Digitalization empowers the upstream and downstream of the industrial chain, and SHEIN creates a new

Mondo Technology Updated on 2024-02-19

As the new year begins, the competition in the global consumer market is still fierce, and SHEIN, a new generation of Chinese global enterprises, will once again top the global shopping APP** list in 2023 with its unique charm and outstanding performance. Following the success of 2022, SHEIN has been the champion of shopping apps** for the second consecutive year, becoming the preferred app for global consumers in the field of mobile shopping.

It is worth noting that in the international fashion industry, SHEIN has successfully ranked among the world's four major fashion brands, alongside well-known brands such as Zara, H&M, and Uniqlo. On the list of "Top 10 Fastest Growing Brands in the United States" released by Morning Consult, SHEIN stood proudly in fourth place, becoming the only Chinese brand on the list, demonstrating its strong competitiveness and influence in the global market.

Overseas consumers' love for SHEIN is not an accidental phenomenon, but reflects the increasingly obvious consumption trend of "cost performance is king" in today's market. The sentence "It's not that big brands can't afford it, but SHEIN knows how to perfectly integrate affordability and fashion", which accurately captures the inner demands of many consumers. Since its inception in 2012, SHEIN, which has set sail as its own brand, is well aware of the importance of innovation and efficiency, and the "small single quick reaction" model is one of the cornerstones of its success.

This kind of clothing production model, which has begun to emerge ten years ago, has shown stronger vitality and competitive advantage after SHEIN's careful polishing and large-scale and innovative landing. Specifically, under the strategy of "small order quick reaction", SHEIN will first conduct test sales in small batches of 100-200 pieces per model, decide whether to add orders according to market response, and quickly adjust the strategy once the product sells poorly to avoid inventory backlog. Thanks to this, SHEIN is able to capture the pulse of fashion in real time with the help of digital technology, analyze changes in market demand, accurately improve sales trends and effectively control the production rhythm; On the consumer side, SHEIN uses advanced digital tools to automatically evaluate the sales of each product, dynamically adjust the number of orders in real time, and ensure the balance between supply and demand.

Although many companies have tried to replicate and practice the "small single quick response" model to improve efficiency and reduce costs, only a handful of companies have actually achieved this goal. The core difficulty lies in how to maintain the synchronization of the digital level from the front-end to the back-end, as well as the balanced development between the upstream and downstream of the industrial chain. This means that all links from design, measurement, ordering, production to logistics need to be refined through online digital management tools to ensure the seamless connection and efficient operation of the entire industrial chain, which is the key to supporting SHEIN's successful implementation of the "small single quick response" model.

In the process of cooperating with the best merchants, SHEIN not only provided a series of digital tools free of charge, but also personally guided the best merchants on how to use these tools to improve the efficiency of enterprise management, so as to help them smoothly transition from the traditional manual recording method to the modern digital management model. After ten years of hard work, SHEIN continues to deepen the construction of flexible ** chain, vigorously promotes digital empowerment technology to transform the ** chain of clothing, and promotes industrial transformation and upgrading.

SHEIN's success story has undoubtedly set a new example for the global consumer market with digital innovation as the core and grasping the "small order quick response" model. In the new year, SHEIN will continue to rely on its advantages in the industrial Internet to deepen the cooperative relationship with the best merchants, lead the industry trend through full-link digital transformation and flexible chain construction, and meet consumers' higher expectations for the coexistence of affordable and fashionable.

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