Guide · Choosing a Temu selling model
Temu sells the same product three ways. In the fully managed (consignment) model the seller ships stock to Temu and Temu does everything else. In semi-managed, the seller keeps inventory in a local warehouse and ships each order, while Temu still steers pricing and the customer relationship. In the local seller program, a US business lists, prices within Temu's review, ships, and handles returns from its own operation. The models differ in who holds inventory, who sets price, who ships, who handles returns, how you get paid, and who is even eligible. This page puts them side by side.
The one question
Everything else follows from that. In fully managed, the inventory is already in a Temu facility, so Temu controls the shipping promise and the price, and the seller is a supplier. In semi-managed and local, the inventory is on your shelf, so the delivery promise depends on your handling time and your carrier, and you carry the operational rules covered in the fulfillment requirements guide. Temu expanded the semi-managed model to US and other local sellers precisely because local-to-local shipping meets its delivery expectations better than cross-border consignment, so for a US brand the real decision is usually between semi-managed and local, with fully managed as the option for stock you would rather hand off.
Side by side
| Fully managed (consignment) | Semi-managed (Y2) | Local seller | |
|---|---|---|---|
| Who holds inventory at sale | Temu, in its warehouse | You, in your warehouse or 3PL | You, in your warehouse or 3PL |
| Who ships to the customer | Temu | You, on Temu’s timelines | You, on Temu’s timelines |
| Who sets the retail price | Temu, from your supply price | Temu steers; proposals go through benchmarking | You propose; Temu’s pricing review must approve |
| Listing and content | Temu-controlled | Seller uploads, Temu approves | Seller uploads, Temu approves |
| Customer service | Temu | Temu front line; seller resolves fulfillment issues | Temu front line; seller resolves fulfillment issues |
| Returns | Temu | Seller, under Temu’s policy | Seller, under Temu’s policy |
| Handling and tracking rules | Replenish Temu’s warehouse on schedule | 1 to 2 business days to ship, tracking in 24 hours | 1 to 2 business days to ship, tracking in 24 hours |
| Penalties | Replenishment and quality | Late shipment, cancellation, defect, as % of order | Late shipment, cancellation, defect, as % of order |
| Payment | On Temu’s settlement schedule | Commonly 7 to 14 days after delivery | Commonly 7 to 14 days after delivery |
| Eligibility | Registered business; historically China-based, expanding | Registered business in the local market | US-registered business with tax ID and business bank account |
| Delivery speed to shopper | Depends on Temu warehouse location | Local, fast | Local, fast |
| Systems you need | Supply-side replenishment | OMS with Temu API, carrier, returns workflow | OMS with Temu API, carrier, returns workflow |
Temu publishes its current requirements inside Seller Center and in the seller agreement for your market; treat the figures here as the 2026 US local-seller norms and confirm them in your account.
Fully managed
Consignment is the original Temu model and still the dominant one for manufacturers. You ship pallets to Temu, Temu decides price, promotion, and delivery, and you are paid as a supplier. The upside is zero fulfillment work and access to Temu's demand engine; the downside is no price control, exposure to Temu's supplier terms, and inventory sitting in someone else's building. For a US brand it makes sense for high-volume, low-touch SKUs you are comfortable handing off, and rarely for anything with variants, customization, or returns exposure.
Semi-managed
Semi-managed, which Temu rolled out globally as the Y2 model, is the middle path: the seller keeps inventory local and ships each order, Temu keeps a strong hand on pricing and marketing. It exists because local shipping meets delivery expectations that cross-border consignment cannot, so Temu wanted local operators without giving up storefront control. The seller takes on the full set of fulfillment rules and penalties, and gains a faster delivery promise than consignment stock can offer. Think of it as Temu's answer to a dropship program.
Local seller
The local seller program is the closest Temu comes to a conventional marketplace: a US business registers, uploads its catalog, proposes prices (subject to Temu's benchmarking review, which pushes back on anything above comparable listings), sets handling time and origin warehouse, ships every order, uploads tracking, and handles returns. It is the model for brands that already run Amazon and Walmart from their own warehouse or a 3PL and want Temu as another channel drawing from the same inventory. It is also the model where an order management system earns its keep, because the same units, the same pick queue, and the same tracking flow serve five marketplaces.
In practice
| If you... | Lean toward |
|---|---|
| Want zero fulfillment work and can live without price control | Fully managed |
| Ship from a US warehouse or 3PL and want the fastest delivery promise | Semi-managed or local |
| Need to propose your own prices and manage your own returns | Local seller |
| Already run Amazon, Walmart, and a DTC store from the same inventory | Local seller, on one shared inventory pool |
| Have a high-volume commodity SKU and a slow-moving long tail | Consign the commodity, sell the long tail locally |
Whichever model you land on, Temu will still benchmark your price against comparable listings, and the local models will hold you to the handling and tracking rules. InfiPlex connects Temu's local seller and semi-managed accounts alongside Amazon, Walmart, and 130+ other channels on one order queue; details on the Temu integration page.
Frequently asked
The questions brands ask when the Temu invitation or application form shows up.
In fully managed you consign inventory to Temu's warehouse and Temu prices, ships, and handles the customer. In semi-managed you keep inventory in your own local warehouse and ship each order on Temu's timelines, while Temu continues to steer pricing and marketing.
Yes. Temu's semi-managed model opened to local sellers in the US and other markets, and the local seller program is built for US-registered businesses with a tax ID and a business bank account.
Only in the local seller model, and even there proposals go through Temu's pricing review, which benchmarks against comparable listings and pushes back on prices above them. In fully managed and semi-managed, Temu controls or steers the retail price.
Temu handles returns for fully managed. In semi-managed and local seller, the seller handles them under Temu's buyer-friendly return policy.
On Temu's settlement schedule. For local fulfillment models sellers commonly report payment 7 to 14 days after confirmed delivery. Terms are in your seller agreement and can differ by market.
Some sellers consign high-volume SKUs while selling their long tail locally. Whether both are available to you depends on your account and market; ask Temu seller support before planning inventory around it.
The two local fulfillment models, semi-managed and local seller, because you are shipping every order on a deadline, uploading tracking, and keeping Temu inventory in step with every other channel. Fully managed is a replenishment relationship and needs supply-side tooling instead.
Temu's fee structure for local sellers is set in the seller agreement and varies by category and market; sellers report commissions well below Amazon's typical referral fees, plus optional ad spend and penalties for violations. Confirm the schedule for your account in Seller Center.
Resources
Semi-managed and local seller orders alongside Amazon, Walmart, and Shopify, with tracking and inventory flowing back to Temu automatically.
We can walk through it against how you sell today: which SKUs belong in which model, what the fulfillment rules mean for your warehouse, and what Temu will do to your pricing. Contact us, email info@infiplex.com, or call 888‑770‑0857.
InfiPlex™ is a trademark of InfiPlex. Temu is a trademark of Whaleco Inc. or its affiliates. Amazon, Walmart, Shopify, and other names are trademarks of their respective owners. InfiPlex is an independent integration provider and is not endorsed by or affiliated with Temu. Program rules, deadlines, fees, and penalties are set by Temu, differ by seller agreement and market, and change; verify current terms in Temu Seller Center before relying on them. ©2026 InfiPlex. All rights reserved.
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