Nearly five years after being outlawed in 2020, the international fast-fashion retailer SHEIN has returned to India with a mobile app. Reliance Retail introduced the app, which is currently accessible on iOS and Android. The arrangement does not entail an equity investment from Reliance, but it will pay a licensing fee to utilise the SHEIN brand name.
SHEIN won’t be managing the company itself as it used to. From operations to client data, Reliance Retail will have complete control over the SHEIN India Fast Fashion app. SHEIN won’t have any ownership or direct control over sales management; instead, they will serve as a technological partner, supplying the app and backend technologies. The requirement that all consumer data be kept in India and inaccessible to SHEIN is a crucial part of this agreement. SHEIN’s initial prohibition was mostly due to security concerns, which this arrangement helps to address.
Reliance has already incorporated global labels like Superdry and Gap into its primary fashion platform, Ajio, thus this move represents a change in the company’s approach. Reliance is directly competing with rivals like Myntra, which is owned by Walmart’s Flipkart, with the new stand-alone app.
With aspirations to rapidly extend throughout India, SHEIN currently offers delivery in major cities including Mumbai, Bengaluru, and New Delhi. Additionally, by not charging for delivery, it has increased the appeal of purchasing. Products from the brand, such as gowns that start at Rs. 199, will be created and produced in India by regional vendors. The Indian government’s efforts to increase local textile production are in line with this action.
SHEIN has more than 250 million social media followers and is present in more than 150 countries. The business claimed about US $ 45 billion in gross merchandise value and over US $ 2 billion in earnings for 2023.
