AsianFin -- Fast-growing e-commerce platforms like Shein and Temu, owned by PDD, are expanding their offerings to include toys, just in time for Black Friday shopping. Historically, these mobile-based apps were not known as go-to destinations for holiday gifts like toys, but with the holiday season approaching, they are positioning themselves to tap into the lucrative toy market.

Both Shein and Temu are increasingly being seen as digital "dollar stores" in the U.S., offering a range of low-cost, mostly unbranded products from home appliances to clothing. However, their expansion into the toy market raises concerns over counterfeit products, with regulators and U.S. toy manufacturers voicing worries.

In 2023, the global toy industry generated $108.7 billion in sales, according to market research firm Circana, making it a key segment for retailers. Shein, which first gained fame for its affordable fashion, has seen rapid growth in its toy category, with a spokesperson noting double-digit sales increases year-over-year. Both platforms are now aiming to capture a larger share of the toy market, particularly during the holiday shopping season.