I decided to do some digging to uncover the origins and multiple linguistic meanings behind the Shein moniker. Read on for a deep dive into the captivating history and clever branding strategy that gave rise to one of today‘s most recognizable fashion labels. The Chinese giant’s press release announced a five million euro donation to the Africa Collect Textiles Foundation (ACT). This money will be used to establish and improve recycling infrastructure to process large volumes of textile waste. Critics are likely to point out that Shein itself is responsible for the large quantities of textile waste in Africa. The donation to ACT is also intended to stimulate job creation, with Shein stating its desire to see young people and women from vulnerable communities employed.
Last year, a group of US lawmakers also called for Shein to be investigated over claims that Uyghur forced labour in China is used to make some of the clothes it sells. “The brand’s success coincided with a boom in TikTok usage in Europe and the US,” says Ms Déglise-Favre. “The Chinese social media platform participated greatly in spreading awareness about the Shein’s ultra-affordable proposition.” Since then it has grown into a global behemoth, best known for selling on-trend clothing, mostly to a Gen Z customer base. Shein, pronounced “she-in”, was set https://www.forex-world.net/ up in China in 2008 by entrepreneur Xu Yangtian and started out selling wedding dresses online.
A week ago, Shein relaunched in India five years after the government banned dozens of other Chinese apps, including TikTok. The Indian firm Reliance Retail signed a licensing agreement with Shein to sell products on the platform, according to the BBC. President Donald Trump moved to scrap de minimis, a rule allowing packages worth less than $800 to enter the country duty-free. Six days later, he agreed to wait until “adequate systems are in place” for the Commerce Department “to fully and expediently process and collect tariff revenue,” according to a new executive action. At the same time, other countries and companies are calling to eliminate tax loopholes that have been critical to the success of companies like Shein. Mexico restricted duty-free apparel imports in January, and the heads of the apparel brands Superdry and Monsoon Accessorize are asking the U.K.
On Feb. 7, Reuters reported that Shein was prepared to slash its valuation to $50 billion — exactly half of its $100 billion valuation in 2022 — amid uncertainty around de minimis. Modern Retail reached out to Shein for comment but did not receive an answer by press time. Fast-fashion giant Shein caught a break on Friday when the U.S. decided (at least temporarily) not to eliminate a trade provision the company has used to keep costs low.
It will be exciting to see where the next evolution of this brand takes Shein across both linguistic and commercial landscapes worldwide. And in that sense, “Shein” still encapsulates the sound of hope that founder Chris Xu dreamed of at inception — the universal hope shared by consumers everywhere for looking and feeling their best each day Ether trader no matter what. It has become ubiquitous on packaging and advertisements for everything from tops and dresses to handbags, intimates and one-stop wedding shops.
It is crucial for Shein to convince authorities of its business practices in order to make its debut on the UK stock market. It has also sped up the “test and repeat” model made famous by other fast fashion giants including H&M and Zara owner Inditex. In the first week of February, as Trump’s new tariffs were poised to take effect, Shein’s daily sales plummeted by as much as 41% compared to the same day the prior week. Meanwhile, Temu’s daily sales fell by as much as 32% during the same period, according to data from Bloomberg’s Second Measure. At the time, the giant also announced its intention to support companies developing “next-generation” technologies and solutions. However, the fund appeared to be more of a way to bring European and British design talent on board.
Shein is often compared to Temu, another low-cost e-commerce company with roots in China that also benefits from de minimis. Temu has tried to expand its business beyond the “direct-from-China” model of shipping small packages through air cargo by building out domestic manufacturing in the U.S., Modern Retail previously reported. However, Canaves believes that Shein is in a better place, operations-wise, than Temu is, because of Shein’s vertically-integrated supply chain. Shein is known for ultra-cheap products products ranging from $3 crop tops to $10 dresses, but in recent years, it’s expanded its assortment beyond fashion.
By comparison, “Shein” was short, snappy, and evoked the elegant aesthetics the brand had come to be known for. Unlike familiar Western brand names, “Shein” (pronounced “sheh-EEN”) has no direct translation in English. But translated literally from Mandarin Chinese, it harbors several positive meanings reflecting core brand values of beauty, elegance and high fashion. It may bring more attention to the company’s operations and provide a boost for the UK economy, trade99 review particularly as the London Stock Exchange has been struggling to attract fast-growing companies.
The Chinese-founded firm – which also sells a huge range of beauty and home products – doubled its profits to more than $2bn (£1.6bn) last year, making more than the Swedish fashion group H&M and the UK’s Primark and Next. Founded in Nanjing, China, in October 2008 as ZZKKO by entrepreneur Chris Xu, Shein grew to become the world’s largest fashion retailer as of 2022. Slowing sales and tepid demand have imperiled some of the biggest names in the online luxury industry, but London-based Wolf & Badger is bucking the trend. Notably, Shein’s black-and-white color scheme brings to mind the concept of yin-yang, reflecting how opposing elements are interconnected. This speaks to how Shein aims to bridge cultural divides globally through a shared love of fashion at just the right value.
Over the last decade, Shein has gone from a little-known brand among older shoppers to one of the biggest fast fashion retailers globally. This rebranding also came with an upgraded website at Shein.com, expanded product selection with free shipping offers, and an amplified social media presence across global platforms. But Xu quickly realized the power of social media for fueling SheInside‘s direct-to-consumer growth. He invested heavily in Facebook and Instagram ads targeted at Western markets like the U.S., allowing the company to rapidly amass millions of international fans.