Shein enters a new growth phase with measured, global expansion
Shein is stepping into a deliberate growth cycle, matching the steady tempo seen among today’s major Asian e-commerce players. The fashion giant that reshaped online shopping is broadening its offerings and aligning its business model more closely with marketplaces like Amazon and AliExpress. The aim is to support well-known brands and product suppliers, helping them reach broader markets more efficiently. The company describes this shift as a move to empower its platform vendors, naming the strategy Accelera Shein in its marketing plan.
This expansion mirrors late-stage moves similar to AliExpress’s efforts in Spain, a program in operation for several years. The plan centers on assisting 100,000 vendors to reach annual sales of up to 100,000 dollars within a three-year horizon. It also targets 10,000 salespeople on an accelerated track aiming for one million dollars in annual sales within three years.
Known for ultra-cheap clothing, particularly swimwear, Shein is now building an integrated global marketplace spanning fashion, beauty, and lifestyle. Everything funnels into a single portal with aggressive pricing and minimal direct competition. The company plans to stay competitive with AliExpress using parallel strategic approaches.
Skechers and Lansinoh join the ecosystem
The multinational company announced that Mexico will join Brazil and the United States in officially launching Shein’s online platform, which combines products from external vendors with Shein’s own offerings. Launches in Germany, Spain, France, and Italy are set to follow. In addition to third-party vendors, the Shein Marketplace has welcomed recognizable global brands such as Skechers, a leading shoe company known for its inventive designs, and Lansinoh, a trusted name in prenatal and postnatal care products, into the network.
IESE professor José Luis Nueno argues that Shein’s strategic shift is driven by anticipated restrictions on Chinese imports by the United States and the need to establish warehouses near key markets to shorten delivery times and cut logistics costs. “A US veto of Shein could threaten a substantial portion of its turnover,” he notes, highlighting risks and alternative paths the company might pursue. [Citation: IESE commentary, 2024]
Relocation and strategic realignments
Nueno adds that rising geopolitical frictions between the US and China have pushed many Chinese firms to relocate headquarters to Singapore and shift factories toward Mexico. Talks of an upcoming Shein IPO have circulated rumors about possible corporate moves. At the same time, investors who own stakes in these companies—such as Sequoia—are diversifying to mitigate exposure to deteriorating US-China relations. [Attribution: Market Insight Group, 2024]
Shein’s return introduces a fresh competitive dynamic in the fashion sector. After pushing fast-fashion players into new market segments, the company now looks toward the broader arena of marketplaces. The European arm of the group followed a similar path, focusing on welcoming suppliers and distributors to the platform and offering training, benefits, and incentives to help vendors grow their businesses. The aim is to preserve the global competitiveness of products that perform well in China, signaling another step in Shein’s expansion agenda. [Industry Brief, 2023]
Over the last decade, Shein built an ultra-efficient e-commerce engine centered on very low prices and proximity to production hubs. The approach proved fast and effective, challenging industry expectations. Major brands influenced their pricing strategies as Shein’s margins allowed aggressive pricing. The blend of social media engagement and advanced AI tools amplified sales. Prices remain highly competitive, while the business model minimizes reverse logistics challenges, preserving margins at low selling prices. This technology enables vendors to react swiftly to shifting demand, and the setup of textile mills in low-labor-cost regions completes a model that has been hard to replicate in Western markets.