Shein Set to Revolutionize French Retail with First Physical Stores
Chinese fast-fashion giant Shein is set to make its mark on France's retail scene. The company, founded in 2008, is opening its first permanent physical stores in the country, with the first six boutiques scheduled to open in November. This move is expected to create 200 direct and indirect jobs within Shein's partner, Société des Grands Magasins (SGM).
Shein, which generated $23 billion in revenue in 2022 and employs 16,000 people worldwide, is known for its online presence. However, its expansion into physical retail is seen as a commitment to revitalising city centres throughout France. The first six stores will open in strategic locations, including one within BHV Marais in Paris and five others in Galeries Lafayette stores across the country.
The company's entry into the French market has not been without controversy. Shein is under scrutiny from the French and European textile and apparel industry for alleged unfair competition. Critics argue that Shein's business model, which benefits from a European measure exempting small parcels from customs duties, gives it an unfair advantage. Additionally, Shein faces accusations of environmental pollution and poor working conditions due to its supply chain.
Despite the challenges and criticisms, Shein's physical retail expansion in France is set to proceed. The first stores are expected to open in November, bringing new jobs and a new shopping experience to French consumers. Time will tell how Shein's brick-and-mortar presence will impact the French retail landscape and address the concerns raised by its critics.
