Shein (PC:SHNQX) has opened its first store inside the BHV shop in Paris, and the move has drawn wide attention from leaders and from store rivals. The plan aims to bring young shoppers to a site that has seen slow traffic. Even so, the step has led to new talk on the risk for store trade in France.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
A Push to Lift Foot Traffic
The BHV shop is run by Société des Grands Magasins, which has tried new ways to bring in buyers. Shein helped on the first day as traffic rose by 50%. In fact, many buyers who went to Shein also made buys in other BHV areas. Even so, store teams say they still face thin stock due to slow pay cycles, and that hurts sales.
Meanwhile, most large shops in France try new paths to stay fresh. For instance, Printemps offers fine food and beauty products, and Le Bon Marché hosts live events. Galeries Lafayette, part of the Galeries Lafayette group, spent more than €100 million on its leading site and saw traffic rise above pre-virus levels. These steps show how big shops now use new displays to spark visits.
New Rules for Global Trade
The Shein move comes as leaders in Europe consider new rules for small-parcel trade. France raised new worries after its team found banned items on the Shein site, and that led to a short freeze of its French market. Since then, Europe has backed a plan that will bring duties on low-value parcels by 2026. The move will hit Shein and Temu, and it will follow the U.S. step of dropping duty-free terms for small parcels.
In the U.S., store chains also face shifts in how buyers shop. Macy’s (M) is set to shut more sites. At the same time, Saks Global, the parent of Saks Fifth Avenue, is looking at ways to cut debt, and one path may be a sale of some parts. This adds to the view that big shops across key markets face tough tests as more buyers move to online sites.
A Key Test for Store Strategy
For now, the BHV plan shows how store groups look for new ways to stay part of the buyer route. Shein brings traffic, yet the long-term effect is still not clear. As France sees slow foot traffic growth of only 0.2% for the year, each new plan will draw close scrutiny from store teams, leaders, and brands that want firm sales in a slow retail scene.
We used the TipRanks Comparison Tool to review key names in fashion and retail. Shein is not part of the list since it is a private firm. Even so, the group still includes well known stocks such as GAP, LEVI, AMZN, and ANF.
