Helen Reed
Stockholm (Reuters) -H & M cannot win at the price alone, and must make clothes more trendy and high quality.
In the first year as a CEO, Erver, in the lead in investing in marketing to enhance the charm of H & M brands, retailers to regain market share from rivals like ZARA owned by InditeX. We pushed to speed up.
H & M is an interview on Thursday after the fourth quarter of Sweden companies missed their expectations to keep their products from the viewpoint of quality and trend to give customers the value of money. I mentioned.
“Competition at the lowest price alone does not reduce it for us. We need to step up and raise the bar,” said Elbar.
Shain, a retailer only online, has undercut H & M and Zara at the ultra -low price of dresses, tops, jeans, and accessories, and is forced to find a new way to distinguish themselves.
H & M continues to invest in social media influencers and pop stars like Charli XCX, and reach a more fashionable young woman.
“In order to acquire market share and start accelerating work to assign yourself, it was really important to get a female customer who is interested in fashion, especially the younger generation.
It is important for H & M to not only increase reach through social media, but also attract more customers from the door. H & M has reduced the overall number of stores, but has renovated some major cities.
H & M Premium ARKET brand will open the first store in Austria, Norway, Greece and Ireland this year. These include a cafe as part of a push to leave shoppers longer.
Erver is not satisfied with the overall performance, but H & M’s high operating margin in the fourth quarter is partly partially due to the product mix.
In another interview on Thursday, H & M said in another interview that reducing the supply chain and speeding up the design process can reduce the time between the product’s idea and the arrival inside the store.
(Report by Helen Reed, editing by Alexander Smith)