India is now H&M’s fastest-growing market
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Fast-fashion retail giant H&M has labelled India its fastest-growing emerging market.
The firm is now targeting ₹2,000 crore (US$280,000) in turnover from the territory, a goal it is likely to achieve by the end of this year despite signs of reduced domestic consumption.
H&M’s growth in the region has benefitted from both online and offline efforts, along with its collaborations with local partners and affordability of the brand. It operates 47 outlets in the country, compared to 22 run by rival firm Zara, with financial figures suggesting it may have a leading edge in terms of sales.
According to a report in the Business Standard, H&M India country head Janne Einola has indicated H&M will target tier-II and -III markets for future store locations. It is expected to launch up to 10 new Indian stores this year, as well as diversify its product range into different sectors such as home furnishings and beauty, as well as traditional Indian clothing.
Questions & Answers
Q.What is H&M's financial target for its Indian operations and when does it expect to achieve it?
What is H&M's financial target for its Indian operations and when does it expect to achieve it?
H&M is aiming for a turnover of ₹2,000 crore (US$280,000) from India. The company anticipates reaching this financial goal by the end of the current year, despite broader signs of reduced domestic consumption.
Q.How is H&M planning to expand its retail presence in India?
How is H&M planning to expand its retail presence in India?
H&M intends to open up to 10 new stores in India this year. The company is also focusing on expanding into tier-II and -III markets for these future store locations, as indicated by its country head.
Q.What strategies have contributed to H&M's growth in the Indian market?
What strategies have contributed to H&M's growth in the Indian market?
H&M's growth has been driven by a combination of online and offline retail efforts. Collaborations with local partners and the affordability of the brand have also significantly contributed to its success in the region.
Q.Is H&M planning to broaden its product offerings in India?
Is H&M planning to broaden its product offerings in India?
Yes, H&M expects to diversify its product range within India. The company plans to introduce items in new sectors like home furnishings and beauty, alongside traditional Indian clothing, to cater to a wider market.
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