Temu and Shein drive up digital marketing prices for brands

Temu and Shein drive up digital marketing prices for brands
Temu and Shein drive up digital marketing prices for brands

Temu and Shein are investing massively in digital marketing to attract as many customers as possible on Black Friday (which takes place on November 29) and throughout the month of November, marked by numerous commercial operations. They rely in particular on purchasing keywords within the Google search engine. To appear at the top of the search results on the site, when an Internet user types in the expression “black dress,” for example, advertisers bid a certain amount. Shein and Temu are putting in much more than their competitors to be sure to win, particularly in fashion.

Both companies even invest in key words and phrases containing the names of their competitors. In the USA, for example, Temu paid to appear when the consumer types “Walmart Black Friday deals”, according to Reuters. Shein on keywords like “Walmart clothing” or “Zara jeans”.

A rising cost per click

Result: the cost per click of campaigns increases and the return on marketing investments decreases. In the coming months, some brands could choose to shift part of their marketing investments from Google to other channels, such as ads on social networks or influencers. Unless Temu and Shein also decide to invest large sums in it…

Temu told Reuters he was committed to fair competition and responsible advertising practices. “In rare cases, brand names may be inadvertently included in our campaigns due to automated keyword insertion processes on advertising platforms like Google”said the company spokesperson.

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