Despite a decline in global web traffic, down 13% year-over-year, fast-fashion innovator Shein is showing robust growth in other respects.
What Happened: Ahead of the Singapore-based company’s initial public offering (IPO), Similarweb Stock Intelligence highlighted how, in the U.S. and U.K., monthly active users for Shein's app surged by 11% and 31% respectively. This signals a successful shift from web to mobile engagement.
While some web metrics have declined, this appears to be more than offset by the growth in active users on iOS and Android.
In June, Shein's monthly active users for iOS and Android combined were up 11% year-over-year in the U.S. and 31% in the U.K., according to estimates. This growth is particularly notable in the U.K., where Shein's app user count outpaces that of e-commerce competitor PDD Holdings‘ PDD Temu.
Read Also: Amazon Vs. Temu, Shein, TikTok Shop: Who’s Winning The US E-Commerce Battle?
Why It Matters: Shein holds the top position in global web traffic share among budget fashion retailers, maintaining a 20% share despite a 13% year-over-year decline.
In the U.K., Shein's app engagement is growing faster than that of Temu, with Shein nearing Temu's scale of 11.4 million monthly active users, compared to Shein's 9.1 million.
In the U.S., although there is a wider gap between Shein's 44.8 million app monthly active users and Temu's 146.4 million, Shein remains well ahead of more direct competitors in affordable apparel, such as Poshmark.
What’s Next: Shein is frequently asked about by name in artificial intelligence (AI) tools like ChatGPT, but the company is less often recommended by these tools compared to brands like H&M and Zara.
The company has room for growth regarding visibility within AI-driven platforms.
The pending IPO in London is marred by regulatory challenges in the U.S., where it faces allegations of forced labor in its supply chain.
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