Consumers Weigh Trust and Price: Temu vs. Amazon Amid Tariff Concerns

A new study and survey by Omnisend, an e-commerce marketing platform, reveals that price is a major factor when consumers choose between online retailers Temu and Amazon. Despite only 5% of respondents saying they trust Temu, 53% still shopped there in the past year. In contrast, 87% trust Amazon, and 75% have purchased from the platform in the last year.

The study also found that Temu shoppers could save an average of 40%, or $13.37 per product, compared to Amazon, though concerns over U.S. tariffs on foreign goods could impact consumer decisions. Despite this, 20% of respondents said they would continue shopping at Temu even if prices increased due to tariffs, while 29% would reduce their spending or stop shopping altogether.

Interestingly, 40% of respondents expressed willingness to pay more for U.S.-made goods, which surprised Omnisend’s Greg Zakowicz, who believes consumers are generally value-driven.

Zakowicz also noted that although consumers may express distrust in Temu's products, many are still willing to "trade down" for the low prices. The survey found that 77% of Amazon products had a similar counterpart on Temu, with some Temu items appearing to be knockoffs. Researchers also observed possible review manipulation on the Temu platform, with disappearing reviews and poorly rated products being re-uploaded.

Regarding Amazon’s low-cost offerings, 24% of Americans have shopped on Amazon Haul, a site for lower-priced products with longer shipping times from China.

Temu and Amazon Respond

In response to the survey, Temu emphasized the savings shoppers can find on its platform by cutting out middlemen costs. The company acknowledged that, as a newer platform, trust is built over time but stressed the value many customers find in its platform. Temu also denied selling counterfeit goods, stating that all reviews are from verified purchases.

Amazon, in turn, refuted claims that 77% of Amazon products have counterparts on Temu, arguing that many items compared are not identical. An Amazon spokesperson also pointed to an independent study by Profitero, which found Amazon’s prices to be 14% lower than competitors, further highlighting the company’s commitment to offering low prices across its broad selection.

As shoppers continue to navigate the impact of Trump’s tariffs, price will remain a key factor in their buying decisions, but trust and product quality will also play significant roles in shaping the future of both platforms.