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Amazon loses 1m mobile users as Shein and Temu continue to grow

Amazon UK has lost over one million daily users since the start of the year, while Shein and Temu have continued to see growth, new research has revealed.

According to mobile analytics and business intelligence firm Global Wireless Solutions (GWS), Amazon’s customers who shop daily on the app have dropped to 8.3 million from 9.3 million in January this year.

However, online marketplace Temu, which only launched in the UK in April this year, has seen mobile users grow rapidly to around 3.5 million, with fast-fashion retailer Shein reporting daily users doubled from one million to two million in the past six months.

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Vinted also reported around two million daily users.

“For years Amazon has gone all but unchallenged when it comes to offering the complete e-commerce package to consumers, and much of its success has been via its mobile app,” GWS CEO Dr Paul Carter said.

“However, mobile analytics data from GWS shows how brand loyalty on retail shopping apps moves quickly during challenging economic times, and retailers need to stay on top of the curve or risk getting left behind.”

“While apps like Temu and Shein are seeing significant rises at the moment, expanding their customer bases beyond their faithful female audiences will be crucial for lasting growth and success if they want to pose a genuine threat to Amazon.”

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Amazon is ranked as an Elite retailer in RXUK Top500 research, which highlights how the leaders in this market are proving flexible and adaptable in response to the Covid-19 pandemic, Russia’s invasion of Ukraine – and the knock-on effects from rising energy costs leading to inflation.

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