The average annual consumption of Amazon members is US$,, providing Amazon with a very stable profit growth curve, while non-members only spend US$ In addition, Walmart members shop an average of times a year, times more than non-members, and their average spending amount is higher than non-members. Costco, the originator of the membership system, even relies on membership fees to make a profit!
Costco members shop on average once every two weeks, spending an FR Numbers average of US$ each time. They have maintained a stable consumption frequency even during the epidemic. It is conceivable that if SHEIN can have a sufficient number of members, it will be expected to stabilize sales and reduce the extreme situation of "a plunge in one year". Of course, it can also stabilize investor confidence.
More importantly, the membership system can prevent to a certain extent Consumer exodus to Temu. Although Temu also encountered bottlenecks in its low-price strategy, its results were still impressive. One month after it was launched, the average daily GMV exceeded US$ million, and the marketing volume in the next year is expected to be US$ billion. If it develops at this rate, it seems that reaching the current sales volume of SHEIN is just around the corner.