Amazon plans to test product demand on the new site by allowing sellers to produce in small batches and determine their product selection and pricing. This approach will enable them to gauge customer interest and adjust their offerings accordingly based on the demand for new products.
Amazon plans to start signing up merchants for the new discount store this summer and begin accepting inventory in the fall6. The store will offer unbranded clothing, home goods, and everyday necessities shipped directly to overseas customers from warehouses in China.
Amazon's new discount store targeting Shein and Temu may increase competition and potentially affect their market share. By offering unbranded clothing and home goods shipped directly from China, Amazon aims to attract customers with low prices and fast delivery. This could impact Shein and Temu's growth and force them to adapt their strategies in response to Amazon's entry into the budget retail space.