SHEIN is an international fashion and lifestyle e-retailer dedicated to making the beauty of style accessible to all. They use on-demand manufacturing technology to connect suppliers to our agile supply chain, reduce inventory waste, and enable us to deliver various suitable products to customers worldwide. From our global offices, we reach customers in more than 150 countries. To learn more about Shein, you can visit https://www.sheingroup.com/.
They have confidence that fashion’s beauty should be accessible to all, not just a privileged few. When the company found in 2012, it saw fashion companies having to choose between offering choice or reducing inventory pressure and waste. Therefore, they set out to change this by leading the development of alternative procedures and technologies to bring fashion into the future.
Their customers are at the core of our business model, driving our growth as a team of nearly 10,000 employees, helping more than 150 countries in less than a decade. Their digital-first model sees customers where they are: on mobiles, online, and on social media. They have grown to be one of the most popular shopping apps. They continue to engage customers by providing multiple content streams directly within the SHEIN platform and the best online shopping experience.
Who Owns Shein?
Parent company Nanjing Lingtian Information Technology owns Shein, although the company’s ownership is often branded a mystery. It remains a private company with four significant shareholders: JAFCO Asia, IDG Capital, Sequoia Capital China, and Tiger Global Management.
How much is Shein Worth?
Shein was valued at as much as $100 billion in an investment round in April 2022, which would put it among the 150 largest companies in the world by market capitalization. The new valuation means Shein is worth more than Zara’s owners, Inditex and H&M.
The private funding round thinks to have raised the company between $1 billion and $2 billion.
What does Shein do?
Shein is an ‘international B2C fast fashion e-commerce platform’. It primarily sells women’s clothing, accessories, and shoes but also caters to children and men. The company was originate in 2008 by Chris Xu.
Initially, the company was a wholesaler of wedding dresses in China called SheInside, which just shipped clothes to other third parties with no influence over design and production. But in 2013, it established itself as a fully integrated retailer with its supply chain – that year, its order volume exceeded 5 million, and was successfully renamed SHEIN.
Shein is now one of the most visited e-commerce fashion sites by net sales and even overtook Amazon as the most downloaded shipping site in the US in 2021.
The company is still based in China but mainly targets US, Europe, and Australian customers. Shein’s largest target consumer group is GenZ, who has become known for consuming large quantities of trend-led clothing at cheap price points (the average price of a garment is $3 to $5)
Shein is the definition of fast fashion, with over 10,000 new products being put on the website daily – yes, per day.
Is Shein Good Quality?
Shein can be good worth for the price, but they are generally not high-quality pieces. Most of what I’ve ordered is similar in quality to what you’d get at stores like Forever21. Some details are closer to Target or Old Navy quality.
Is Shein Profitable?
As a private company, Shein doesn’t disclose financial figures. However, data provider BusinessofApps estimated its annual revenue would reach $30 billion in 2022.
The company has stated that due to its strong financial position, it wouldn’t be rushing into an IPO that would damage its reputation.
Is Shein Safe?
Shein is a reputable Chinese fast fashion manufacturer that ships to over 220 countries worldwide. It had an information security breach in 2018, but Shein does not sell your information. We have been ordering from Shein for 7+ years with no problems.
What is Shein’s Business Model?
Shein’s business model is what’s known as ‘test and repeat,’ which was made famous by rivals Inditex and H&M. The idea is that they produce small batches of clothes – only 50-100 per item – and if it does well, they create more, and if not, it’s discontinues. According to the BBC, just 6% of Shein’s inventory remains in stock for over 90 days.
Shien has taken fast fashion to the extreme and can turn around garment manufacture in just 25 days – it takes most companies months. It enables it to leverage fashion trends quickly.
As GenZ is its target audience, the firm essentially brings consumers through social media, especially TikTok. It uses influencer culture and celebrities with high followers to entice younger users to buy their products. Searching ‘Shein haul’ on most platforms will bring up countless videos of shoppers showing off their goods. Even Shein’s website showcases consumers’ styles via its Style Gallery.
However, Shein has faced various controversies. Criticism is primarily based on its ‘throw away’ business model, which encourages users to buy now and never wear the same outfit twice. The website also uses countdowns for how long product mark-downs will continue to get those quick ‘ impulses’ buys.
A staggering amount of Shein returns end up in landfill because it charges more to put them back in circulation. As sustainability issues come to the forefront of public discussion, fast fashion retailers will likely have a lot to answer for. Still, in the meantime, Shein users don’t seem to mind.
Shein has now become one of the many fast fashion companies to attempt to rebrand its image by releasing a ‘sustainably sourced’ line of clothing called evoluSHEIN. Critics have been quick to brand it as greenwashing.
The company has also come under fire for allegedly ripping off designs from smaller businesses and designers.
Some Best things to buy from Shein
- Coats (enjoyable colors/ patterns that don’t have to be your warmest piece)
- Anything Trendy
- Anything where fit is less critical (cardigans, chunky sweaters, and loose blouses have always been a big win for us!)
- Maternity: Shein recently launched a widespread maternity line.
Why is Shein banned in India?
Shein was banned in India in June 2020 along with 59 apps after tension with China escalated on the Himalayan borders. Chinese online fashion brand Shein will return to India after three years of ban.
In June 2020, the Indian government banned Shein and 58 other apps following a deteriorating bilateral relationship with China. The apps prohibit by the Indian Ministry of Electronics and Information Technology from safeguarding national sovereignty and integrity.
Will Shein Return to India?
Shein crept back into the Indian market in 2021 through Amazon (AMZN), which included it as a seller for the Prime Day festival. The brand still lists on the e-commerce giant’s Indian platform, where a small selection of apparel remains available.
Shein delivered to more than 150 countries and is values at $100 billion after a funding round in April 2022. Known for selling inexpensive clothing, Shein’s success has attributes to its popularity among Generation Z consumers. The company was initially compared to a drop shipping business, as it was not complicated in design and business. Instead sourcing products from the wholesale clothing market in Guangzhou.
Therefore, they set out to change this by leading the development of alternative procedures and technologies to bring fashion into the future. In early 2012, Sheen began setting up its supply chain system, renovating itself into a fully integrated retailer.