Fast fashion is gaining a lot of attention from big companies in India. Recent success of a Tata company, Trent, owned Zudio brand influenced Reliance Retail Ventures Ltd to collaborate with Shein, a Chinese fast fashion giant.

Their collaboration prompted headlines world over and has transcended major fashion brands worldwide.

According to the Economic Times, four and a half years after the Indian government banned the Chinese quick fashion brand Shein, Reliance Retail has begun a backend test launch of the brand, beginning with its fashion and lifestyle portal Ajio. Reliance Retail Ventures Ltd made a partnership with Shein in 2023 to sell its fashion products on its online platform.

Following an escalation on India-China border, the government of India had banned the app of the Chinese fashion brand in June 2020. The government had banned more than 50 Chinese apps at the time among which was Shein. India’s fast fashion trend is highlighted by bands like Myntra, owned by Flipkart and Tata’s Zudio and the market is anticipated to surpass sales over USD 50 billion by financial year 2031, according to a report by consulting firm Redseer Strategy Consultants. The report also suggests that of the entire fashion market, India’s fast fashion would cover 25-30% by the same time. However, there are hundreds of unorganized firms vying for market share in this crowded sector.

According to its website, Shein, which was founded in 2012 by Chinese businessman Chris Xu, has expanded into a worldwide fashion marketplace that employs over 11,000 people and serves customers in more than 150 countries. It has more than 250 million social media followers and is present in more than 150 countries worldwide. Over $2 billion in profits and nearly $45 billion in gross merchandise value were recorded by the store in 2023. The majority of Shein's products are made in China, with its headquarters being in Singapore.

Shein has a direct-selling strategy that targets its millions of social media followers and heavily relies on influencers and discount codes, producing thousands of new designs every day. Known for its $5 biker shorts and $10 tops, Shein has ten brands in its portfolio, including Romwe, MOTF, and Cuccoo.

Except for China, Shein manufactures apparel in China for online sales in the US, Europe, and Asia. It collaborates with over 5,400 third-party contract manufacturers, mostly in China, rather than owning or running any production facilities.

Source : DNA India