Cheap deals and gaming: How China's Temu conquered Europe

Temporary price reductions just won’t make the cut anymore for the average European consumer, to whom Temu sells an entire shopping experience with the message: "you are getting a bargain".

Even though Europe's inflation has eased by now, consumers find it hard to resist a wide range of ultra-cheap products all year round, found on the Chinese e-commerce giant Temu’s app. The cherry on the cake? Shoppers also become winners each time in Temu’s spin-the-wheel game and pocket major discounts. 

The retailer is known to offer extra-low prices, partially due to its business model, which connects consumers directly with manufacturers and brands, saving on the costs of resellers and other intermediaries. 

Cheap prices and strategic marketing tactics dramatically increased Temu’s customer base in Europe. A year after it opened business in the continent in April 2023, Temu reported approximately 93.7 million average monthly active users in the EU for the period between 1 April and 31 October 2024. 

By the second quarter of 2025, Europe accounted for over one-third of Temu’s global monthly users.

The most downloaded app?

Temu has seen strong download demand for its app in countries like Germany, France, Spain and Italy.

According to data from market intelligence and analytics platform SensorTower, Temu was the second and third-most downloaded app in France and Germany, respectively, in the second quarter of 2025.

Besides offering a wide variety of goods for a very low price, the success of the application stems from its personalised feeds, push alerts, and daily deals, keeping people coming back with messages, including: “I’m low in stock. You may lose me…”

“This created a flywheel effect (awareness sparked curiosity, ads converted at scale, and the app kept attention), propelling Temu to the top of the download charts in many European markets in 2024,” said Gonzalo Brujó, CEO at brand consultancy, Interbrand. 

‘I’m getting a bargain’: The key to Temu’s success

“Temu grew fast in Europe by building fame first and converting quickly,” continued Brujó.

He argued that the retailer's simple slogan — “Shop like a billionaire” — underpinned Temu’s values: very low prices, huge product range, and easy delivery.

According to a recent Ipsos study examining trends in six countries (including in the UK, Germany, France and Spain), many consumers said they were attracted to the brand because of its low prices. On average, people in the surveyed countries reckoned they saved 24% by shopping on Temu in 2024.

To further boost its brand identity, Temu focused on aggressive advertisements, adapted based on country and often featured on social media sites.

‘Shopatainment’, a gamified shopping experience, is also key to the e-commerce giant’s success.

“Temu turned shopping into a form of entertainment: browsing, playing, saving, sharing and finally buying,” said Brujó. 

He added: “Simple games (such as daily check-ins, spin-to-win, or team purchases) kept users coming back and encouraged them to buy more without spending more on advertising.”

What has Temu brought to the European market?

The retailer's bargains are welcomed by a number of European consumers conscious about their spending, who are also willing to wait a little longer for deliveries.

“Temu normalised small cross-border purchases and made unknown brands acceptable by focusing on price and convenience," said Brujó.

According to Temu, “French homeware brand Casabel recorded a 15% increase in local sales and expanded into other European markets, while energy snack brand OneGum quickly launched its online store with Temu’s support and broadened its customer base.”

What is next for Temu in Europe?

The company is facing stringent compliance requirements in the EU, particularly regarding product safety and the sale of illegal products. 

As recently as July 2025, the European Commission said that Temu was breaking the bloc’s rules by not doing enough to prevent the sale of illegal goods on its platform.

"Evidence showed that there is a high risk for consumers in the EU to encounter illegal products on the platform," said the Commission in a statement.

Temu told Euronews Business on Tuesday that they apply a strict seller onboarding process and that their vendors "must affirm their commitment to product safety and regulatory compliance in their target markets". The retailer said it carries out regular physical spot checks and continuous monitoring.

“We partner with global leading independent testing and certification companies, including TÜV SÜD, Eurofins, SGS, and Bureau Veritas Group, to help ensure that products sold on our platform meet the required standards and regulations,” said the company in a statement sent to Euronews Business. 

Allegations of abusive labour practices are also hanging over Temu as it seeks to keep prices low. In 2023, a US government investigation found an "extremely high risk" that products sold on Temu could have been made with forced labour.

“Many Europeans continue to download and use Temu despite concerns,” said Brujó. This may, however, change as the EU tightens enforcement measures.

In parallel, platforms like Temu and Shein could see their sales and low prices impacted by a draft proposal from the European Commission, suggesting a flat €2 levy on low-value packages, valued under €150, shipped directly to consumers from outside the EU, typically from China. 

Temu’s marketing strategy, showing how entertainment-style shopping can spark demand, will soon be tested if the duty is applied.