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

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.

Citation

Lu, S. and Mullen, N. (2024), "Does Shein redefine fast fashion merchandising strategies? A product-level analysis in the US retail market", Research Journal of Textile and Apparel, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/RJTA-01-2024-0001