Chinese fashion giant Shein is further developing its partnership with US brand Forever 21. The companies are launching a joint clothing brand that will be sold online. The creation of a joint venture between Shein and Forever 21 became known in early 2023. Shein received about a third of the shares of Sparc Group, which includes Authentic Brands Group and Simon Property Group. In turn, Sparc received a minority stake in Shein.
Under the partnership, Shein will develop, manufacture and distribute Forever 21, a private-label line of apparel and accessories. The new line will include models of men’s and women’s clothing, as well as sporting goods, things for outdoor activities and swimwear.
Experts say that Forever 21, which specializes in opening shops in shopping centers, will be able to strengthen its position online thanks to the new partnership.In addition, the brand will be able to win back its audience and attract more young shoppers who prefer online shopping.
For Shein, preparing for an IPO is also an opportunity to repair its reputation and fend off accusations that it uses forced labor in its supply chain, exploits US tariff laws and steals designs fr om independent artists.
For Forever 21, the partnership with Shein will help bring back the company’s relevance in the mid-2010s and win over younger shoppers more likely to shop online than in malls.
“Shein’s innovative approach to engaging with consumers gives them the ability to deliver trends at speed. With an evolving retail landscape wh ere digital interaction has become the cornerstone of e-commerce, Shein has led the way in redefining how brands connect with consumers,” Jamie Salter, the founder and CEO of Authentic, said.”We are excited to partner with SHEIN, as this collaboration perfectly fits into our distribution strategy for the brand’s new key markets.”
