Mukesh Ambani, Isha Ambani are bringing this brand to India which has beaten Zara, H&M, Amazon, it deals in…
GH News January 04, 2025 10:06 PM
Chinese fast-fashion giant Shein is set to return to India after a ban of over four years thanks to its new partnership with Reliance Retail-- Indias largest retailer led by Isha Ambani the daughter of billionaire Mukesh Ambani -- Asias richest man. Sheins re-entry into the Indian market is poised to trigger brutal competition in the affordable fast-fashion segment as the Chinese brand which has dusted brands like Zara in France and gave Jeff Bezos Amazon a run for its money in the US looks to take on established players like Tatas Zudio and Flipkarts Myntra in India.
Beat Zara H&M in France; took on Amazon in US
Shein which is now based in Singapore to circumvent regulations affecting Chinese businesses has taken on major global brands like Zara in France and came out on top. The Chinese retail giant surpassed H&M Primark and Kiabi in annual sales in 2023 in France cementing its spot as the countrys second-largest fashion brand after Zara according French consumer magazine LSA.
In 2024 Sheins annual numbers are expected to surpass Zaras in the final quarter making it the largest retail brand in France.
In United States Shein along with another Chinese brand Temu has boldly encroached upon Amazons turf targeting young women in the 18-25 demographic with its low-cost apparel. Amazon has responded by launching its own low-cost online storefront which sells electronics apparel and other products all under $20.
Worlds most visited apparel website
According to Similarweb Shein became the most visited fashion and apparel website in the world in September 2024 boasting a worldwide web traffic share of 2.68% for the third quarter of 2024. The Chinese retail chain surpassed other global giants such as Nike H&M and Zara the data showed.
Shein has also witnessed a significant increase in its user base with transaction-making users on its website surging to 40% in August 2024 compared to January making Shein the fastest-growing platform in the world followed by TikTok.
Shein set to make comeback to India
Shein is set to make its much-anticipated return to India around four-and-a-half-years after the Ministry of Electronics and Information Technology (Meity) had banned Shein app along with 200 other Chinese apps on June 29 2020 citing security concerns. According to reports Shein will initially be rolled out on Reliance Retails e-commerce platform Ajio.com and eventually extend to other Reliance platforms.
According to details about Sheins re-entry agreement Reliance must ensure that Shein will not have access to any data collected from Indian consumers -- personal and/or non-personal-- so that all user data stays in the country and theres no risk any foreign entity gaining access to it.
The decision to unban Shein marks a major shift in the government stance on foreign e-commerce platforms especially those from China after almost five years of heightened scrutiny and restrictions.
Notably Shein was ranked among Indias top online retailers before its 2020 ban and it would be interesting to see whether it manages to regain its former glory in its second run in the country.
Isha Ambani the daughter of billionaire Mukesh Ambani runs Reliance Retail Indias largest retailer which is a partner brand of major international brands such as Versace Amiri Armani and Balenciaga bringing reputed international brands into the Indian market.