Everlane, the eco-conscious fashion brand known for its commitment to “radical transparency,” has been acquired by Shein, a prominent online fast fashion retailer. The acquisition was confirmed in a statement from Everlane’s CEO, Alfred Chang, who emphasized that Everlane will continue to operate as an independent brand focusing on sustainability and top-notch quality.
Chang expressed enthusiasm about the partnership with Shein, highlighting the potential for expanding their vision while maintaining their core principles. The exact financial details of the acquisition were not disclosed by Everlane, but reports suggest that the deal valued Everlane at $100 million US. The sale follows Everlane’s struggle with declining sales and accumulation of $90 million US in debt in recent years.
The news of the acquisition sparked backlash among fans of Everlane, who viewed the move as contradicting the brand’s sustainability ethos. Industry experts, including Ken Pucker, a former COO of Timberland, voiced concerns about Shein’s reputation as a fast fashion giant acquiring a brand like Everlane that had championed ethical production practices and transparency.
Everlane’s approach to sharing detailed information about garment production costs and materials was considered groundbreaking when the brand emerged in the 2010s. In contrast, Shein is known for its rapid production of thousands of new products daily at low prices, often produced under questionable labor conditions. Criticisms have also been raised about Shein and other fast fashion retailers selling products containing high levels of toxic chemicals.
The acquisition of Everlane by Shein reflects broader challenges faced by sustainable fashion brands in a competitive market dominated by fast fashion. Despite consumers expressing willingness to support sustainable brands, the allure of inexpensive and trendy products often prevails. While some sustainable brands like Patagonia and Reformation have thrived, others, like Allbirds and Frank and Oak, have faced financial difficulties or had to change their business strategies.
Industry experts suggest that real structural change in the fashion industry will require policy interventions to hold companies accountable for their environmental impact. They emphasize the importance of shifting the operational norms of fashion companies to create a more sustainable industry landscape.
In conclusion, while the acquisition of Everlane by Shein highlights the complexities of sustainability in the fashion industry, it also underscores the ongoing need for systemic changes to promote environmental responsibility across the sector.
