Shein Faces Opposition to Open First Physical Stores in France

Shein, the online fast-fashion retailer, is facing opposition to a plan to open physical shops in regional French cities within department stores that carry the Galeries Lafayette name.

Galeries Lafayette sold those stores in 2021 to Societe des Grands Magasins, which kept the right to use the French retailer’s name.

Shein Group Ltd., founded in China and now based in Singapore, became an online retail sensation and social-media phenomenon, shipping cheap clothing to customers around the world. Societe des Grands Magasins said Wednesday that Shein had agreed to open shops inside SGM’s Galeries Lafayette stores in Dijon, Grenoble, Reims, Limoges, and Angers.

Galeries Lafayette said it doesn’t share the “values” of Shein and will prevent the opening of those shops, stating the move would violate SGM’s contractual obligations. Founded in the late 19th century, Galeries Lafayette is best known for its Parisian department store near the Opera Garnier.

SGM, in response, said that its plans conform to the conditions of its agreement with Galeries Lafayette. Founded in 2018 by Frederic and Maryline Merlin, SGM is a French real estate company and department store operator.

The first physical store opening for Shein is scheduled for November at SGM’s BHV Marais department store in central Paris, they added.

“Together, SGM and Shein aim to attract a younger, more connected clientele, while preserving the historic DNA of department stores,” the companies said in a joint statement, adding that the moves would create 200 direct and indirect jobs in France.

The planned openings of Shein stores in France show a “lack of respect” toward the loyal customers of BHV and Galeries Lafayette and will weaken the image of French fashion, Yann Rivoallan, the chairman of the French Federation of Female Ready-to-Wear, said in a separate statement.

By Angelina Rascouet

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