Shein, the Chinese marketplace for fashion, beauty and lifestyle products, has teamed up with Sparc Group, owner of brands such as Forever 21, Nautica, Aéropostale and Reebok, and becomes a shareholder.
According to a statement, this strategic alliance will specifically focus on serving the needs of customers in the United States and around the world.
In doing so, Shein will acquire approximately one-third of Sparc Group, a joint venture that includes Authentic Brands Group and Simon Property Group, making Sparc Group a minority shareholder in Shein.
The Chinese marketplace plans to bring its e-commerce expertise and global reach to provide Sparc Group with a platform to grow their brands. In addition, this agreement is expected to expand distribution of Forever 21 by the US group and provide more value and diversity to the Asian company’s broad customer base.
This alliance also provides the opportunity to test Shein customer-centric experiences at Forever 21 locations across the United States, including standalone retail space in-store, enabling in-store returns and other initiatives.
Shein currently serves 150 million online users and has developed a new work-on-demand model to attract and meet the needs of its online customers, while Sparc Group brings extensive retail experience and brands.
“We are excited to partner with Shein as it reflects our shared vision of providing consumers unparalleled access to fashion at affordable prices. By working together, we will deliver even more innovative products that will set trends for fashion enthusiasts around the world,” said Marc Miller, CEO of Sparc Group.
For his part, Shein executive president Donald Tang welcomed the alliance. “Shein is pleased to have Sparc Group as a partner and minority shareholder, and we look forward to finding new ways to delight customers through the potential of this partnership.”
Sparc Group directors Jamie Salter and David Simon wanted to welcome Shein as “a strategic partner and shareholder of Sparc Group”. Shein is the world’s leading online fashion platform bringing style and value to the world and we look forward to working together.