Although it is new to the Brazilian market, Temu had an impressive growth during this year's Black Friday, tightening the competition with Mercado Livre and Shopee for dominance in e-commerce through apps.
According to data fromAppreach, agency specialized in advertising for apps, Temu recorded an increase of 3.100% in downloads and 4.100% in monthly active users (MAU) in November 2024, in comparison to the same period of the previous year. This rise is directly linked to an aggressive campaign of promotions and viral marketing, what drove the popularity of the app in Brazil.
Meanwhile, Mercado Livre maintained its leadership, with a growth of 29,8% in downloads and 23,2% in MAU in the same period. The performance consolidates the strength of the platform in loyalty and recurrence, demonstrating that the user base remains highly engaged. Shopee also reported positive results, with an increase of 23,5% in downloads and 20,3% in MAU, standing out for the balance between user acquisition and retention.
The growth of Temu was the most significant among the three apps, but part of this is due to its very low initial base, once the app started its operations in Brazil only in 2024. In contrast, Mercado Livre and Shopee showed more stable growth curves, reinforcing your positioning as established leaders.
"The Brazilian market is experiencing a moment of intense competitiveness in e-commerce". Temu has arrived with strength, betting on aggressive promotional campaigns, but Mercado Livre and Shopee remain as references in long-term retention and engagement,"comments André Sales, CMO of Appreach.
Acquisition and retention strategies
The strategies varied among the competitors. Mercado Livre focused on its loyal base, using loyalty and engagement programs to increase recurrence. Shopee has strengthened its presence with seasonal promotions and ease of use. The Temu, on the other hand, bet on your aggressive entry into the market, offering massive discounts and investing heavily in digital marketing.
"Temu brought a disruptive approach", but it needs to prove its long-term retention capacity. Meanwhile, Mercado Livre continues to lead in MAU, highlighting its strength as the preferred platform for Brazilians,"concludes Sales".
With Black Friday marking the start of the high season for retail, the dispute between Shopee, Mercado Livre and Temu should continue to drive the market. The consolidation of leadership and the acquisition of new users will be crucial in the upcoming major promotional dates
