H&M's Fashion Quest: Trends, Quality, and the Battle for Market Share

H&M's CEO Daniel Erver emphasizes the need for trendier and higher-quality fashion to compete with brands like Zara and Shein. The company is investing in marketing and social media influences to regain market share. H&M plans store refurbishments and Arket expansion for better customer engagement.

In a bid to regain market share in the hyper-competitive fast-fashion industry, H&M is shifting focus from merely competing on price. CEO Daniel Erver stated in an interview with Reuters that the brand needs to enhance both trendiness and quality to offer customers better value.

Under Erver's leadership, the company is ramping up marketing efforts and accelerating product development. The aim is to attract fashion-conscious young women, a demographic seen as future industry shapers. Partnerships with social media influencers and pop stars like Charli XCX play a crucial role in this strategy.

As it aims to increase customer footfall, H&M is cutting back on its number of stores while revamping locations in key markets. The launch of Arket stores in several European countries is part of a broader tactic to encourage longer shopper visits, with plans to integrate cafés into store designs.

(With inputs from agencies.)