PARIS — French department store group Galeries Lafayette is ending its affiliation with BHV parent company Société des Grands Magasins, or SGM, following public backlash over SGM’s decision to open boutiques for ultra-fast-fashion giant Shein inside its stores.
In a statement, Galeries Lafayette said the move stemmed from a “strategic divergence” and would take effect in the coming weeks.
The termination covers seven regional stores in Angers, Dijon, Grenoble, Le Mans, Limoges, Orléans and Reims that SGM has operated under the Galeries Lafayette banner since 2021. These stores will continue to operate under a new identity.
A spokesperson for SGM confirmed to WWD that the stores will be rebranded, but could not yet confirm if the name will be BHV.
The news comes after weeks of public outcry and just a day before Shein is scheduled to open its first permanent physical store inside BHV’s flagship in Paris.
The rollout is also set to include Shein openings in five of SGM’s regional Galeries Lafayette franchises. Galeries Lafayette has said that it does not want Shein associated with its department store name.
The deal to open Shein stores inside of BHV’s Paris flagship and regional department stores was announced by SGM chief executive officer Fréderic Merlin on Oct. 1.
In a letter to partners on Oct. 9, Galeries Lafayette Group executive chairman Nicolas Houzé and Galeries Lafayette CEO Arthur Lemoine distanced themselves from the deal, stating that Shein is “in total contradiction with the values and positioning of our brand.” They later confirmed plans to block Shein’s installation within the franchised stores, calling it a violation of their affiliation agreement with SGM.
Signage anticipating Shein’s opening inside BHV.
NurPhoto via Getty Images
The move also comes a day after Shein announced a complete ban on sales of sex dolls after France’s consumer watchdog agency, the Directorate General for Competition, Consumer Affairs and Fraud Control, accused the platform of selling items with a “childlike appearance,” calling them potentially pedo-pornographic.
As reported, French Finance Minister Roland Lescure has said the availability of the dolls could lead to Shein being banned from the French market. In response, Shein said it had removed all sex-doll products and temporarily suspended its adult category, stressing that the fight against child exploitation is “non-negotiable.” It also announced the creation of a task force to better police its marketplace offerings.
Earlier this year, there was a similar public outcry when French high-street brand Pimkie announced it would start carrying Shein-branded merchandise in its stores.
Following that news in September, Association Familiale Mulliez, founders and former owners of Pimkie, announced it would file suit against the company alleging the Shein deal violated the terms of Pimkie’s 2023 sale and misused 140 million euros of the funds made available to preserve the brand’s autonomy and protect jobs.
AFM, which still retains majority stakes in fast-fashion brand Kiabi and sport retailer Decathlon, framed the partnership as “contrary to the fundamental interests of the French textile industry.”
