Online marketplace Temu comes under fire from the federal government. This is the accusation of manipulative purchasing incentives.
The federal government insists on taking consistent action against online marketplace Temu due to allegations of manipulation of purchasing incentives.
State Secretary for Consumer Protection Christiane Rohleder told the German Press Agency in Berlin: “Games, wheels of fortune, countdowns, etc. suggest incredible discounts and bargains.” And she continues: “Temu constantly offers new incentives to buy.”
Go from satisfying needs to creating needs.
We are moving from satisfying needs to creating needs to a completely new extent. It is especially problematic to focus on a very young target group. The EU Digital Services Law prohibits manipulative design of online platforms. “That's why it's important that these rules be implemented now,” Rohleder said.
In addition, comprehensive action is necessary against manipulative or addictive practices in the digital offer. The Secretary of State for Consumer Protection spoke in favor of the fundamental principle of “fair by design”. “As the Federal Ministry for Consumer Protection, we are committed to this in the review of European consumer protection legislation.”
Temu was founded in 2022. It is a subsidiary of PDD Holdings, which moved its headquarters from China to Ireland last year, writes CNBC.
Temu defended himself against the accusations.
The Federal Ministry of Consumer Affairs had already harshly criticized Temu under the leadership of Steffi Lemke (Greens). The background to this was a list of defects from the Federal Association of Consumer Organizations (VZBV). The consumer advice center is considering legal action against Temu.
One of the accusations made by consumer advocates is that the platform agitates and takes advantage of consumers with seemingly arbitrary discounts, questionable reviews and manipulative designs. Temu defended himself against the accusations: “Many of our sellers are manufacturers who traditionally supply stationery stores,” said a spokeswoman. Use your recommended prices, which are based on those in stores, and highlight savings based on them. Inventory and purchasing updates also reflected the actual inventory status.