In recent years, cross-border e-commerce has become an important engine to support "external circulation", and all parts of the country have also attached great importance to the development of cross-border e-commerce. With the development of Internet technology and the rise of online shopping and payment, China's cross-border e-commerce continues to maintain rapid growth.
North America has always been the main battlefield of domestic cross-border e-commerce, the economic level of this region is more developed, the development level of e-commerce is relatively mature, and people's acceptance of e-commerce is relatively higher. However, in the past two years, due to inflation, people who have always been willing to spend money have also begun to pursue "consumption downgrade".
In August this year, SHEIN selected 2,500 American consumers as the research object to analyze the purchasing preferences of teenagers from their consumption behavior. Eighty-seven percent of those surveyed said they had switched to cheaper brands and were likely to rely on discounted products for a long time.
Obviously, "low price" has become the focus of American consumers' shopping, and it is also one of the key factors for e-commerce platforms to win in the U.S. market.
SHEIN was an e-commerce company that sold online from the beginning, and learned the model of ZARA, and even did better than ZARA in many aspects, which solved the two major problems of inventory and turnover well. In a sense, SHEIN is more of a technology company than a clothing company.
Similarly, SHEIN also uses data to optimize logistics routes and design optimal cost solutions. Its products are sent to different countries and regions around the world, and each order package may have different logistics solutions, relying entirely on a set of algorithms to determine the route allocation of each order. SHEIN's data-driven optimization philosophy permeates every business detail, thereby improving the overall operational efficiency.
The target market chosen by SHEIN is the sinking market of overseas consumption upgrading, similar to the domestic Pinduoduo, which satisfies the middle-class dreams of the people at the bottom. If you have looked at Shein's, there are often yachts and villas, and the style tonality is the classic ins light luxury style, and the clothing style is the style of European and American brands. Compared with SHEIN's $10 per piece, the difference between this perceived value and ** is the strong potential energy generated by the brand image. So many clothes that cost hundreds of dollars at big brands, $3 a piece and $10 summer tops on the screen here in shein, each of which is ** fashionable, people can't help but chop their hands, no wonder users say that shopping is "addictive", and there is no pressure and no guilt in the whole process.