Amazon launches low-cost ecommerce service in US to challenge Temu

Published 11/13/2024, 10:35 AM
Updated 11/13/2024, 10:50 AM
© Reuters. FILE PHOTO: The Australia Amazon site shows deliveries have started in this illustration photo December 5, 2017. REUTERS/Thomas White/File photo
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(Reuters) - Amazon.com (NASDAQ:AMZN) launched a low-cost ecommerce service called Amazon Haul for some customers in the United States giving them a selection of products at $20 or less, the online retailer said on Wednesday, as it looks to take on Chinese firms Shein and PDD Holdings' Temu.

In August, Amazon CEO Andy Jassy said average selling prices were falling as customers were trading down to cheaper items and buying more essential goods.

© Reuters. FILE PHOTO: The Australia Amazon site shows deliveries have started in this illustration photo December 5, 2017. REUTERS/Thomas White/File photo

The company said that the majority of products will be priced $10 or under, with some costing as little as $1.

The new low-cost service will be available within its app and users could search for "Haul", the company said, adding that it will be available for customers when they update their Amazon shopping app next.

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