It only took SHEIN sellers 3 months to break through $1 million in monthly sales!

SHEIN's development speed has always been the envy of many cross-border sellers. Over the past decade, SHEIN's products have reached more than 150 countries, the number of app downloads has exceeded 600 million, and it has repeatedly entered the top 50 Chinese global brands. SHEIN has also transformed into a well-known unicorn that is now popular all over the world.

Last year, as SHEIN deepened its global layout, it began to attract third-party sellers. Many sellers rushed in and reaped great rewards. So how is SHEIN's current investment promotion? What categories has it expanded? What support has it provided? Perhaps we can also find the answers in this article.

SHEIN 2024 key investment categories include these

On April 19, SHEIN's official communication meeting was held in Bao'an, Shenzhen. The theme of this communication meeting was "SHEIN's independent operation and investment promotion", and the focus of the meeting was on SHEIN's global layout and investment promotion policies, SHEIN's hot-selling operation logic and product selection suggestions.

At the meeting, Scarlett Chen, the investment manager of SHEIN platform , first introduced SHEIN's development history and future plans, then shared SHEIN's branding policy, and finally focused on interpreting SHEIN's independent operation model, including the seller's entry threshold, cooperation process and what categories it is suitable for.

SHEIN has always been known as a women's clothing brand , but it is also an independent website with its own shopping app . At first, SHEIN was a women's clothing brand , and after consolidating its supply chain, it began to expand into other categories, such as beauty, luggage, pets, etc. It currently owns more than ten brands.

In 2020, the epidemic promoted a huge explosion in cross-border e-commerce, and the always low-key SHEIN also became popular in China. However, at that time, SHEIN had already become popular overseas, opening pop-up stores, and conducting joint activities with foreign IPs, and it became the forefront of many foreign brands.

Therefore, since SHEIN opened to third-party sellers, a large number of sellers have flocked in and submitted their entry review forms. This SHEIN official communication meeting also extended an olive branch to self-operated sellers. The investment categories focus on home furnishings, shoes and clothing, luggage, sports goods, beauty, maternal and child care, toys, outdoor, pet supplies, 3C home appliances and office supplies.

In terms of market, in addition to the previously internally tested US market, SHEIN will also open more markets to third-party sellers this year, such as the European and Latin American markets, which is equivalent to opening up the three best markets in SHEIN's report card.

Unlike TEMU's semi-trusteeship, SHEIN's self-operation model has a very smooth operation process and does not require entry fees. Specifically, if merchants have goods in the target market (can be shipped by FBA warehouses), they can set prices and make payments independently. The account manager team will assist in the operation at that time. After the customer places an order, the merchant will fulfill the contract. The customer signs for T+7 settlement and there is no commission deduction in the first month . The subsequent commission for all categories is 10% of GMV . At the same time, SHEIN will bear the return costs for the first three months, without promotion fees and advertising fees. Products can enjoy the platform 's traffic equally without spending money on advertising promotion.

However, SHEIN's current focus of investment promotion is still on the first category of mainstream e-commerce platform sellers, such as Amazon, Walmart, eBay , etc., with annual sales of more than 2 million US dollars and medium-to-large products weighing more than 400g . Of course, for super brands selling small and light items with annual sales of 7 million US dollars, the platform will make special applications for settlement regardless of the weight.

For TikTok sellers, SHEIN entry requires the online celebrity store to have 50,000 followers or 100,000 likes , without having to meet the 2 million sales requirement ; for independent site sellers, monthly visits must reach 300,000 ; for Meikeduo merchants , products must be larger than 150g and single -store sales must reach US$500,000 .

In addition, Scarlett Chen also mentioned a gap in the platform, which is fully managed custom merchants. The main three types of merchants are recruited: Etsy custom merchants, with monthly sales of 300,000 US dollars, which can be relaxed to 1 million US dollars per year , and there is no limit on the number of stores ; merchants who can supply Etsy hot products, wedding products are given priority , such as jewelry rings , clothing accessories , home furnishings , etc.; factory sellers , embroidery , 3D printing , hot stamping , ceramics , bamboo carving and other product sellers , merchants themselves provide evidence of the product production process /product physical/warehouse bulk/backend listing of the product craft .

Sales soar after entering the store? SHEIN reveals its scarce product categories

Afterwards, Zoey Yang, merchant operations manager of the SHEIN platform , shared her views on market dynamics, product selection suggestions, user portraits, and operational skills around the " Operational Logic and Product Selection Suggestions " section.

Zoey Yang mentioned that SHEIN does not have S-level promotions, but it does have spring promotions , summer promotions , October anniversary celebrations , etc. The biggest difference from some platforms is that SHEIN has some market activities. Taking April as an example , there are wedding seasons and Mother's Day . In subsequent months, there will be graduation seasons , Children's Day , Father's Day , etc. Sellers can prepare goods and put products on the shelves in advance according to different promotions.

Home & Living is a scarce category on the platform. Various multifunctional large storage products, such as hangers, shoe racks, kitchen storage; various stainless steel or ceramic kitchen baking trays, mixing bowls, mold sets, etc. are all in short supply. "Dressing tables and bed frames sell very well, and the furniture category should not be underestimated," Zoey Yang said frankly. The "cake" with few sellers cannot be divided up at all, and the high hatching success rate of luggage is a good proof of this.

At present, SHEIN supports small household appliances, such as juicers, bread machines , induction cookers , etc. The platform will also give some of them the opportunity to be displayed in the ban position . The category with a higher conversion rate is maternal and child products. Since the platform has a large number of female audiences and most of them are married, it has led to explosive sales of maternal and child products such as walkers and feeding machines.

"To increase product sales, we need to offer an attractive price during the commission-free period and grasp the popular macaron colors on the platform," shared Zoey Yang . Unlike some platforms, more than 70% of SHEIN platform users are young people aged 25 to 34, who have a certain spending power. And more than half of the users are women. They are loyal not only to black and white tones, but also to hot-selling tones such as brown, beige, pink or dark gray. This is also an important reason why SHEIN recommends that the first picture should be a scene picture or a color base picture.

As for how to increase product exposure, Zoey Yang also gave suggestions. You can increase the click-through rate by showing multiple size/specification variants, displaying the lowest price, displaying special price reductions, displaying the first picture, and displaying discounts for full items.

"SHEIN consumers have a habit of being attracted by coupons and discount signs," Zoey Yang shared, suggesting that sellers do some cross-store joint payment , because some customers may need a pair of pants after buying shoes; put some strongly related products in the store, bind sales, and do some iteration and conversion. You can also set up a discount and report the event to increase product exposure.

Currently, new sellers can enjoy a three-part traffic support plan : first , in-site traffic promotion, the platform supports the traffic of newly listed products . After labeling , keyword searches will show up higher ; second, in- site activity support, monthly promotions will give new products additional exposure ; finally, free off-site advertising, products can participate in free off-site placements such as Google, Facebook INS , etc.

In fact, there are already successful examples of sellers who have joined the platform. One seller launched 2,000 products within two weeks of joining the platform, just in time for Black Friday , and his monthly sales increased from 0 to more than 1 million US dollars. After Black Friday, the store traffic was more stable than the overall market and gradually increased. At the end of February this year, with the launch of new discounted products on the platform, sales exceeded Black Friday. Because of the good performance , the platform also provided some additional traffic support .

Based on the cases of successful sellers, Zoey Yang gave suggestions in three directions : first , create at least 50 products , that is, 50 SKCs, which include variants ; second , if there are some out-of-season models, or clearance or seasonal models, you can contact the operations manager to see if there are any additional activities to clear the inventory for everyone, or to expose some different seasonal products ; the third is to maintain sufficient inventory. Once many hot-selling products are put into sale, they may be out of stock during the period , which will have a great impact on store traffic.

SHEIN

2024

Merchants