In previous years, Temu and Shein – which sell primarily from smartphone-based apps – would not have been the usual places for shoppers to buy toys and other holiday gifts. The sites face concerns from regulators and US-based consumer product makers about fakes and counterfeits.

The competing platforms serve as America’s digital “dollar stores”, offering mostly unbranded items – from bath towels and clothes to home appliances – at low prices. Now, both Temu and Shein are looking to win a bigger slice of the global market for toys, which fuel sales for retailers during the holiday season.

Toys drove US$108.7 billion in sales globally in 2023, according to market research firm Circana.

At Shein, which became popular selling US$5 T-shirts and US$10 jumpers, toys are one of the fastest-growing categories, a spokesman for the site said. Toys have seen double-digit percentage growth in sales volume on Shein’s platforms year on year, the spokesman said.