Shein recently acquired another European e-commerce brand, Missguided. This is also one of Shein’s global brand layout plans. On October 30, Shein announced the acquisition of British women’s fashion brand Missguided from Frasers Group. Missguided is a well-known British e-commerce brand and was once one of the largest fashion brands in the UK. This is Shein’s acquisition of another well-known European brand after reaching an equity partnership with Forever 21. It is understood that Missguided products and series will be provided as independent brands to Shein’s 150 million global users through the Shein website and the Missguided official website. This acquisition will provide Shein consumers with many more choices and brands, satisfying the diversity of customers.
At the same time, Shein will also license the Missguided brand IP to SUMWON Studios. SUMWON Studios is a company founded by Shein and Missguided. In this way, Shein not only obtained a fashion brand with a user base of many years, but also built a healthy ecosystem through different brands. In this way, production can be produced on demand according to the market, breaking the traditional production model. In this way, Shein can increase production when there is actual market demand and adjust production as needed. This allows for better control of inventory and production. Especially during the period of Covid-19, many large companies failed to control inventory and production, which had a considerable impact. Many companies even had to close their doors or wait to be acquired because they failed to control their inventory levels.
Missguided was founded in 2009 and was located in Greater Manchester. Missguided focuses on e-commerce market. After its launch, it grew rapidly in the UK market and later expanded to the United States, Australia and other markets. In 2015, he began to test the offline store model at Nordstrom in the United States and Selfridges in the United Kingdom. Over the years, Missguided has continuously introduced new designs and launched many co-branded models with celebrities. Misguided was once considered one of the largest fashion e-commerce platforms in the UK. On Instagram, Misguided’s account has nearly 9 million followers, which can be said to be the most top-tier fashion brand. Although it is good in all aspects, Missguided still has some problems in some aspects after developing for so many years. Looking at it this way, Missguide’s operations and brand are relatively good, but there are some problems in its supply chain. In May 2022, Missguided owed millions of pounds in payments to suppliers. Unable to repay its debts, the company entered administration.
According to reports, the two companies have previously held many negotiations. The successful acquisition marks that Shein has once again acquired a well-known European and American fashion brand after Forever 21. Shein can give this brand strong support in the supply chain, which just makes up for Missguided’s supply chain problems. Shein’s current supply chain level and global layout and M&A capabilities can be said to be world-class. For global cross-border e-commerce companies, supply chain management issues are becoming increasingly important. If companies want to make profits on cross-border e-commerce platforms such as Amazon, they should delve into the supply chain. Well-known large companies in the industry are all experts in supply chain management. Therefore, optimizing an enterprise by comprehensively considering all aspects will enable the enterprise to achieve long-term development.
