Shein Launches Resale Platform And Aims To Shorten U.S. Delivery

Fast-fashion giant Shein has launched a new online peer-to-peer resale platform in the U.S. to allow users to purchase and sell previously-owned Shein apparel.

The platform is being called Shein Exchange and is intended to simplify the resale process, making it easy for sellers to list their items on the platform.

The platform also promotes the benefits of purchasing pre-owned clothing over purchasing new items.

Shein Exchange has been created in partnership with specialist Trees, and is currently available to all customers in the U.S., with the company saying that it has plans to expand to other global markets next year.

Shein has consistently been linked with a possible IPO in New York and is ramping up its U.S. distribution infrastructure.

“At Shein, we believe that it is our responsibility to build a future of fashion that is equitable for all, while also accelerating solutions to reduce textile waste,” said Shein global head of ESG, Adam Whinston, of the initiative.

“The goal of Shein Exchange is to make resale just as easy and convenient as buying something brand new, while also igniting a cultural movement of circularity within our own Shein community.

“We’re calling on our community to mobilize and keep previously owned clothing in circulation for as long as possible. By harnessing the reach and the influence of our growing community, we believe that shopping resale can become the new normal in our industry.”

Shein To Investigate Factory Claims

Shein is currently under increasing scrutiny after a Channel 4 documentary broadcast in the U.K. made claims about the low wages and long hours of workers in factories supplying its fast fashions.

Responding to the documentary’s findings, Shein said: “We are extremely concerned by the claims presented by Channel 4, which would violate the Code of Conduct agreed by every Shein supplier. Any non-compliance with this code is dealt with swiftly, and we will terminate partnerships that do not meet our standards.”

The company said that it had requested specific information from Channel 4 so that it can investigate and added that Shein’s responsible sourcing standards “hold our suppliers to a code of conduct based on International Labor Organization conventions and local laws and regulations, including labor practices, and working conditions”.

Shein Exchange Responds To Marketplaces

The Shein Exchange is, said the retailer, part of the company’s “larger commitment to address the ongoing issues of textile waste and build a future of fashion that is more circular.”

It is also no doubt a reaction to the number of people who have been selling Shein items on other marketplace forums,. However, unlike a number of retailers who have partnered with ThredUp to manage the collection and shipping of used items, customers will take responsibility for most of the sales tasks, as they would on the marketplaces such as eBayEBAY
and Facebook.

In certain cases Shein will set a maximum price that sellers can ask for an item, and sellers will pay Shein a 5% cut. The app populates a customer’s previous purchases, which can then be listed for sale through the Shein Exchange marketplace.

As Shein continues to ramp up its U.S. operations, the retailer opened a new 659,000 sq ft Midwest distribution center in Whitestown, Indiana and is already expanding the facility by another 50%. It also plans to construct a second, 550,000 sq ft warehouse on its Boone County campus, doubling staff numbers to around 1,400 by the end of 2025.

Shein has three operational hubs in Guangzhou, China, Singapore and Los Angeles. The Indiana facility is the only U.S. warehouse outside of L.A. and is also its largest.

The retailer has said that it has plans to open another distribution center in southern California next year and another one in the north east of the States, with the aim of reducing shipping times in the U.S. to around three to four days.