Must Read: The EU is Investigating Shein, Puig Sales Rise in Q4

Photo: Nicolas Guyonnet / Hans Lucas / AFP via Getty Images
These are the stories making headlines in fashion on Wednesday.The EU is investigating SheinThe European Union is formally investigating Shein due to concerns of the retailer having a potentially addictive design — meaning there’s a lack of transparency on its product recommendation system — and selling illegal products. The EU flagged that these issues would violate the Digital Services Act, which requires online platforms to remove illegal and harmful content. {WWD/paywalled}Puig sales rise in Q4Puig’s Q4 sales rose 6.2%, and saw a 12% rise in full-year net profit. The strong performance is attributed to a jump in makeup and skin-care demand, which offset the slower growth in fragrance. In a press statement, the company said it is optimistic it will continue to deliver strong sales in 2026. {WWD/paywalled}Miuccia Prada and Raf Simons on the state of fashionPrada co-creative directors Miuccia Prada and Raf Simons spoke with journalist Robin Givhan about the state of the fashion industry and how creativity is being adversely affected. Prada shared that fashion is becoming more conservative and designers are so focused on selling product that clothes begin to look the same. Simons agreed, adding that because brands are run by large conglomerates, designers are constrained in their creative freedom. The duo also talked about how they work together, connecting with the next generation and fashion’s political ties. {The Cut/paywalled}Why U.S. department stores are re-strategizing their beauty businessesU.S. department stores’ beauty floors are losing relevance thanks to specialty retailers and e-commerce. Meanwhile, international competitors are seeing positive growth in their beauty businesses. As a result, U.S. department stores are revamping their beauty strategies by tailoring assortment to local customers, hiring staff with store-wide (not counter-specific) knowledge and creating immersive shopping experiences. {Business of Fashion/paywalled}Hailey Bieber talks about Rhode’s growth strategyIn an interview with Vogue Business, Hailey Bieber discussed Rhode’s scaling strategy, which includes pop-ups, international expansion and new products. She shared that, despite having a strong DTC business, the brand will continue to invest in in-person experiences — such as seasonal activations — because they allow consumers to touch and feel the product. Rhode will also continue to prioritize international reach, with Bieber’s sights set on South America next. {Vogue Business/paywalled}Fashionista is the leading online destination for current and aspiring fashion and beauty industry professionals. Reach businesses, students and consumers alike with our range of digital offerings.
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