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A long writeup but very few facts: > TEMU is estimated ( Link ) to be losing $30 per order. Its ad spending and shipping costs (1-2 weeks from China, expedited
by alsdkjasldkj 3y ago
A long writeup but very few facts:
> TEMU is estimated ( Link ) to be losing $30 per order. Its ad spending and shipping costs (1-2 weeks from China, expedited to U.S. delivery) are astronomical. One is left wondering how this business could ever be profitable.
> TEMU is a notoriously bad actor in its industry. We see rampant user manipulation, chain-letter-like affinity scams to drive signups, and overall, the most aggressive and questionable techniques to manipulate large numbers of people to install the app.
> TEMU is demonstrably more dangerous than TikTok. The app should be removed from the Google and Apple app stores.
Grizzly Reports (https://twitter.com/ResearchGrizzly https://twitter.com/ResearchGrizzly) is "focused on producing differentiated research insights on publicly traded companies through in-depth due diligence."
This seems like low quality junk to me.
- ClumsyPilot 3y ago> aggressive and questionable techniques to manipulate large numbers of people to install the app. So basically like facebook?
- kcb 3y agoExcept all the ones after those first couple of bullet points...
- radicaldreamer 3y agoMany Direct-to-Consumer companies have the exact same model, get you hooked on the app and then raise prices.
- duskwuff 3y agoOffering discounts to first-time customers is a fairly common sort of growth hacking. If Temu were a US company, we wouldn't even be batting an eye at it.