Temu in Switzerland: 4 Tips on How to Stay Competitive as an SME

The online Comerciante survey 2024 shows: The intensified market situation is troubling Swiss Comerciante and Comercianteinnen, particularly the competition from Asian platforms like Temu and Co. These tips are designed to help you compete against them.

31 Oct 2024

Sheila

Matti

4 tips on how to remain competitive as an SME

For the seventh time, the Zurich University of Applied Sciences (ZHAW), for the first time together with the University of Applied Sciences and Arts Northwestern Switzerland (FHNW), conducted the annual online retailer survey. The comprehensive study provides important insights into trends and challenges in e-commerce and is therefore considered essential reading for interested online retailers.

If you want to study the 2024 online retailer survey in detail, you can download it here.

This year, 624 online shops from Switzerland, Austria, and other countries were surveyed on various topics – for instance, which payment methods they offer, which sales channels they serve, or which payment provider they rely on. On the latter point, Payrexx performed very well and is still among the most popular Payment Service Providers among Swiss SMEs and online retailers, with 18 percent of the mentions.

Asian marketplaces increase the pressure

Perhaps the most important part of the survey is the so-called “E-commerce Worry Barometer”, in which the retailers speak about their biggest challenges. As in 2023, this year the current market situation is also the main concern: Competition is steadily increasing, and price pressure continues to grow.

The Worry Barometer of this year’s online retailer survey shows: The current market situation, including the increasing competition, is particularly troubling for Swiss online retailers.


A significant event was the elimination of industrial tariffs on 1 January 2024: Previously, certain imported goods had levies imposed on them to protect domestic producers from foreign competition. Now, however, Asian platforms such as Temu or Shein can import their goods into Switzerland without additional costs – and thus offer them even cheaper.

So, how can you as a retailer assert yourself against the increasing competition from Asia? The 2025 online retailer survey also provides important inputs and strategies, which we summarise for you below.

1. Promise quality – and deliver!

The product looked great in the pictures, but shortly after arriving home, disappointment follows: The goods are cheaply manufactured, smaller than promised, or look completely different from the pictures. You can turn these negative experiences to your advantage. 78 percent of the surveyed retailers also try to differentiate themselves based on the quality of their products. You should convey this accordingly in the product description.

The following points speak for the quality of your goods or services:

  • Your products are manufactured fairly, sustainably, and environmentally friendly.

  • Your products are handmade and unique.

  • You guarantee the functionality of your goods and offer warranties.

  • Your quality is underpinned by positive reviews and quotes from customers.

2. Be reachable, by email, phone, or live chat

A major drawback of the Asian giant markets is their impersonal touch. Customers are processed quickly, receive AI-generated mass emails, and often struggle with support for hours. At the same time, more and more people crave a positive shopping experience. 62 percent of the surveyed online retailers stated that they differentiate themselves through top-notch customer service.

Here’s how you can improve customer service:

Always treat your customers in a friendly manner and show them understanding.

  • Always treat your customers in a friendly manner and show them understanding.

  • Always treat your customers in a friendly manner and show them understanding.

  • Ensure a selection of low-threshold contact options, such as a live chat on your website.

  • Be reachable not only via email but also by phone for your customers.



The 2024 online retailer survey lists a multitude of potential USPs (Unique Selling Propositions) through which Swiss SMEs can stand out.

3. Deliver quickly and accept returns

A significant disadvantage of Asian competition is their geographical distance: Those who order from Temu & Co. often have to wait weeks for their products. You, on the other hand, can benefit from short transportation and distribution routes. 44 percent of all participants in the 2024 online retailer survey indicated that they assert themselves against foreign platforms through fast delivery. With 39 percent of the mentions, a lenient returns policy also appears to be important.

To differentiate yourself in these areas, the following steps could help:

  • Ensure timely shipping of your products – ideally on the same day. To achieve this, collaborate with a professional logistics partner if necessary.

  • Communicate the expected delivery times, and be realistic about them.

  • Allow your customers to track the status of their shipment live.

  • Accept damaged or unwanted goods without much discussion and provide compensation for the affected customers – either through a discount on the next purchase or a refund of the purchase price.

4. Offer a wide range of payment methods

The ordering process at Temu & Co. is fraught with hurdles. On the one hand, buyers have to provide a multitude of data – including address and phone number – and on the other hand, the selection of payment options is very limited. Besides credit and debit cards, the only choices are TWINT, PayPal, Google Pay, or Klarna for purchase on account.

All these are also included in your Payrexx account, and much more. So you optimise the payment process for your customers in collaboration with Payrexx:

  • Find out which payment methods your customers prefer and offer them specifically and without much effort.

  • Gain access to over 200 national and international payment methods through Payrexx, thus expanding your customer base.

  • Take advantage of the increasingly popular mobile wallets like PostFinance Pay, Apple Pay, or Samsung Pay, which can all be quickly and easily integrated into your online shop thanks to Payrexx.

  • Benefit from the highest security standards for you and your customers.

Together with Payrexx, you can make the payment process for your customers as fast and easy as possible, so that they prefer to shop in your online store rather than with one of the Asian giants in the future.

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Create your Payrexx account in minutes and test the most convenient payment solution for SMEs without obligation and free of charge!