With all the talk around Temu these days, you might be thinking if it could replace Alibaba for your dropshipping needs.
Quick Answer: What is the difference between Temu and Alibaba?
The main difference between Temu and Alibaba is that Temu is targeted at everyday shoppers with an easy-to-use app, while Alibaba is designed for businesses looking to buy and sell in bulk.
But there's more that sets them apart, which we'll dig into in detail.
For those who need a quick take: Alibaba is by far the superior choice for dropshipping. Its dedicated dropshipping center seamlessly integrates with your ecommerce store, unlike Temu, which is focused more on direct-to-consumer sales.
But don’t dismiss Temu just yet—it can be incredibly valuable for product research and more.
Let’s begin with an overview!
Temu vs. Alibaba: Overview
Here’s an overview of Temu vs. Alibaba:
Temu | Alibaba | ||
Pros | Cons | Pros | Cons |
Low prices | Cannot use images | Low prices | Minimum order requirement by most suppliers |
Extensive catalog | Does not support dropshipping | Wide variety of products | Quality issues |
Flexible return policy | Branded packaging | Platform supports dropshipping | Few suppliers support dropshipping |
Free shipping | Slow shipping and refunds | Product customization | Extremely long shipping times |
Trendy products | Work directly with manufacturers |
Now, here are a few examples of when to choose each platform.
Temu is the best choice for you if:
- You’re exploring new product ideas and want to learn how to dropship.
- You need a quick and simple way to source trending products for your online store.
- You need faster shipping than what Alibaba typically offers.
Alibaba is the best choice for you if:
- You’re experienced in dropshipping and ready to scale your business.
- You require a reliable and comprehensive dropshipping center that integrates seamlessly with your ecommerce platform.
- You need access to various suppliers and manufacturers to find the best deals and unique products.
- You’re open to the idea of private labeling or want to customize the products with your brand.
What is Temu?
Temu is an online marketplace that connects shoppers with Chinese manufacturers that offer a wide range of everyday products.
Since these items ship directly from China, vendors save on storage costs in the US, which means lower prices for you.
While Temu’s headquarters are in Boston, the company mainly operates from China.
It’s owned by PDD Holdings, the same company that runs Pinduoduo, one of China’s top ecommerce platforms.
The company first launched Temu in the US in September 2022 and quickly became popular, thanks to a massive 500 million dollar advertising campaign, which included Super Bowl commercials.
As of September 2024, Temu has expanded to 49 countries, but the US remains its primary market.
Pros of Temu
- Affordable prices. Temu offers some of the lowest prices on single product orders, making it an attractive option for budget-conscious shoppers.
- Extensive catalog. With over a million items across categories like home decor, luggage, pets, and clothing, you’ll find plenty of options to choose from.
- Flexible return policy. You can return eligible items within 90 days, which is a solid safety net for you and your customers.
- Free shipping. Standard shipping is free on all orders, and you get express shipping for free on orders over $129.
- Trendy products. Temu keeps its inventory fresh with the latest trends, so you can always offer what’s hot.
Cons of Temu
- Image restrictions. Temu doesn’t allow you to reuse its product images for commercial purposes, which can make displaying items a bit challenging.
- Branded packaging. All products come in packaging that prominently features Temu's branding, which might make customers aware that their items come from Temu rather than your store.
- No dropshipping solution. Temu doesn't offer a feature to import its products directly to your ecommerce store. In fact, Temu’s terms of service explicitly state that it doesn’t support dropshipping.
- Discount coupon issues. There have been complaints about Temu’s discount coupons, with many either expiring quickly or not working at all.
- Slow refunds. Refunds start after the returned item reaches Temu, which can take a week to a month, plus another 7 to 30 days to process the refund.
- Slow shipping. Standard shipping takes 6 to 22 days, and even express shipping can take 4 to 11 days, which might not meet the expectations of some customers.
What is Alibaba?
Alibaba is a business-to-business (B2B) platform founded in 1999. Its annual revenue is $130 billion.
It’s a wholesale marketplace primarily aimed at retailers who purchase large quantities of products at lower prices.
Unlike other platforms, Alibaba (like Temu) doesn’t own the inventory.
Instead, it connects you directly with wholesalers and manufacturers, allowing you to buy in bulk.
The company, based in China, serves businesses in 190 countries, covering over 5,900 product categories.
One of Alibaba’s standout features is that you can negotiate directly with manufacturers and even create custom products.
Plus, Alibaba offers a dropshipping center specifically designed to connect dropshippers with suppliers who don’t require a minimum order quantity (MOQ).
Pros of Alibaba
- Low cost. Sourcing from Asia can offer huge savings. Alibaba gives you access to wholesale prices that are often lower than what you’d find in the US.
- Wide variety. With millions of products across nearly every niche, you’re likely to find exactly what you need on Alibaba.
- Supports dropshipping. Alibaba’s Dropshipping Center is a free tool that helps you find dropshipping suppliers and products without any MOQs.
- Easy integration. You can import products directly from Alibaba to your Shopify or WooCommerce store.
- Customization option. Whether it’s branding or specific product features, Alibaba has suppliers that allow you to customize your products.
- Direct supplier access. By working directly with manufacturers, you can save a significant amount by cutting out the middleman.
- Quality suppliers. Alibaba’s rigorous vetting process helps you identify reliable suppliers, which reduces the risk of problems later on.
Cons of Alibaba
- Long lead times. Shipping can take a while, often more than a month if your products are sent by sea. The manufacturing process can add even more time to the wait.
- High minimum orders. Most sellers on Alibaba require a high minimum order quantity (MOQ) of 500 items or more.
- Limited dropshipping suppliers. Since Alibaba is mainly a wholesale marketplace, there are fewer suppliers willing to dropship, as it’s often not as profitable for them.
- Quality control issues. Sometimes, what you receive doesn’t match the photos, or subsequent shipments may not maintain the initial quality.
Temu vs. Alibaba: How are their business models different?
Temu is an online marketplace where sellers, mainly from China, list their products, and Temu takes care of delivering them to your doorstep.
To be clear, Temu sells directly to consumers and explicitly prohibits dropshipping in its terms of service:
On the other hand, Alibaba is also an online marketplace but with a focus on catering to businesses rather than individual consumers.
However, they do have a dropshipping solution that makes it easy for dropshippers to find manufacturers that have a MOQ of one item.
That said, Alibaba is geared towards selling large quantities. So it can be a bit challenging to find dropshipping suppliers on Alibaba.
Winner: Alibaba
Temu vs. Alibaba: Which one offers more products?
When it comes to the sheer volume of products, Alibaba takes the lead.
Alibaba has over 200 million products from more than 200,000 suppliers, making it one of the largest marketplaces in the world.
While Alibaba is primarily built for bulk sales of wholesale products, many manufacturers also cater to dropshippers, allowing you to purchase single items.
Alibaba also has all types of products under the sun, from construction materials and medical supplies to clothing, electronics, and toys.
If you can imagine it, you’ll likely find it on Alibaba.
Temu, on the other hand, focuses more on everyday items.
It has over a million products from 100,000 suppliers, and specializes in categories like jewelry, home decor, fashion, and other consumer goods.
While it offers plenty of options, it doesn’t quite match the variety or scale of Alibaba.
Winner: Alibaba
Temu vs. Alibaba: Which one offers lower prices and more discounts?
Both Temu and Alibaba are known for offering exceptionally low product prices.
However, there are some key differences in how they price their items.
Temu primarily sells to individuals in select countries with higher GDPs, so its prices tend to be slightly higher.
On the other hand, Alibaba caters to businesses worldwide, resulting in highly competitive pricing.
To see the difference, let’s compare the pricing of the same product on both platforms.
Here's the search result for a white tee on Temu:
And here's the search result for a white tee on Alibaba:
A white t-shirt on Temu starts at $1.56, while on Alibaba, you can find similar t-shirts starting below $1.
In fact, Alibaba has multiple sellers offering t-shirts with a minimum order quantity (MOQ) of just one for just a few cents!
Now, let's talk about discounts. Both platforms frequently offer deals that push prices down even further.
However, Temu, which focuses on individual buyers and single-item sales, constantly rolls out aggressive discounts—sometimes up to 90% off—to attract customers.
Alibaba, in contrast, already offers some of the lowest wholesale prices globally, so it doesn’t rely as heavily on discounts to stay competitive.
Winner: Draw (Alibaba for pricing, Temu for aggressive discounts)
Temu vs. Alibaba: Which one is more user-friendly?
When it comes to user experience, Temu offers a sleek, modern interface, while Alibaba has a more classic marketplace design.
Both platforms are easy to navigate, with well-organized listings and filters that help you find exactly what you’re looking for.
Temu’s homepage is filled with sections dedicated to top deals, discounts, and featured products, which makes it easy to spot the latest offers.
Alibaba, on the other hand, focuses on its role as a comprehensive trading platform, emphasizing trust factors like badges, factory sourcing information, and even live factory tours.
Let’s take a look at a product page on Temu:
As you can see, Temu’s product pages are clean and straightforward.
You’ll find key information like best-seller rank highlighted in green, details about the seller and their sales history, shipping info, and customer ratings and reviews—all neatly organized.
Now, here’s how a product page looks on Alibaba:
Alibaba’s product pages are packed with information.
Right away, you’ll see details on product variations, bulk pricing, shipping options, and customer reviews.
Scrolling down, you’ll find more in-depth seller and product information.
When you click on the seller’s name, you’ll be taken to another page where you can see additional seller details, such as registered trademarks, product offerings, and factory specifics.
This level of transparency is a standout feature, as Alibaba rigorously vets its suppliers and provides all relevant details.
In contrast, Temu’s seller pages are more limited, typically showing only other products the seller offers.
However, in terms of design, Temu feels more like a modern ecommerce store, while Alibaba’s interface can come across as a bit dated.
Winner: Temu
Temu vs. Alibaba: What are their dropshipping features
When it comes to dropshipping, the difference between Temu and Alibaba is clear.
Temu does not officially support dropshipping and doesn’t offer any dedicated tools or programs for dropshippers.
In contrast, Alibaba welcomes dropshippers with open arms!
While AliExpress initially led the way with its Dropshipping Center, Alibaba has made progress in this area as well.
Many suppliers on Alibaba have reduced their minimum order quantities (MOQs) to just one, making it easier for dropshippers to get started.
Besides finding products and suppliers, you will be able to easily import those products into your store and process orders more efficiently.
We have a great deal more information on the Alibaba Dropshipping Center in our definitive guide here.
Plus, you can check out this article here, which reviews the five best Alibaba dropshipping connection apps!
Winner: Alibaba
Temu vs. Alibaba: Which offers the best suppliers?
Both Temu and Alibaba thoroughly vet their suppliers, but Alibaba makes it much easier for you to contact them directly.
On Alibaba, you can easily reach out to suppliers from the catalog and product pages.
Alibaba's messaging platform functions much like email, allowing you to communicate directly with suppliers.
For quicker responses, you can also ask for the supplier’s WeChat ID—China’s top instant messaging app.
Just remember, the time difference between your country and China can lead to delayed replies.
If you're contacting a supplier on Temu, the process is slightly different.
To request a connection to the supplier, copy the item ID from the product details and paste it into the support chat.
Alternatively, you can use the ‘Message’ option on the seller's page.
However, Temu’s support might not always connect you directly to the seller and might only provide additional product details.
Now that we’ve discussed how to contact suppliers, let’s talk about their quality.
Both platforms have Chinese sellers offering products at competitive prices.
However, since Temu sells directly to end consumers, customers often leave detailed reviews with images, which makes it easier for you to gauge the quality of a seller.
In contrast, Alibaba’s sellers may be more reserved in sharing details, as revealing too much could give an advantage to competitors like them.
Winner: Draw
Temu vs. Alibaba: Who has a better shipping policy?
Both Temu and Alibaba provide estimated processing and shipping times on their product pages, but their approaches are quite different.
Temu offers two shipping methods:
- Standard Shipping. Free for all orders, with delivery times ranging from 6 to 20 days.
- Express Shipping. Costs $12.90 per order, but it’s free on orders over $129, with delivery within 4 to 11 days.
If your order arrives late, Temu offers a $5 credit as compensation.
Plus, some sellers on Temu have products stocked in local warehouses, which drastically reduces delivery times.
For example, here’s a product page that shows the item will be shipped from a local warehouse.
Alibaba, on the other hand, has a more complex shipping policy.
As a B2B platform, Alibaba’s shipping costs and times are typically based on sending the entire minimum order quantity (MOQ) to one location in a single shipment. This means you’ll need to negotiate shipping arrangements directly with your supplier.
Some suppliers may be reluctant to handle shipping logistics for smaller orders, as it can be too much work for minimal return.
Fortunately, most suppliers are willing to refer you to a dropshipping agent who can handle this for you, which you can read more about in this article here.
To be honest, both platforms have challenges with delivery, as products are shipped from China. Common complaints include late deliveries or missing packages.
However, because Temu handles smaller orders—usually single items—its shipments typically arrive faster than those from Alibaba.
Winner: Temu
Temu vs. Alibaba: Who has a better return policy?
When it comes to return policies, Temu offers a more generous and flexible approach than Alibaba.
Temu:
- Return items within 90 days of purchase.
- Items must be sent back within 14 days of starting a return request to qualify for a refund.
- The first return per order is free; subsequent returns incur a $7.99 shipping fee.
- If your order is late, Temu offers a $5 credit for standard shipping or $13 for express shipping as compensation.
Alibaba:
Alibaba.com offers two return options: Trade Assurance and Easy Return.
Trade Assurance is an escrow service that protects your order from fraud. If a transaction goes wrong, Alibaba guarantees your money back if the supplier doesn’t meet the agreed terms.
You can claim a refund within 30 or 60 days of delivery for orders under Trade Assurance.
The process involves opening a dispute, arranging the return, and waiting for the supplier to confirm receipt.
However, while it offers protection, the ground reality is that the process is lengthy, often taking several months to resolve disputes.
Then you have Easy Return which is available for participating products marked with ‘Easy Return.’
If you use the warehouse’s shipping method, the shipping fee is covered.
If you return the items yourself, you’ll bear the shipping costs. Returns must be made within 15 days after the Easy Return is approved.
That said, returning items to China can be expensive and time-consuming on both platforms.
To offset these potential costs, it’s wise to apply a higher margin to your products to cover any losses from returns.
Winner: Temu
Temu vs. Alibaba: Who has a better customer support?
Both Temu and Alibaba offer 24/7 customer support via live chat and email.
Temu also has a chatbot on their homepage for quick assistance.
Alibaba goes a step further by offering phone support and a range of resources for dispute resolution and transaction management, which can be particularly valuable for B2B transactions.
However, the quality of both Temu’s and Alibaba’s customer service can be hit or miss.
It’s just that Alibaba is slightly more reliable due to its long-standing experience in the market.
But for the most part, both platforms offer a similar customer support experience.
Winner: Draw
Summary
Before we go, we've created a quick summary of this article for you, so you can easily remember it:
- Alibaba is clearly better for dropshipping with its dedicated dropshipping center and easy product import tools, while Temu explicitly prohibits dropshipping in its terms.
- Alibaba offers a vast product range with customization and branded packaging options, ideal for unique brands. Temu focuses on consumer-oriented products without customization.
- Temu generally has faster shipping, while Alibaba's shipping can take longer, especially for bulk orders.
- Temu offers a more straightforward and generous return policy, with free returns on the first order and credits for late deliveries. Alibaba's return process is more complex and varies depending on the supplier, but it includes protections like Trade Assurance.
- Overall, Alibaba is the better choice for dropshipping due to its comprehensive tools, direct supplier communication, and flexibility, making it more suitable for businesses serious about dropshipping.
Final verdict
So, this brings us to the real question: Which of the two is better for dropshipping?
By now, the answer should be pretty clear— it’s Alibaba!
Alibaba is simply a better choice for dropshipping, and here’s why.
For starters, many Alibaba suppliers offer the option for branded packaging, something Temu lacks, as all their products are shipped in bright orange bags.
Plus, Alibaba has a dedicated dropshipping solution that makes it easy to import products directly to your store, a feature that Temu does not offer.
This makes Alibaba not just the better, but the more practical choice for anyone serious about dropshipping.
That said, don’t completely dismiss Temu. Since Temu sells directly to end customers, it can be a valuable tool for product research.
You can see which items are best-sellers in each category and which products have the highest ratings.
Once you identify popular products on Temu, you can then search for similar items on Alibaba.
There’s a good chance you’ll find other vendors selling the same or similar products, allowing you to take advantage of Alibaba’s dropshipping features for those high-demand items.
Other dropshipping companies
While Alibaba is a major player in the dropshipping world, it’s not necessarily the best option out there.
In fact, its sister company, AliExpress, is a far better choice for many dropshippers, as most suppliers on the platform don’t have any minimum order quantities (MOQs).
If you want to know more about the differences between the two, check out our in-depth comparison article:
But there are plenty of other dropshipping platforms that could better suit your needs, especially if you’re looking for faster shipping or a broader range of suppliers, including those based in the US.
Platforms like Syncee and Spocket are great alternatives. They offer access to a variety of US and EU suppliers, which means super fast deliveries.
If you’re curious about how these options stack up against each other, here are some comparison articles that might help you out:
- Syncee vs. Spocket
- DSers vs. AliDropship
- DSers vs. Spocket
- Printful vs. Printify
- CJdropshipping vs. SaleHoo
And don't forget to check out our comparison guides hub here!
Want to learn more about dropshipping?
Ready to move your dropshipping store to the next level? Check out the articles below:
- How Does Alibaba Work? (What You Should Know in 2024)
- How to Find Great Dropshipping Suppliers on Alibaba in 2024
- How Do You Import Products From Alibaba to Shopify in 2024?
Plus, don’t forget to check out our in-depth guide on how to start dropshipping here!