There is something strange about shopping on Shein.

You open the app looking for one shirt, and suddenly you are looking at hundreds of dresses, shoes, bags, and accessories. The prices are low enough to make you think, “Why not?” Before long, the small purchase becomes a basket full of things you never planned to buy.

That experience is not an accident.

Shein has emerged as one of the names in online style and fashion, especially amongst younger (Gen Z) shoppers. However, this model made Shein a quick success; despite Shein’s achievement, it became one of the most criticized businesses within the fashion industry.

What Makes Shein Different?

Shein is often described as a fast-fashion company, but ultra-fast fashion is probably a better description.

Shein works much closer to the customer, unlike traditional fashion companies that plan collections for months. Shein watches the algorithmic activity of what people search for, click on, and buy, then uses that information to decide what to produce.

Moreover,  12,000 clothing products from Shein, Zara, and H&M were compared, and it was found that Shein’s marketing strategy was significantly different from the other two companies. Its products were more heavily focused on current trends, and its approach to replenishment and pricing was different as well. A study of Shein’s supply chain found that its system relies on small initial orders, rapid feedback, and digital coordination with suppliers. This allows products to be tested before the company commits to producing them on a much larger scale.

That is the clever part. Shein does not have to guess what shoppers will like months from now. It can test an idea and let shoppers provide the answer.

Why Are the Prices So Low?

This is where Shein’s business model becomes difficult to separate from its controversies.

Just because products are lower in price is a great benefit for those, especially students, young workers, and families whose budgets matter and who are unable to afford expensive and trendy dresses but can still be part of trending fashion. 

Clothing would not come to be superbly reasonably priced simply because a corporation works nicely. Someone still has to lay it out, make it, pass it from one location to........

© Paradigm Shift