15-05-2025
Why European shoppers are calling Temu a 'revelation' for helping them cope with rising prices - while boosting local businesses too
For Gelena Ismaili, a 37-year-old single mother from Stockholm, stretching every krona is a daily reality. She'd long prioritised her daughters' needs and limited her own purchases to seasonal sales - until she found Temu.
'Temu was like a little revolution for me,' Ismaili said of the online marketplace known for its year-round low prices. 'Suddenly I could treat myself and my kids to nice things without feeling anxious when checking my bank account.'
She's one of millions of Europeans who have turned to Temu for its huge selection of budget-friendly everyday items. With prices rising across much of the continent, Temu's pricing model offers practical relief for households feeling the squeeze.
It's helping Brits too, with a recent Ipsos poll finding that Temu shoppers across six countries, including the UK alongside Germany and France - cut their spending by 24 per cent on average, with four in five rating the platform as good value.
In the Nordics, a Kantar survey echoed these findings, with half of respondents citing pricing as Temu's biggest strength.
The impact adds up. In fact, a study by the Centre for Economics and Business Research (Cebr) estimates UK households could save nearly £3,000 annually by using Temu - providing welcome relief for families feeling the pinch.
'Price remains a key purchasing driver, especially during tough economic times,' said Dr Georg Wittmann, managing director of ibi research.
Since its launch in Europe, Temu has served more than 100million consumers across all 27 EU member states. By cutting out middlemen and excessive markups, the platform reduces costs and passes the savings directly to shoppers.
Helping everyone get the items they need
While affordability is a major draw for Temu customers, access and convenience is just as important. For many outside major cities, finding a wide variety of products at good prices remains a challenge. Fortunately, Temu is helping to bridge that gap.
In Oslo, 48-year-old paramedic Nina Brekke struggled for years to find shoes in her unusually small size. On Temu, she found what she needed.
'I like that I always find what I'm looking for, at good prices,' she said.
In Norway, 68 per cent of Temu users say it offers products unavailable in local stores.
With more than a quarter of Europe's population living in rural areas, many struggle with limited retail options. Temu's model gives these people access to the products they need without having to travel a long way to get them.
'Temu is part of the shift toward online access, particularly important for people outside major cities,' said Peter Nordgaard, author of Supply Chain ABC 2025. 'It brings the world of products closer to everyone.'
Opening doors to local sellers
In 2024, Temu opened its platform to local sellers in more than a dozen countries, giving small businesses a low-cost route to reaching millions of customers.
The platform reduces the usual barriers to launching online, helping independent firms to grow and contribute to local job creation and economic activity.
Nova Tissue, a manufacturer of toilet paper and kitchen rolls based in Oldham, Greater Manchester, had supplied retailers and wholesalers for decades before it saw margins shrink as clients consolidated.
Listing on Temu in December 2024 gave the business a second wind.
Demand surged quickly, with daily sales soon exceeding £10,000. Several products became national bestsellers and stock had to be rapidly replenished.
'We no longer rely on a single buyer,' said Nova Tissue's owner, Khurram. 'Temu connects us directly with UK consumers, and that's far more valuable than wholesale.'
To keep up, the company hired more staff in dispatch and customer service. What began as a sales experiment has created new jobs and made a tangible contribution to the economy of Greater Manchester.
Temu expects local sellers to contribute up to 80 per cent of its European sales and is helping them expand globally by partnering with international couriers.
'In today's climate, platforms like Temu are launchpads for small business growth,' said Gregor Murray, VP at Digital Commerce Global Group.
'They're not just selling goods - they're fueling economic activity and giving smaller players a shot at scale.'
Building a safe and trusted marketplace
Designated a Very Large Online Platform (VLOP) under the Digital Services Act in 2024, Temu is now subject to the EU's most stringent oversight rules.
Its compliance system includes vetting all sellers, monitoring listings through technology and human review, and removing non-compliant products through a responsive takedown process.
Temu also partners with top testing agencies like TÜV Rheinland and Eurofins to ensure product safety.
The platform uses automated tools and a multilingual team to detect and remove intellectual property rights violations and maintains an online portal for brands to report infringements directly.
Its app is certified under the MASA cybersecurity framework by DEKRA, the respected German testing agency.
Recognition and growth
Temu's impact on the e-commerce industry has been widely recognised. It was named 'eCommerce of the Year' at Spain's eAwards 2025 and ranked among the top 10 platforms at the Ecommerce Italia Awards.
In the US, USA TODAY included Temu in its 'America's Best Customer Service 2025' list.
In Europe, the platform is winning over users. Ipsos found that 77 per cent believe Temu delivers strong value, over half would recommend it to others, and 80 per cent expect to maintain or increase their spending on the platform in 2025.
It is also encouraging entrepreneurship. In the UK alone, 14 per cent of local buyers say Temu has helped them start or grow a business.
Many of these new ventures have created jobs and stimulated the economy of their local area.
'I don't think the public fully grasps the scale of what Temu could become,' said Nova Tissue's Khurram.
'If this is where we are now, imagine three or four years down the line.'
