The Impulso Podcast

E36: Temu’s Super Bowl: maintaining operational efficiency and pivoting customer acquisition strategy in the US

11 snips
Oct 27, 2023
Rapid global expansion and the logistics behind a last-minute Super Bowl commercial. How low-price tactics, shipping trade-offs, and order strategies power growth. Cultural limits of referral models in the US versus Asia. Heavy ad spending reshaping advertising costs and competitive dynamics.
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INSIGHT

Localize User Acquisition Strategy

  • Temu initially copied Pinduoduo's friend-sharing user acquisition but it only worked with Chinese users in the US.
  • They discovered American users respond better to visible ads on platforms like Facebook and traditional media.
ADVICE

Pivot To Where Attention Is

  • Pivot acquisition channels to where local users spend attention, such as Facebook and Meta platforms in the US.
  • Use very low introductory product prices in ads to attract trial from price-sensitive customers.
INSIGHT

Low Prices Require Operational Muscle

  • Maintaining low prices requires backend systems, culture and operations, not just lowering sticker prices.
  • Tactics like minimum order thresholds help lift average order value while sustaining GMV growth.
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