2019, these three brands accounted for more than 50% of Aohai's revenue, with the top five clients contributing 72.19% of the total revenue.
Temu's Global User Base Reaches 91% of Amazon's
According to Nikkei News, the cross-border e-commerce platform Temu originating from China is sweeping the world. The number of users is rapidly catching up with the American e-commerce giant Amazon. Statistics show that in August, the number of users of Temu's application has reached 91% of Amazon's user base, and it is expected to surpass Amazon within the year. In Europe, out of 30 countries, 28 countries prefer Temu over Amazon.
AliExpress, TEMU, and SHEIN Break into Top 10 across Europe
CBCommerce recently published its 2024 report on Europe's top 100 cross-border marketplaces. Amazon climbed to the top spot this year (up from the top 3 in 2023), while AliExpress dropped to second place (after holding the top spot last year). TEMU and SHEIN made it into the top 10, ranking 5th and 8th (TEMU was 9th last year, and SHEIN didn't make the top 10). TikTok Shop didn't show up on the list.
Even though Amazon grabbed the top spot, CBCommerce thinks Chinese platforms are on the rise, noting that "Amazon is facing new challenges." Since 2022, cross-border sellers have been branching out from Amazon to DTC sites, social media, and emerging platforms, mostly because of rising costs and market saturation on Amazon.
Chinese platforms like TEMU and SHEIN are reshaping the e-commerce world with their "all-in-China" model — producing, marketing, selling, and delivering directly from China. Sellers are also adopting multi-channel strategies, reaching more customers and cutting their reliance on any single platform.
Pop Mart Expands to 30+ Countries, 45% Revenue from Overseas Markets
Pop Mart's founder Wang Ning recently mentioned that Pop Mart's offline stores now cover more than 30 countries, with all overseas stores being fully owned and run by local teams. Wang highlighted two main goals of the company in thses years: building the brand's depth and value, and pushing forward with global expansion. As of September, over 45% of their revenue came from international markets.
Morgan Stanley expects Pop Mart's revenue to grow by 70% to 75% in the third quarter, with domestic sales up 30% to 40%, and overseas sales shooting up by over 200%, driven by new store openings, popular IPs, and new releases. For the fourth quarter, sales are expected to grow 55% to 60%, with the potential to hit 70% if the LABUBU craze continues, adding another 2-3% to their full-year forecast.
DAYU Tech Secures Seed Funding for Three- and Four-Wheeled E-Bikes
DAYU Tech, a startup from Taizhou specializing in three- and four-wheeled electric bikes (Car-Ebikes), recently completed a seed funding, with a post-money valuation of several tens of millions of RMB. The financing, led by TusStar, will support the development of the company's second-generation Car-Ebike prototypes.
Founded in 2023, DAYU Tech focuses on short-distance mobility solutions with their Car-Ebike. Its first generation features flexible solar panels, an AI assistant, and airless tires, with a 120-kilometer range and app-based remote control. The product is aimed at the European and American markets for shared mobility and home shopping, while in China, it can be used for scenic rentals and last-mile commutes. DAYU's first four-wheeled model, the "MARK-1," will debut in October with crowdfunding on Indiegogo.
MINISO's TOPTOY Opens First Store in Thailand
On October 19, MINISO's trendy toy brand TOPTOY launched its first store in Thailand at The Mall Lifestore One Bangkapi in Bangkok. At the same time, a themed pop-up store called "Good Night" was opened in MEGA BANGNA mall. TOPTOY is also preparing to open its first store in Malaysia.
In the first half of this year, MINISO recorded a revenue of $1.09 billion, up 25% compared to last year, with a net profit of $174.37 million, a growth of 18%. The GMV from MINISO's overseas stores surged 41% to $900.13 million, and revenue from its overseas markets jumped 43% to $383.90 million, now accounting for 35.2% of total revenue, up from 30.9% last year.
TOPTOY pulled in $60.47 million in revenue in the first half of this year, up 38%, with three straight quarters of profits. Southeast Asia has become a key overseas market for Chinese trendy toy brands. In late August, TOPTOY set up a shop-in-shop in MINISO's Jakarta flagship store. Earlier, TOPTOY founder Sun Wenyuan shared the company's plans to open stores in 5 to 6 countries this year.