(Credit: Amazon)
Amazon is taking on Temu and Shein by launching a new shopping experience for US consumers that exclusively offers products that cost $20 or less.
The new shopping experience, dubbed Amazon Haul, promises "crazy low prices" on a wide range of goods, including clothing, electronics, and kitchen gear, much like Temu already does.
"All items are priced $20 or less with the majority priced $10 and under, and some items as low as $1,” the company says. “Customers can enjoy even more savings when they add more items to a single order, with 5% off orders $50 and over, and 10% off orders $75 or more.”
(Credit: Amazon)But don’t expect quick delivery times like those offered by Amazon Prime. Instead, goods bought through Amazon Haul will arrive in one or two weeks, similar to Temu. The company says it created Haul by working with vetted Amazon sellers, who have the choice of listing their products on the normal Amazon.com experience or on both. Opting into the Haul experience means eligible merchants can offer another way to lower their costs for consumers while maintaining reliable deliveries from overseas.
It looks like many of the merchants on Haul are based in China, which suggests customers are buying directly from manufacturers or wholesale dealers in the country.
Amazon adds that users must spend at least $25 to receive free shipping, even if they subscribe to Prime. Otherwise, shipping is $3.99. On the plus side, the company offers free returns on all Amazon Haul purchases over $3 within 15 days of delivery. All Haul orders will also follow the company’s "A-to-z guarantee" policy, which is designed to protect consumers when buying from third-party vendors.
"Amazon screens the products sellers offer in Haul so customers can be confident they’ll receive products that are safe, authentic, and compliant with applicable regulations," it says.
In June, CNBC reported that Amazon was developing a challenger to Temu after the company held an invite-only conference for Chinese sellers. In Wednesday’s announcement, Amazon added: “We also hear from customers that sometimes they would love to shop ultra-low-priced products even if some of them take one to two weeks to arrive.”
But unlike the regular Amazon experience, Haul can only be accessed on a mobile device, either through the dedicated site or via the Amazon Shopping app.
"It's early days for this experience, and we'll continue to listen to customers as we refine and expand it in the weeks and months to come,” says Amazon VP Dharmesh Mehta.