SHEIN to sell items from Forever 21 in new SPARC Group partnership

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Online fashion marketplace SHEIN has partnered with retail company SPARC Group to sell Forever 21’s clothing and accessories on SHEIN's platform. This is a joint venture that will include Authentic Brands Group and Simon Property Group.

As part of the deal, SHEIN stands to acquire a one-third interest in SPARC. SPARC will also become a minority shareholder in SHEIN. With this partnership, SHEIN can now expand its distribution as well as test out operations in brick-and-mortar Forever 21 stores across America. This includes shop-in-shops, enabling returns to stores and other initiatives.

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A statement by SHEIN said that together with SPARC Group, it plans to utilise its complementary platforms and expertise to accelerate product innovation, explore new business strategies, enhance customer experiences, and grow its presence in the marketplace.

“We are excited for the partnership with SHEIN as it reflects our shared vision of providing customers with unparalleled access to fashion at affordable prices,” said Marc Miller, the CEO of SPARC Group, adding that by working together, they aim to provide even more innovative and trendsetting products to fashion enthusiasts around the world.

SHEIN’s executive chairman, Donald Tang said that he is thrilled to have SPARC Group as a partner as well as a minority stakeholder as it looks to find new ways to delight its customers through the potential of the partnership. "The powerful combination of Simon Property Group’s leadership in physical retail, Authentic Brands Group’s brand development expertise, and SHEIN’s on-demand model, will help us drive scalable growth and together make fashion more accessible to all,” he said.

“We are very pleased to welcome SHEIN as a strategic partner and shareholder in SPARC Group. SHEIN is the world’s leading online fashion platform delivering style and value around the globe. We are looking forward to working together,” said Jamie Salter and David Simon, the directors of SPARC Group.

MARKETING-INTREACTIVE has reached out to SHEIN for more information.

The partnership comes as SHEIN sees increasing backlash for its practices. Earlier this year in July, SHEIN Hong Kong was sued by Swedish retailer H&M for copyright infringement. H&M accused SHEIN of plagiarism and “stealing” the designs of its products, from swimwear to sweaters, in the lawsuit, which has reportedly been underway since July 2021.

The Swedish retailer stated in a court filing that there is “striking resemblance between the products showing they must have been copied” and the “sheer scale of (SHEIN’s) unauthorised substantial reproduction of the copyright works”, which is why it is looking for compensations to unspecified damages and seeking an injunction to prohibit SHEIN from infringing on its copyright and trademarks.

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