Canadians are looking to save money – now more than ever. And it sure is tempting when you find ridiculously low prices advertised on social media by the likes of Temu, Shein, and Wish.

Is it really possible to pick up a tablet for only $30 – and with mouse, keyboard, and protective case, too, no less?

Or a cute summer dress for just $8?

And what about a 30-piece kids stationary set for under $2 – with free shipping?

How do these online marketplaces make money by selling items so inexpensively? Is there anything fishy going on here?

Well, here’s what you need to know.

What’s the Deal with These Online Discount Retailers?

In case you didn’t know, most virtual storefronts – like Temu, Shein, and Wish – are Chinese brands that have become popularized in the west over the past few years.

They’re both websites and apps, so you can shop on many different devices, and if you’re logged into your account on each of them, it will remember where you left off. For example, you may be researching a toolkit for your home while you’re on a laptop, and maybe even add it to your shopping cart, and then when you open the app to the same store on your smartphone, you’ll see your browsing history and synchronized shopping cart there too. 

In this regard, it’s not unlike other shopping sites like Amazon.ca, Walmart.ca or BestBuy.ca.

These stores often offer free shipping – or in some cases, when the purchase is over a certain amount – and a liberal return policy should you decide to send something back (such as if the pair of jeans you bought do not fit). Temu, for example, typically has a 90-day return window, which is longer than many other retailers, and they often cover the return shipping costs, too.

These stores include main sections like “Featured Items,” “Best-Selling Products,” “Highest-Rated” and “Limited Time Deals,” as well as the ability to browse by section (Electronics, Beauty & Health, Apparel, Smart Home, Pet Supplies, etc.) or you can search by keyword.

Advantages of These Discount Retailers

It’s understandable why places like Temu, Shein and Wish are popular among Canadian shoppers:

  • Low prices: These online stores are known for their significantly lower prices compared to many other retailers. This is largely due to their direct-from-manufacturer approach, cutting out intermediaries. You can often find very competitive deals and discounts on all kinds of products. For example, you might find a recreational drone (with high-definition camera) for only $18 compared to $89 somewhere else. Saving shoppers even more, these marketplaces usually offer free standard shipping on most orders.
  • Variety of products: These stores offer an extensive range of products across numerous categories, making it a convenient “one-stop shop” for many items (except food). Categories include tech, clothing, home goods, beauty products, outdoor items, travel essentials, sports gear, and much more. 
  • Price matching/adjustment: If an item you purchased goes down in price within a certain timeframe after your purchase – usually a month – a price adjustment (in the form of a credit) is often offered.

As you might expect, however, there are also potential issues that could arise.

Downsides to Discount Retailers

A few thoughts on the shortcomings of sites/apps like Temu, Shein, and Wish:

  • Inconsistent product quality: Will that blouse you buy feel soft or scratchy? Will it start falling apart after a couple of washes? What’s the battery life like on that smartwatch you purchased? Because you’re buying from numerous third-party sellers and manufacturers, the quality of goods can vary significantly. And seriously, what did you expect from $25 projector? Also, some shoppers have reported that products received don’t always match the online descriptions or photos. Another concern: customer “reviews” may be fake or paid for.
  • Long shipping times: Unlike Amazon Prime products, which can arrive the next day (or in some cases, the same day), expect a longer delivery time from the discount retailers since many of these items are shipped directly from overseas (usually China). Standard shipping can take up to a couple of weeks in some instances. Are you good to wait? Be aware of this if you’re buying a Christmas gift in mid-December! Also, there’s a huge push to shop local – and Canadian – these days. If this matters to you, bypass Temu, Shein and Wish altogether.
  • Unpredictable customer service: While some users have had positive experiences with the customer service departments of these online stores, others have reported long response times, language barriers, and issues in resolving refunds or returns. Also be aware of fairly aggressive marketing and notifications, including several pushed messages to your phone (which you can disable on your device), annoying emails, and pop-ups ads while shopping that are excessive.
  • Ethical and privacy concerns: There have been concerns raised about supply chain and manufacturing practices with many of these Chinese stores, including the potential of forced/underage labor. Some cybersecurity experts also caution about the use – or misuse – of personal data these stores collect about you, including browsing behaviour and device information. Be sure to read data privacy policies.

So, What Should You Do?

As with any store you shop from, online or in person, do your research before using them.

If you start shopping at places like Temu, Shein or Wish, test the waters first. Dip your toe in with one or two items to get your feet wet – rather than diving in headfirst by spending hundreds on several items right off the bat. Ensure you’re happy with the experience before you start buying more.

Once you receive the product, give it some time to assess its quality and longevity before you leave a review for others.

On a related note, be realistic in your expectations. Don’t expect a premium product – or fast shipping – for a very low price.  

Hey, you may have a great experience with these online marketplaces. Many people do. If not, maybe it’s best to stick to more domestic retailers that have higher-priced (but higher quality) items.