H&M Launches New Luxury Series Of Women'S Clothing To Restore Its Declining Trend

After three consecutive quarters of decline in performance,

The new luxury series will be launched next year, with a view to filling the blank of products for new white collar female customers and saving the declining trend.

Reasons: multi brand strategy to deal with competition

H&M recently announced its three quarter earnings, with a net profit of 3 billion 600 million kronor (US $549 million) in 6-8 months, up less than 1% compared with SEK in the same period last year.

The disappointing performance of revenue has prompted H&M to accelerate the pace of new push.

In this regard, in the face of fierce competition, H&M wants to seize more.

Share, we must try every means to meet the needs of consumers at different levels, and implement multi brand strategy, and the launch of "&Other Stories" is just one step.

In fact, multi brand strategy is the usual magic weapon for fast fashion brands to face market competition and decline in performance.

Take H&M's old rival Zara, for example, a white collar with a certain economic strength may choose a high-end sister brand Massimo Dutti with higher quality and better quality than Zara. If students are students, they will patronize the younger, fashionable and cheaper Bershka, which will enable the Zara group's brand series to radiate to a wider range of customer groups.

If the appearance of "&Other Stories" is a chess piece under the H&M multi brand strategy chessboard, who is the attacking target of this chess piece? H&M official says that this is a market full of opportunities for the new series at this time, and where is the business opportunity?

Business opportunities: new white-collar women are the battleground.

H&M has always been fashionable and fashionable.

Style attracts a large number of student groups to become loyal customers. As they enter the workplace, they pay more attention to style and quality.

Although H&M has targeted the "&Other Stories" series of customers targeted at women of all ages and fashion, the series seems to have been created for the sake of new white-collar workers.

"&Other Stories" has a wealth of product lines.

Bags, accessories, ready-made clothes, underwear and beauty products are all included.

These costumes have a uniform style and are easy to match.

At the same time, the price range is between H&M and the most high-end COS of the group, which has certain attraction for new white-collar workers who have just entered the post.

Obviously, "&Other Stories" can fill the gap in positioning the needle for this particular group, so that H&M will not lose too many streams of loyal customers who have been trained for 4 to 5 years.

Prospects: light luxury is its future trend.

The price range of the "&Other Stories" series is very wide, with a pair of about 10 euros.

It also has 200 euros worth of high quality boots.

The price range of such a long span conveys a signal that the new series is suitable for both the new white collar and the high quality white collar women with a certain economic base.

This characteristic reminiscent of the "luxury" that is highly sought after.

According to Ma Gang, an independent critic of footwear industry, from the perspective of consumption segmentation, the quality of fast fashion parity brand is slightly inferior, and the concept of light luxury is more suitable for the positioning of fast fashion brand.

Even if the traditional high-end route persists, it will pay huge input and experience a longer cycle.