You may be familiar with it: You have just bought a new item of clothing and you are under the impression that this is really an original item, but the next moment you see half of the city wearing it. That is often the case when you buy clothes at H&M. What makes H&M so immensely popular? Can you still look original with clothes from H&M? Is H&M suffering from the current economic crisis? Hennes en Mauritz is known for its fashion-conscious clothing at a competitive price. For a small price you have the opportunity to completely renovate your home. But how can this group sell such fashion-conscious clothing at such a competitive price?
Manufacturing process
One of the many secrets of H&M’s success is the speed at which its garments are produced. In a regular clothing store it takes 6 to 9 months before a new collection can be in stores, at H&M this is often no more than 3 to 6 weeks. H&M is also a multinational; this means that it has many concerns in different countries. It will not be surprising that this production process often takes place in Asian countries, which means that the clothing can be made cheaply. However, there is no need to fear that the clothing is made using child labor or poor working conditions. In 2004, H&M signed an agreement in which it indicated that it guaranteed the rights of its 60,000 employees. It aims to improve the poor conditions faced by workers in the textile industry. H&M thus takes a clear position against child labor and violations of human rights. The group also introduced a clothing line made from organically grown cotton in 2007. The clothing is recognizable by a special label. Through this organically grown cotton, H&M has a share in the so-called ‘fair trade’, where fair prices are paid for products from developing countries.
Online shopping
Don’t feel like getting out of your lazy chair? Want to look at clothes at your leisure without hysterical women who just snatch a piece of clothing out of your hands? Don’t feel like dealing with a huge line at the checkout? This is no longer necessary since 2006, the year in which H&M opened their online store. The online store is already immensely popular. So popular, in fact, that some items of clothing quickly become unavailable, as happened with the limited collections of well-known designers such as Stella McCartney and Fiorucci. The disadvantage of shopping online is that the clothing cannot be tried on and a (relatively small) amount of shipping costs must be paid. It also sometimes takes a little longer before the clothing can be delivered.
Well-known designers
Cheap designer clothing from well-known designers. It sounds impossible, but nothing could be further from the truth at H&M. The designers are continuously looking at new trends. Inspiration is drawn from films, music, famous pop and film stars and the catwalk. H&M makes clothes hip: Things are sold that the customer is initially a bit hesitant about. H&M gradually introduces these new items, causing customers to get used to the idea and eventually love it. H&M also uses the services of well-known fashion designers: Stella McCartney, Karl Lagerfeld, Elio Fiorucci, Robert Cavalli and Viktor & Rolf, among others, designed clothes for the well-known group. The collection did not last long, droves of people queued up before opening time to get their hands on a piece of clothing. Cavalli’s collection sold out in one hour in some stores.
Still want to be original?
What can you do to remain original with these frequently purchased clothes? The answer is simple; combine and combine again. H&M sells countless basic clothing items that can be easily combined with all kinds of accessories. Pimp your garment with a nice brooch or nice necklace. The clothing can also be combined with other brands, or with vintage clothing. If you want to be really original and walk around with a unique piece of clothing, then H&M may not be the store for you.
H&M and the economic crisis
H&M is also having a hard time during the current economic crisis. This makes it clear how much influence the credit crisis has on prices in stores. The current decline in profits is approximately 11 percent, making it the largest decline in seven years. One of the causes of this decline in profit is that prices were too low. As a result, hardly any profit was made on a piece of clothing. Nevertheless, H&M is still at the top, its competitors have also suffered from the crisis and so H&M continues to have relatively competitive prices.