Amazon is working on a secondary online sales platform that will compete with Chinese retailer Temu’s absurdly low prices. Information He saw an insider sent to Amazon merchants detailing some of the price caps for this new storefront.
The store claims that price caps are set at $8 for jewelry, $9 for bedding, $13 for guitars and $20 for sofas shipped from a fulfillment center in Guangdong, China under this new “Low Price Store.” According to the site’s sources, orders from this storefront will have a slower delivery time of nine to 11 days, while sellers will be charged a lower fulfillment fee. A seller will be charged $1.77-$2.05 to ship a 4-8 oz item through a low-cost store, while a local warehouse will charge $2.67-$4.16 for an item of this weight shipped under Fulfillment by Amazon. Information.
Amazon has not imposed price caps on its eponymous online store, so this new platform will be a very different strategy than its usual approach. This is more in line with the pricing policy followed by Temu, launched in 2022. In just two years, the bargain basement e-commerce platform has gained a reputation for selling products. as well as questions about trust .
