H&M Breaks Through Fast Fashion Bottleneck And Seeks More Performance Growth

Recently, the fast fashion brand H&M announced that it will start selling its external brand products in the store. H&M is also inviting fashion brands to increase the vitality of H&M, attract more consumers and enhance the sales performance of stores.

H&M intends to break the boundaries of fast fashion and is also seeking transformation. Previously, H&M released third quarter sales, an increase of 8% over the same period last year. However, it can be found that sales growth slowed in seven or eight months, the pressure of joint stock pressure and the depreciation of Swedish kronor had a negative impact on H&M's profitability.

In order to enhance the sales ability of its brand, since August, H&M has made efforts in many aspects such as electricity supplier and environmental protection. However, the quality problem of H&M still exists and needs more energy for it.

　　 Online retailers

At the end of August, H&M and India fashion e-commerce Myntra reached a joint venture to further enhance their share of the electricity supplier market in India. India consumers' demand for international fashion brands is rising. According to the Myntra platform leader, the search volume on H&M on the platform has reached 25 million times last year, and the sales volume of the brand in India in the last fiscal year has increased by 29% over the same period last year.

In addition to India's fashion business, H&M also vigorously develops Tmall electric business platform in China. In August 29th, H&M group's women's clothing brand Other Stories officially entered the Chinese market and opened the official flagship store of Tmall brand. In the Tmall store, the brand's underwear, shoes, bags, jewelry and accessories were first put on the market. Compared with other brands of H&M group, all products of the brand are specially designed for women, aiming at a fashionable and simple urban women group.

China's Tmall platform has brought H&M great surprise. It is precisely because of the importance of digitalization and electronic commerce that the four quarter performance has been growing and sales are better than market expectations.

　　 environmental protection

Fast fashion has been criticized by the whole fashion industry for its wasteful behavior. A series of fires in Brazil Amazon have been shocking for decades. In addition to environmentalists, some enterprises in the clothing industry have announced measures to deal with the Amazon fire. H&M said that it would suspend the purchase of Brazil leather and would continue to carry out the operation until there is an effective way to ensure that leather does not harm the Amazon rainforest environment.

At the same time, environmental protection and H&M's independent brand Weekday and Finland reusable packaging service provider RePack have launched an environmentally friendly packaging service. RePack designed reusable packaging can withstand at least 20 times of reuse and reduce 80% of carbon emissions compared with ordinary disposable packaging bags. In order to enhance the enthusiasm of users, users can participate in the mail delivery of bags. RePack can get a certain discount reward after users return the bags.

quality problem

Quality problem has always been the disadvantage of fast fashion brands. In September, H&M proposed a recall plan, including two items of 2000 imported children's shirts. The two shirts, due to a prominent ring on the back, or to hook and hang other objects in the dress, bring health risks to children.

Recall products can certainly prevent the possibility of accidents, but it will also affect corporate image and reduce consumer confidence in brand. As an international fast fashion company, many products of H&M are often made by factories distributed around the country. In order to reduce costs, quality inspection procedures are often neglected and safety quality is difficult to control; different standards in different countries have also become the reasons for such problems; compared with the costumes, children's clothing is more stringent in terms of quality and safety performance.

How to promote faster growth of performance is the bottleneck for fast fashion industry represented by H&M. H&M is giving the brand new content with the attitude of breaking the boundary, bringing fresh and vitality to consumers.