Shein is trying to broaden its appeal by luring luxury brands like Stuart Weitzman and Paul Smith to sell products on its marketplace
Shein
- As part of its marketplace, Shein is offering a wide range of products from third-party sellers.
- Brands interested in selling on Shein must first reach $2 million in annual sales on Amazon, the Journal reported.
- Shein Marketplace sellers are eligible to receive incentives from the Chinese-owned company if they reach sales goals.
Chinese-owned fast-fashion giant Shein is stepping out into the wider world of e-commerce with a new third-party marketplace feature, and it's offering booming businesses big incentives to sell their items on its site.
The company began as a place to buy cheap trendy apparel but is now offering everything from home appliances, pet supplies, and high-end shoes as part of its Shein Marketplace, which launched in May.
If a third-party brand wants to sell items on Shein, the company requires it to have annual sales of $2 million on Amazon, The Wall Street Journal reported. For those that qualify, the company is offering big incentives to sell on Shein too. Those incentives include free advertising and no commission for the first three months, according to the Journal.
In an interview with the Journal, Shein's head of strategy, Peter Pernot-Day, said the company seeks to find "third-party sellers who will complement our product offering, whose offerings will resonate with our customer base."
As a result, high-end brands like Paul Smith and Stuart Weitzman are now available on Shein's marketplace for a higher price point than the average Shein fast-fashion product.
The launch has always gone smoothly. In the months following the marketplace launch, Shein has dealt with sellers offering counterfeit items on the platform. Sneakerheads took to social media in June to call out the company for selling fake Air Jordans, for instance.
According to data from market research firm Euromonitor International, Shein hit an estimated $8 billion in annual sales in the United States in 2022.