The fast fashion retailer Shein, known for its $5 tops and $10 dresses made in China, has raised prices by more than a third on some key products, to boost profits and revenue ahead of its expected IPO in London. Average price increases exceeded those of its rivals H&M And Zadaraccording to data from the London-based research firm EDITEDwhich compared prices on June 1st with those of the previous year.
Particularly in the United States, the largest market of Shein in terms of sales, the company saw an increase with the average price of women’s clothing rising 28% in the year to June 1, to $28.51. On the website of Shein in the UK a dress cost an average of £24.12 ($30.97), 15% more than a year ago, while in France, Germany, Italy and Spain the average dress was 36% more expensive.
Shein it wants to prove it can sustain its recent growth and sell more products at higher prices before its IPO, retail experts say. Shein is seeking a valuation of around £50 billion in a London listing. The company declined to comment on its IPO plans or its valuation.
PHOTO: SHUTTERSTOCK
