Will Temu’s new competitor disrupt the Hungarian market?

By: Trademagazin Date: 2024. 10. 25. 11:44

Recently, a new webshop giant appeared on the Hungarian market, which is the largest online marketplace with a European background, where the number of active customers in the entire region exceeded 20 million. Allegro started in Poland, but now has more than 5 million users outside of Poland. Entering the Hungarian market can seriously upset domestic trade as well.

Nebehaj Vanda

The marketplace, also referred to as the Amazon of Eastern Europe, has spread to several European countries, and according to the expert, changes can be expected in the Hungarian market as well. But should Hungarian small and medium-sized enterprises be afraid of the new competitor?

“There is absolutely no need to be afraid of it, but you should definitely live with it, as it becomes unavoidable.In the country in which it appeared – in Poland, where it started, or in the Czech Republic – it quickly gained ground and became an important player in the market. Allegro already accounts for one percent of Poland’s GDP”

– explained Vanda Nebehaj, the owner of Mazuri Marketing, who also touched on the fact that the appearance of the marketplace in the country can disrupt both larger and smaller businesses, such as the market for pet equipment and pet food, but it can affect any other sector as well.

“If, for example, a pet food brand has a product range in Hungary, and the same is true for Poland, but let’s say the owner is in Denmark, and the Polish trader can for some reason provide a more favorable price for the Hungarian market, this will inevitably cause price competition.”

– added Vanda Nebehaj.

The expert also drew attention to the fact that the appearance of a new marketplace affects not only businesses, but also customers, since the new market player is not as aggressive as even Temu, which is difficult to avoid today, but it is very good can also provide prices.