SHEIN Opens Merchant Self-Operation Model Recruitment in Mexico, Requires Monthly Sales Above $10,000

Ebrun Exclusive: SHEIN has recently opened recruitment for its merchant self-operation model (commonly referred to in the industry as the POP model) on its Mexico site. This model allows merchants to set their own prices without platform price verification but requires shipping from within Mexico. Merchants can choose between platform fulfillment or self-fulfillment, with a commission rate of 16%. This move undoubtedly represents a significant step for SHEIN to further deepen its localized operations and expand its influence in the Latin American market.

Regarding entry requirements, the model currently supports entities from Hong Kong, Mainland China, and Mexico to open stores. Merchants who have already opened semi-managed stores on SHEIN's Mexico site can also apply to open self-operated stores. In terms of sales requirements, merchants primarily selling shoes, apparel, and accessories in Mexico must have achieved $10,000 in sales over the past 30 days. Merchants in non-apparel and accessories categories need to have achieved monthly sales of at least $10,000 in at least one of the past three months.

Regarding taxation, the platform will withhold and pay relevant taxes for self-operated model merchants according to regulations. Merchants without a Mexican tax ID (RFC) will face a comprehensive tax rate of 16%, while those with an RFC can enjoy a tax rate of 10.5%. Additionally, the platform will settle payments to merchants within 7 business days.

It is reported that SHEIN's current platform models include platform-managed operations (full hosting), semi-managed operations, and merchant self-operation. Among these, the self-operation model offers merchants the most autonomy but also has higher entry barriers. Previously, SHEIN's Mexico site primarily promoted the semi-managed model (where the platform assists with product pricing, operation, and sales after seller onboarding). The opening of the self-operation model this time indicates SHEIN's acceleration of its platformization strategy and further investment in the Mexican market.

SHEIN's presence in the Mexican market has a long history. As early as 2018, SHEIN entered the market with a self-operated model, focusing on fast fashion categories. In 2021, to enhance brand influence, it opened a pop-up store in Mexico City. In May 2023, SHEIN officially launched its third-party platform model in Mexico, expanding its product range from fashion to all categories the following month.

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