Surprising finding about Temu in South Africa

Surprising finding about Temu in South Africa — a new report by Reveal and Yazi reveals that wealthy South Africans are spending more on Temu than on Shein, reshaping the online retail spending landscape. The study provides insight into how income levels influence consumer preferences and shopping trends across the country.

Temu attracts affluent shoppers in South Africa

According to the Reveal and Yazi analysis, affluent South Africans are spending significantly more money at Temu South Africa than at Shein, while Shein remains more popular among lower-income groups.

The report analyzed 756,576 bank statement transactions collected between January and June 2025. The data was drawn from individuals applying for credit or mobile contracts, providing a comprehensive overview of South African consumer analysis in the fashion and retail sectors.

The findings suggest that while Temu’s appeal cuts across all income brackets, it has gained surprising traction among those earning over R40,000 per month, a demographic typically associated with established retail brands like Truworths and Foschini.

Mr Price and Pep still dominate the overall spend

Despite the rise of global online platforms, Mr Price and Pep continue to hold the largest share of South Africa’s clothing market. Mr Price accounted for 14.7% of the total wallet, followed by Pep at 12.5%, Truworths at 11.8%, and Ackermans at 10.8%.

However, the study found that Mr Price’s dominance declines with higher income levels. Among South Africans earning below R10,000 monthly, the retailer captured 16.18% of total clothing spend, but that figure drops steadily to 13.49% among those earning R40,000 or more.

The same trend was observed with Pep, whose share fell from 15.45% in the lowest income bracket to 10.33% in the highest.

Temu’s growing influence over Shein

One of the most surprising findings about Temu in South Africa is that the platform has overtaken Shein in overall spending share. Temu holds 6.8% of total clothing-related spending, compared to Shein’s 6.3%.

For South Africans earning under R10,000, Temu accounted for 5.06% of total clothing expenditure. But for those earning above R40,000, its share climbed to 7.98%, indicating Temu’s strong appeal to middle- and high-income shoppers.

In contrast, Shein’s share dropped from 6.51% in the lower-income group to 6.04% among higher earners. While still popular for affordable fast fashion, Shein seems to resonate more with price-conscious consumers.

Collectively, both Chinese platforms account for roughly 13.1% of South Africa’s online clothing spend, showcasing their growing influence in the e-commerce landscape.

Why wealthier South Africans are drawn to Temu

The Temu South Africa platform’s popularity among wealthier consumers is not solely tied to fashion. Researchers suggest that Temu’s product diversity plays a major role.

Unlike Shein, which focuses primarily on apparel, Temu functions as a general goods marketplace, offering a variety of categories such as electronics, smart gadgets, home décor, and beauty products.

This means that the Temu spending increase among affluent customers might not necessarily reflect higher fashion spending. Instead, many shoppers could be purchasing non-clothing items like air fryers, drones, smartwatches, and phone accessories.

Additionally, some higher-income buyers may be resellers, purchasing products in bulk from Temu and reselling them at a markup through local online marketplaces.

Changing trends in South African consumer spending

The South African consumer analysis highlights broader shifts in spending habits.
While fast-fashion retailers like Mr Price and Shein still dominate the lower-income market, middle- and upper-income groups are diversifying their online spending.

Retail brands such as Truworths, Bash, and Foschini are performing better among higher-income shoppers, alongside Temu’s unexpected rise. These patterns reveal a transition toward multi-category online shopping, where consumers seek both value and variety.

The data also emphasizes the impact of mobile-based shopping, with many South Africans using their phones to browse and buy, especially on global apps like Temu and Shein.

Temu’s competitive edge in South Africa’s e-commerce market

Temu’s growth in South Africa’s online retail spending aligns with global trends. Its aggressive pricing, extensive advertising, and fast logistics have made it one of the fastest-growing e-commerce platforms worldwide.

For South Africans, Temu offers an accessible entry point to international goods, often at prices lower than those of local stores. While concerns about product quality persist, many consumers appear satisfied with the affordability and convenience.

However, analysts note that Temu’s success is not necessarily a threat to established local retailers. Instead, it indicates a broader consumer shift toward hybrid buying habits, where people mix local purchases with international e-commerce shopping.

What this means for South Africa’s retail future

The surprising finding about Temu in South Africa sheds light on evolving consumer priorities. Income-based differences are shaping brand preferences, with affordability and product diversity driving online growth.

As digital retail expands, South African consumers are blending fashion, technology, and convenience in their shopping behavior. Temu’s rise may signal the beginning of a new retail era, where global and local platforms coexist and compete for wallet share.

Retail analysts predict that if Temu maintains its growth and brand visibility, it could become one of South Africa’s top e-commerce platforms by 2026 — not just in fashion but across all product categories.

Conclusion

The surprising finding about Temu in South Africa confirms that online shopping behavior is evolving rapidly. Affluent consumers are increasingly drawn to versatile e-commerce platforms like Temu, while Shein continues to dominate fast-fashion segments.

Whether this trend will continue depends on consumer satisfaction, logistics efficiency, and the ability of local retailers to adapt.

For now, Temu’s momentum highlights South Africa’s growing appetite for global digital retail — a space where convenience, price, and product diversity define modern consumer loyalty.

Stay connected to 🌐 www.eKayNews.co.za
Your trusted source for South African business, lifestyle, and e-commerce insights.