Latest news with #SpencerSaunders
Metro
5 days ago
- Business
- Metro
Temu helps UK local businesses boom, sparking a wave of community success
Metro journalists select and curate the products that feature on our site. If you make a purchase via links on this page we will earn commission – learn more Us Brits love a bargain, so it's no surprise that when direct-from-factory platform Temu landed on UK soil two years ago, shoppers flocked to it in their droves. With prices as low as £1.88 and an enormous range of items, including quite literally everything from tech accessories to trendy homeware, Temu quickly became the destination for budget-savvy Brits looking to spend less. What's really surprising about Temu's takeover though, is the unexpected boom it's sparked for small British businesses signed up to the site. One business, Leeds-based retailer Spot On-Line (SOL) known for its affordable home and craft supplies, saw daily sales surge from £200 to a whopping £1,500 in just four weeks after joining the e-commerce platform. That's a jaw-dropping increase of 650%! In fact, the company brought in £72,000 in gross revenue during its first full month on Temu, enough for the team to invest in a brand new distribution centre to keep up with the surge in demand. At a time when many small businesses are feeling the pressure from high inflation and cautious consumer spending post-Brexit and Covid, it's a real boost for the local area too. Marketplace Director at SOL, Spencer Saunders, said: '[It's] the strongest start we've had on any channel,' adding that it was great to see 'net sales take off and growth build so quickly.' The second SOL site will focus entirely on fulfilling online orders through Temu, which is expected to create new jobs in logistics and operations, and also offer more work for other businesses in the local supply chain. Known for its huge selection and ultra-low prices, Temu has quickly become one of the most downloaded apps in the UK, and it's making big waves in the world of online shopping. A report by the Centre for Economics and Business Research says UK households could save up to £3,000 a year by shopping through platforms like Temu that cut out the middleman. In South London, a salsa group danced at a local festival with matching outfits and coordinated moves…without spending a fortune. They struggled with finding costumes that suited different body types within a budget. Then they found Temu. 'We didn't want the team to spend too much on their outfits for performances, but we still needed to look cohesive,' said Anh Vo, founder of the SASalsa dance group. 'I'm so glad we found something inexpensive that tied the whole routine together.' They're among millions across the UK turning to Temu for affordable everyday items. A recent Ipsos survey found shoppers in six countries (including the UK) saved an average of 24%, with over 70% saying they'd recommend it to others. 'Price remains a key purchasing driver, especially during tough economic times,' commented Wittmann, Managing Director of ibi research. Whether you're a local seller or a savvy shopper, it's pretty clear that Temu is a game-changer for both businesses and bargain hunters. With its unbeatable prices and wide range of products, it's not just revolutionising how we shop, but also helping local companies thrive in an increasingly challenging retail environment. Designated a Very Large Online Platform (VLOP) under the Digital Services Act in 2024, Temu is now subject to the EU's most stringent risk 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 Germany testing agency. Temu's impact on the e-commerce industry has been widely recognized. 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 U.S., 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% believe Temu delivers strong value, nearly 70% would recommend it to others, and 80% expect to maintain or increase their spending in 2025. The platform is also encouraging entrepreneurship. In the UK alone, 14% of local buyers say Temu has helped them start or grow a business. Many of these new ventures have already resulted in job creation and direct economic benefits to their communities. And, as the platform continues to grow, it looks like Temu will play an even bigger role in reshaping the future of British shopping. Follow Metro across our social channels, on Facebook, Twitter and Instagram Share your views in the comments below MORE: Dunelm's big homeware sale is here – with up to 50% off bedding, furniture and more MORE: Nobody's Child now has a whole page dedicated to dresses with pockets MORE: This skincare product completely transformed my skin – I get everyone to use it! Your free newsletter guide to the best London has on offer, from drinks deals to restaurant reviews.
Daily Mail
01-05-2025
- Business
- Daily Mail
British retailer announces major expansion plans and new jobs after joining Temu
A British retailer is dramatically expanding its operations and creating new jobs after enjoying a surge in online sales. Spot On-Line (SOL), which is based in Leeds and specialises in affordable home and craft supplies, saw daily sales rise from £200 to £1,500 within four weeks of listing on e-commerce platform Temu. This amounted to £72,000 in gross revenue in the first full month after the launch, allowing the firm to invest in a new distribution centre to meet booming demand. The move is a welcome boost to local employment at a time of broader economic gloom brought about by stubbornly high inflation and weak consumer spending. Spencer Saunders, Marketplace Director at SOL, described it as 'the strongest start we've had on any channel' and expressed his delight at 'seeing net sales take off and growth establish so quickly'. The new distribution centre - the company's second - is expected to create new roles in logistics and operations while also supporting other businesses in the local supply chain. It will be dedicated to handling online orders generated through Temu, an online marketplace that allows vendors to ship and sell directly to customers. Famed for its massive range and low prices, Temu is now one of the most downloaded apps in the UK and a rising force in global e-commerce. Since late last year, the platform has been partnering with local companies like Spot On-Line to broaden its range of goods and improve delivery times by sourcing stock closer to customers. The Centre for Economics and Business Research estimates that UK households could save up to £3,000 per year by shopping through direct distribution channels like Temu, making it particularly attractive at a time many are feeling the pinch. The platform's reputation has been boosted further by a study from OC&C Strategy Consultants, which ranked it among the top platforms for product variety and value. Explaining its attractions, Mr Saunders said: 'The cost-of-living crisis is forcing people to be more selective about where they shop. 'Our strategy of offering great value fits closely with what Temu is known for, and that alignment has helped us grow quickly.' SOL is part of the Purston Park Group, which also includes Overseas Trading Limited (OTL) and offers a wide range of discount products including DIY tools, stationery, partyware and toys. Originally focused on supplying business customers via OTL, Purston Park Group has increasingly moved to selling directly to individual shoppers via SOL after a rise in demand for affordable goods. This neatly coincided with Temu's own drive to partner with domestic retailers that pack and ship goods in Britain rather than overseas. The platform, which operates in more than 90 countries, has said it expects 50 per cent of its UK sales to come from its 'local-to-local' partnerships - a shift that could prove a boon for the economy. Mr Saunders is excited about the opening of SOL's new distribution centre later this year, which will help it handle more orders and speed up delivery to customers. The company plans to expand into the US later this year before launching in Ireland. It aims to be trading across Europe by 2026, leveraging Temu's infrastructure to reach overseas customers while continuing to invest in its UK base. 'For sellers looking to expand, Temu offers an unbeatable advantage,' said Mr Saunders. 'It puts our products in front of millions of active shoppers without the usual high costs of advertising or marketplace fees. 'The platform practically does the selling for us.'
