New York
CNN
—

Amazon is taking aim at retail rivals Shein, Temu and TikTok Shop with a new, heavily discounted storefront that sells a wide range of products for $20 or less.

The mobile experience, called “Amazon Haul,” debuted on the Amazon app on Wednesday and features everything from fashion accessories to home goods, plus clothing and electronics.

Haul is Amazon’s answer to China’s marketplaces, which have seen rapid growth in the United States of price-conscious shoppers looking for cheap products, said Neil Saunders, managing director of retail at GlobalData.

“The value retail segment has been a key growth area in recent years, and while the main Amazon site offers good value for money, its wide range means it is not primarily seen as an everyday destination for low prices. ,” he told CNN.

Amazon said in an announcement that a “majority” of the Cargo items cost less than $10, and some even less than $1. For example, an iPhone case retails for $1.79, a tablecloth for $4.99, and memory foam slippers for $9.99.

However, the cheap prices come with the caveat that items may take one to two weeks to be delivered. And shipping is only free on orders over $25, with an additional $3.99 charge for orders under that threshold. Additionally, the store only accepts returns on items costing $3 or more.

In what could be seen as a small boost to its foreign rivals, Amazon said it “screens the products sellers offer in Haul so that customers can be confident they are receiving products that are safe, authentic, and compliant with applicable regulations.” ”

Shein and Temu have recently been targeted by US regulators in a proposed investigation into the sale of “deadly baby and toddler products.” Two leaders of the Consumer Product Safety Commission want to investigate how the companies are complying with safety regulations.

Amazon said Haul was founded because it heard from customers that want “ultra-low priced products, even if some of them take one to two weeks to arrive.”

Saunders said there will be concerns about Haul cannibalizing sales from its flagship website, but it is “better that Amazon cannibalizes its own sales than cedes ground to rivals,” and the storefront could prove popular with younger consumers who shop avidly at Amazon competitors.