Clothing retailer Shein launches credit card with Mexican fintech Stori

CHINESE fast-fashion giant Shein is launching its first branded credit card worldwide through a partnership with Mexican fintech Stori, the firms said on Tuesday (Oct 22), touting synergies that should help both expand in Latin America’s second-largest economy.

The push will simultaneously aim to draw more Mexicans to the credit market, where they lag in access, as well as luring shoppers to the low-cost, quick-turnaround retailer’s website.

Throughout Latin America, Shein has exploded in popularity in recent years, as it weighs plans to build a plant in Mexico and build out a distribution network in prime market Brazil.

The region has also seen a boom in small businesses which buy Shein clothing in bulk and re-sell it in physical storefronts.

Shein – valued at US$66 billion in a fundraising round last year – has disrupted the fast-fashion industry with its low-cost model and rapid growth.

Mexico’s e-commerce market was the fastest growing in the world last year, according to a study by the Mexican Online Sales Association, with just over 40 per cent of all online purchases being clothing.

SEE ALSO

Starmer says listings like Shein’s to face labour rights scrutiny

Online retailer Shein’s 2023 sales hit £1.55 billion in UK

Shein to hold roadshows soon ahead of London IPO: sources

Italy opens greenwashing probe into Shein website

UK should outlaw imports of goods made by Xinjiang forced labour, says senior lawmaker

More

Asean Intelligence

Get insights into businesses across South-east Asia

Get the free report

The Shein credit card, a Mastercard, will offer points to use on the retailer’s website with every purchase. Clothing purchases on Shein’s website will earn double points, the firms said.

Stori, a fintech offering services such as savings accounts that provide 15 per cent yields and credit cards with near-total approval rates, has already scooped up three million clients in Mexico in the last four years.

The Shein card will only be available to new Stori clients and not existing ones, according to Stori’s website. REUTERS