Does Shein redefine fast fashion merchandising strategies? A product-level analysis in the US retail market

Author:

Lu Sheng,Mullen Noelle

Abstract

Purpose The purpose of the study is to explore Shein’s “ultra-fast fashion” merchandising strategies as opposed to Zara and H&M, two of the most representative conventional fast fashion retailers. Design/methodology/approach The study was based on a statistical analysis of the detailed product assortment and pricing information of 12,000 apparel items at the stock-keeping unit level sold by Shein, Zara and H&M in the US market between January 2022 and December 2023. Findings Results show that Shein’s merchandising strategies differ statistically from Zara and H&M. Such distinctions can be observed through Shein’s deliberate adoption of a narrower product assortment, substantial investments in trendy clothing over plain-style staple items, a significantly lower product replenishment rate and a more conservative discount rate. Originality/value The findings offer unique insights into Shein’s business secret and deepen our understanding of the evolving fast fashion business model.

Publisher

Emerald

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