Who's SHEIN?

For many domestic consumers, the name SHEIN (Chinese name: Yin Xi) is quite strange. However, it is such a China company that can't be bought or touched, but its valuation has exceeded $ 1000 billion before listing. As a new consumer Internet enterprise based on the Internet era, how did SHEIN's "myth" come into being?

The most mysterious China company?

When you open SHEIN official website, you will see the English website interface, and even the option of "language" can't be found, even if you have identified the user from "China" from the site you visited.

In fact, SHEIN is a company born and raised in China. Its headquarters is in Nanjing, Jiangsu Province, and its industrial chain is in Guangdong Province. Mainly engaged in clothing, jewelry and other fashion products. According to the data, SHEIN first started as a wedding dress product. In 20 12, she began to cut off related businesses and fully transformed into cross-border women's wear, and then gradually enriched the categories. With the help of "small batch first order, multi-frequency replenishment" and information industry chain management, SHEIN uses China supply chain which has advantages in cost and quality to sell fast fashion products to markets outside China. Therefore, SHEIN has also become the most "mysterious" company in the eyes of domestic consumers, "can't buy, can't touch".

In May, 20021,the data released by application tracking companies App Annie and Sensor Tower showed that SHEIN had replaced Amazon as the most downloaded shopping application on iOS and Android platforms in the United States.

"Myth" made in Guangdong by SHEIN?

As the founder and CEO of SHEIN, Xu knows little about it. According to limited information, Xu was born in 1984. I graduated from Qingdao University of Science and Technology in 2007 and came to Nanjing the following year. He is in charge of SEO (search engine optimization) in a foreign trade network marketing company, and it is the traffic operation skills he was exposed to in the early days that made him see the business opportunities.

In the eyes of the industry, SHEIN's traffic bonus is not new, but it does make it more valuable than H&; The "cheats" of the sum of M and Zara come from their strong product and supply chain capabilities.

Although SHEIN is headquartered in Nanjing, its warehouse is located in Sanshui District, Foshan, Guangdong, and its supply chain headquarters is located in Nancun Town, Panyu District, Guangzhou. In the eyes of the industry, Nancun Town has not only gathered a large number of clothing production enterprises, but also gathered a large number of logistics enterprises, providing a relatively complete set and support for SHEIN's industrial chain construction. In addition, SHEIN also laid out overseas warehouses in Nansha Free Trade Zone in Guangzhou, and established a relatively complete industrial chain system in Guangdong.

It is worth noting that according to the "Guangzhou Key Project Plan for 2022" issued by the Guangzhou Municipal Development and Reform Commission in February this year, Shenzhen Bank will invest 654.38+0.5 billion yuan to establish the "Xiyinwan District Supply Chain Headquarters Project" in the central town of Zengcheng District, Guangzhou, with a total land supply of about 3,000 mu and a total construction area of about 3.3 million square meters. After completion, there will be five Guangzhou South Railway Stations.

It is not difficult to see that thanks to Guangdong's strong industrial chain strength, SHEIN has made great progress and created a "myth" with a market value of over 100 billion today.

Is the valuation of over 100 billion more or less?

"The outbreak of COVID-19 epidemic has promoted the rapid development of SHEIN." According to the insiders, SHEIN, which focuses on online, has experienced explosive growth in downloads in many countries and regions in recent two years due to the epidemic. According to the data, SHEIN has entered many markets such as North America, Europe, Middle East, India, Southeast Asia and South America. Especially in American fast fashion market, SHEIN's market share jumped from 7% in June 2020 to nearly 30% in June 20021.

What supports SHEIN's market value of over 100 billion is not only the current development data, but also the key to SHEIN's future layout and the willingness of capital to throw out checks. It is understood that SHEIN is now expanding at the group level and walking with H&; M Group has a similar development route, taking clothing brand as parent brand and expanding other categories.

For a giant enterprise with a market value of 100 billion yuan, how to face foreign regulatory policies and more standardized development will also be a major problem that needs to be faced and solved after its rapid growth.