Shein’s French department store tie-up collapses

On Tuesday (16 June), Societe des Grands Magasins (SGM), which has operated BHV in Paris since ​2023, announced the decision to offload the department store business to ​its current management team led by Karl-Stéphane Cottendin.

Shein said it respected BHV’s decision to end the agreement, adding that it had not viewed the relationship as a long-term arrangement, according to Reuters.

Shein opened concessions in five regional BHV department stores in France earlier this year – in Limoges, Angers, Dijon, Grenoble and Reims, ranging from 4,300 sq ft to 10,764 sq ft in size – as part of its partnership with operator Société des Grands Magasins (SGM).

The openings followed the debut of the fast fashion etailer’s first permanent physical store at BHV Marais in Paris late last year.

The move contributed to a wave of departures from BHV, with several major French fashion names including Dior, Maje and Sandro reportedly leaving the department store in protest, while the French government introduced legislation targeting ultra-fast fashion, including a €5 (£4.33) environmental charge on fast fashion purchases, set to rise to €10 (£8.65) in 2030.

The partnership also faced criticism from some BHV customers, with in-store retail prices reportedly appearing much higher than Shein’s low online pricing.