Shein: French fashion is facing a moment of humility

The difficulties faced by French clothing retailers cannot be explained solely by the rise in international competition. The problem is also industrial in nature: some companies have been slow to adapt their operations to new market expectations, particularly in terms of speed, efficiency and competitiveness.

The arrival of entirely digital players such as Shein highlights this lag particularly clearly. For several years now, part of the French fashion ecosystem has struggled to keep pace with demand. The current difficulties thus show that some retailers have not transformed their business models quickly enough.

The success of these new players rests, in particular, on their ability to meet consumer expectations with great precision. They offer affordable prices, a largely digital shopping experience and extremely rapid collection turnover. Whilst their business model may be criticised for its social or environmental implications, it has undoubtedly found its audience.

A demand-driven model

The partnership between Shein and Pimkie illustrates this transformation of the sector. For a mid-range brand facing challenges, working with a company capable of managing on-demand production, data and the supply chain can help it regain momentum and expand internationally whilst retaining its identity.

For a long time, the traditional way the textile industry operated was based on forecasting: collections were prepared several months in advance, goods were produced before the exact level of demand was even known, and unsold stock then had to be cleared through sales.

The emerging model reverses this logic. Production is increasingly tailored to actual demand. Data enables market reactions to be observed almost immediately, allowing production volumes to be adjusted accordingly. Small batches can be tested initially and then quickly restocked if an item proves successful. Conversely, if a product does not perform well, production can be halted.

This approach helps to reduce stock levels and unsold stock, whilst improving the use of financial resources. Technology and data are therefore becoming just as important as keeping manufacturing costs under control.

The French fashion industry has much to learn from these new role models

Moreover, this transformation is not limited to the textile sector. The Western automotive industry is facing a similar situation with the rapid rise of Chinese electric vehicle manufacturers. Some Western executives have themselves acknowledged that their competitors have, at times, made faster progress than they have.

A few decades ago, Western companies exported their production methods, expertise and brands to China. Today, the situation is changing: certain industrial and commercial innovations developed in China may, in turn, serve as a benchmark for European companies.

For the French fashion industry, the challenge is therefore not necessarily to copy these models in their entirety, but to understand which elements are most effective. Collaborations can enable brands to benefit from new approaches whilst protecting their identity and establishing clear rules.

To safeguard jobs, competitiveness and a degree of industrial autonomy, French companies would be well advised to accelerate their transformation. A more data-driven approach to production, shorter development cycles and greater operational efficiency could be key avenues to explore.

Being open to drawing inspiration from models from elsewhere does not mean abandoning one’s identity. On the contrary, it can enable French companies to adapt more effectively to new market realities and increase their chances of long-term survival.