A New Partnership: Shein & Forever 21, Salesforce Expansion and More News
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September is finally here, and it looks like the first day of the month is also the perfect day to catch up with eCommerce news. Before you start, make sure to check out last week’s information about a booster app for your Shopify store. And as for this week, we have a new partnership on the horizon. Let’s jump right in.
Today’s news is 1378 words and takes 5 ½ minutes to read.
A New Partnership: Shein & Forever 21
Shein has taken a momentous stride towards establishing an Amazon-like marketplace by forming a wholesale partnership with popular U.S. retailer Forever 21. In an unprecedented move for Shein, the company is acquiring a third of the ownership stake in Sparc, a joint venture between Forever 21’s parent company Authentic Brands and Simon Property Group.
This strategic alliance will enhance the distribution network of Forever 21 by tapping into Shein’s massive customer base of 150 million online users. The collaboration also paves the way for innovative initiatives like shop-in-shops and in-store returns at Forever 21 locations across the United States.
Shein’s strategy is shifting from primarily manufacturing its own products, to evolving into a comprehensive marketplace reminiscent of Amazon. It will feature not only clothing but also electronics and home goods. This strategic maneuver aligns with the company’s recent introduction of third-party marketplaces in Brazil and the U.S.
By partnering with established American brands like Forever 21, and potentially other brands such as Nautica and Brooks Brothers, Shein aims to bolster its credibility and attract a wider customer base. This shift is a critical evolution for Shein, as it transitions from a vertically integrated brand to a multifaceted retail platform.
Retail strategy and sustainability expert Brandon Rael underscores that this collaboration provides Shein with a valuable testing ground. It allows it to introduce established brands through physical stores, ultimately leading to expansion within the online marketplace. Despite potential challenges in aligning Forever 21’s brand identity with Shein’s core audience, industry insiders believe this strategic step sets the stage for Shein’s measured approach to dominating the U.S. retail landscape.
Speaking of fashion, don’t miss our feature article highlighting the fashion retailers that are setting the trend in delivery and returns.
Big Retailer News
Salesforce Expansion
This week, Salesforce is revolutionizing the way companies engage with customers and drive sales. The company introduced a suite of new embedded applications within its Commerce Cloud eCommerce platform. These cutting-edge apps cater to sales, customer service, and marketing, boasting artificial intelligence and seamless integration with Salesforce’s CRM technology.
The goal of the expansion is to create a personalized customer experience across various touchpoints. That is, from social media ads to mobile apps and ecommerce websites. This move is a strategic response to the evolving landscape, where businesses seek to turn every customer interaction into a transaction opportunity. By leveraging data, AI, and CRM, brands can not only anticipate customer needs but also craft faster and more streamlined buying experiences.
The introduction of these applications aligns with the trend of unified commerce, where companies strive to provide seamless and convenient purchasing experiences. As Lori McDonald, CEO of Brilliance Business Solutions, notes, businesses are increasingly recognizing the value of features that go beyond traditional eCommerce checkout processes. The emphasis is on meeting customer needs, whether it’s reordering products, accessing order status, or paying invoices.
For eCommerce sellers
For eCommerce sellers, Salesforce’s new applications within its Commerce Cloud platform represent a significant upgrade in capabilities for sales, customer service, and marketing. These new tools could offer a competitive edge to eCommerce sellers looking to adapt to the increasingly complex and customer-centric digital marketplace.
Walmart’s Drone Delivery
In the race for drone delivery supremacy, Walmart is taking off smoothly while Amazon faces quite a lot of turbulence.
Walmart has unveiled an innovative partnership with Wing, aimed at providing on-demand drone delivery to an additional 60,000 homes in the Dallas metro area. The venture will launch from two stores in the coming months. With this move, Walmart will position itself to efficiently reach customers within a six-mile radius of a given store. The company will leverage drones capable of flying beyond visual line of sight. The retail giant’s expansion comes on the heels of their successful drone delivery endeavors in Texas, as well as several other states.
Meanwhile, Amazon’s drone delivery aspirations seem to be struggling, with logistical and regulatory challenges, key team members departing, and their Prime Air drone service falling short of projected goals. The company’s inability to fly over roadways due to lack of Federal Aviation Administration (FAA) approval has further strained their efforts.
As Walmart continues to soar, Amazon is working to regain its momentum by overcoming challenges and improving reliability. The contrasting trajectories of these retail giants in the drone delivery race highlight the importance of navigating the complexities of technology in the pursuit of innovation and customer satisfaction.
Since we’re already discussing delivery, why not check out our article on domestic shipping as well?
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- Beyonce’s silver outfit sales on Etsy. Uproxx
- eBay sellers misleading locations. eCommerce Bytes
International Retailer News
Laced Entering the European Market
Laced, the renowned online sneaker marketplace, is making its foray into the European market. The company is marking a significant milestone five years after its UK debut. The expansion into Europe, a market valued at approximately $16.4 billion annually, brings a host of offerings to buyers and sellers across the continent.
Notably, Laced now introduces top-tier authentication for items, seamless same-day order processing, and swift payouts—setting a new industry standard. To cater to its diverse audience, the platform has introduced localized sites in various languages, beginning with German and French, and soon to follow with Italian and Dutch sites.
Founded by CEO Chris Gibbons, Laced’s expansion encompasses an array of enhancements for European customers. The platform boasts a comprehensive product library featuring coveted and exclusive sneakers, renowned brand collaborations, and beloved classics like Air Jordans and Nike Dunks.
This expansion will introduce several job opportunities across multiple departments such as content marketing, operations, and logistics, underscoring Laced’s position as a thriving and innovative player in the online marketplace arena.
What does it mean for eCommerce sellers?
Laced’s commitment to job creation in content marketing, operations, and logistics may offer sellers additional support and resources, making it an increasingly attractive platform for conducting business.
If you’re an ecommerce seller, this presents an excellent opportunity for you to expand your horizons. As you explore various avenues for growth, don’t forget to keep an eye on your profit margins. To make this easier, consider using one of our business calculators.
Istanbul Blockchain Week 2023
Istanbul, often referred to as the “financial capital” of Turkey, held the Istanbul Blockchain Week 2023. The dynamic event brought together thousands of crypto, blockchain, and Web3 enthusiasts from both local and international backgrounds. Set against the backdrop of Istanbul’s strategic location, the event allowed organizers to cater to the cultural needs of both Eastern and Western societies.
The Hilton Istanbul Bomonti hosted the event on August 22 and 23, offering a platform for discussions ranging from artificial intelligence and regulation to Web3 gaming and real-world blockchain applications.
The timing of the event, just nine months after the previous year’s gathering, was well-considered due to the growing interest in crypto and Web3 in the United Arab Emirates (UAE), particularly in Dubai. This event was strategically positioned to attract players from the UAE, leveraging Istanbul’s more moderate climate compared to Dubai’s scorching summer heat.
While nonfungible tokens (NFTs) took a backseat this year due to changing market dynamics, topics like central bank digital currencies (CBDCs) and AI-generated content took center stage. Overall, the event showcased Istanbul’s role as a vibrant hub for blockchain innovation, highlighting how the crypto ecosystem has rapidly evolved over the years.
For more information, see our article on how Metaverse, NFTs and other trends influence customers.
Also in the News
Webinars
For everyone
Various dates: Amazon advertising’s global webinar program continues with 20+ webinars scheduled, covering Prime Day Preparation, Sponsored Products, Sponsored Brands, reporting, optimization, and other tips. Amazon.
For US sellers
September 7: The 15 Minute Breakdown. Tinuiti.
For UK sellers
Various dates: Amazon advertising’s global webinar program continues with 20+ webinars scheduled, covering Prime Day Preparation, Sponsored Products, Sponsored Brands, reporting, optimization, and other tips. Amazon.
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