H&M'S Strong Online Growth Will Include Its High-End Brand COS In Tmall.

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H&M group still has great expectations for the brand of COS (Theme Reading) brand, which has entered the club of 1 billion dollars last year, and is becoming the second growth power of the group.

According to the latest news of fashion business express, H&M group announced yesterday that its high-end brand COS will open its official flagship store in Tmall in October, which is also the only online store opened by COS in addition to official website.

At that time, COS Tmall flagship store will provide many categories including women's wear, men's wear and children's wear, and plan to start the COS x Studio Swine Series in Tmall.

It is reported that COS will continue to expand in China, with the exception of Tmall's flagship store, COS will also open a brand new flagship store in Jingan, Shanghai, and plans to open new stores in Beijing, Xiamen and Guangzhou. As of now, COS has 28 stores in mainland China.

Marie Honda, managing director of COS, said COS was settled.

It is a sign of closer cooperation between H&M group and Tmall.

It is worth noting that the high price of the minimalist brand COS has amazing profitability. The brand opened its first flagship store in Regent Street, London in March 2007, and in a few years, it quickly attracted attention and consumption in the fashion industry. According to the fashion headline data, the brand expanded with the average annual opening of 22 stores.

According to relevant data, from 2009 to 2014, the sales volume of COS increased from US $132 million to US $625 million, and nearly 5 times that of COS.

It recorded $1 billion 100 million last year.

Founded in 1947, H&M has been regarded as the originator of fast fashion brand and similar to the fast fashion brand in the world. Apart from COS and H&M, its brand includes &Other Stories, Monki, H&M Home and other brands to meet the needs of different consumers.

Since last year, the group has launched a new brand ARKET and /Nyden.

In March this year, the core brand H&M and H&M HOME officially entered Tmall.

According to the fashion headline data, Tmall has attracted tens of millions of consumers to the flagship store for more than 2 months. The group has repeatedly stressed in public that its good performance on Tmall has also promoted H&M's sales in the entire Chinese market.

Obviously, H&M group is now aware of the importance of the electricity supplier and has high hopes.

CEO Karl-Johan Persson first disclosed the electricity supplier data at the investor conference held in February this year. Last year, H&M's electricity supplier income was 29 billion Swedish kronor, or about 22 billion 200 million yuan, accounting for 12.5% of total revenue. Karl-Johan Persson predicts that the group's online revenue will grow at least 25% at the stimulus of Tmall and the setting up of a discount electricity supplier platform Afound. From 2019 to 2022, the compound growth rate of online business is about 20%. After five years, its online revenue will reach about 75 billion Swedish Krona.

H&M group revealed that the future will further promote seamless interconnection between online and offline businesses, such as making delivery methods more convenient and flexible, improving digital applications and introducing new technologies such as artificial intelligence in physical stores, etc., and adding three new highly automated flow centers. At the same time, it will enhance brand exposure among young consumers through cooperation with different social media.

Karl-Johan Persson emphasized earlier that fashion zero.

In the process of growing and being in a wide and rapidly changing period, the result of digital is the result of competition. The competition pattern is being redefined with new participants entering the market.

Driven by digital pformation, H&M's third quarter performance has revived.

In the three months ended August 31st, H&M tax sales increased by 9% to 64 billion 800 million kronor compared with that of the group's brands.

The share and sales performance have been improved.

After the release of the earnings report, H&M group rose 16% to SEK 143.6 yesterday, with a market capitalization of about 237 billion 770 million kronor, or about 183 billion 400 million yuan.