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Amazon Plans Global Expansion For Its Discount Storefront Haul, to Take on Temu And Shein

Amazon Plans Global Expansion For Its Discount Storefront Haul, to Take on Temu And Shein

E-commerce giant company Amazon, is reportedly preparing to expand Haul, its low-cost shopping platform, beyond the U.S, with a launch in Europe later this year.

According to sources familiar with the matter, the company is eyeing Mexico rollout, as indicated by recent job postings.

Haul, which was rolled out in 2024, is Amazon’s answer to Temu, Shein, and TikTok Shop, popular platforms offering ultra-low-priced goods. Available exclusively via Amazon’s mobile app, Haul features heavily discounted products, catering to budget-conscious shoppers. The company offers free shipping on orders over $25, or a $3.99 shipping fee on orders below that threshold.

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Speaking on the launch of Haul, Dharmesh Mehta, Amazon’s vice president of worldwide selling partner services said,

“Finding great products at very low prices is important to customers, and we continue to explore ways that we can work with our selling partners so they can offer products at ultra-low prices. 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.”

It is understood that Temu, Shein and TikTok Shop, which all have ties to China, have won over many Gen Z shoppers and other bargain hunters by offering low-cost clothing, electronics and other items.  According to research from app intelligence firm Appfigures, the most popular app among U.S. users ages 18 to 24 was Temu, with almost 42 million downloads in that demographic between January and October 2024. For Shein, that estimate is about 14.7 million downloads.

However, one risk for Shein and Temu is that consumers may not feel comfortable making purchases from unknown sellers that could potentially be misleading; consumers have more existing trust in Amazon, but the company is working with similar, largely China-based sellers of mass-produced goods. Amazon claims that it screens sellers ahead of time, and if customers want to return their purchase, they can do so for free within 15 days as long as the item is over $3.

Amazon’s Growth Strategy For Haul

Amazon has always worked to provide customers with the widest possible selection, low prices, and a convenient shopping experience, and it offers more than 300 million products across more than 35 product categories.

Amazon’s leadership team, including CEO Andy Jassy’s S-team, has reportedly set ambitious goals for Haul to “Go Big” in the U.S. and globally. The company has already begun integrating sponsored product ads into Haul search results, a monetization strategy that has fueled Amazon’s $56.2 billion ad revenue in 2024. Additionally, Haul now features curated storefronts from lifestyle influencers, including TikTok creator Michaela Delvillar.

Amazon Haul has its own shopping experience, search, cart, and checkout so customers can build up a great haul of items at low prices. All items are priced $20 or less with the majority priced $10 and under, and some items as low as $1. 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.

The e-commerce company is betting that shoppers will wait longer for products in exchange for rock-bottom prices. It also noted that most purchases made in Amazon Haul will be delivered in under two weeks, “although shipping times may vary and are dependent on a customer’s delivery location.”

Looking Ahead

While Temu and SHEIN have carved out a strong niche in budget e-commerce, Amazon’s broader product selection, superior logistics, and brand trust make it difficult for them to fully displace the retail giant.

However, as the competition intensifies, Amazon launch of Haul, improving affordability, and leveraging its logistics skills, will ensure the company maintains its market dominance.

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