There Are Finally Enough H&M Stores In The World, H&M Says
H&M stores have been spreading across the world like a fast-growing mold. For at least a decade, the fast-fashion retailer has increased stores by 10% to 15% annually, sometimes squeezing them in at a preposterous density: In New York in 2015, the chain opened a 63,000-square-foot behemoth that was literally across the street from another H&M (and just down the street from still another). But the company says it’s finally time to ease off. Sales are slowing, and those physical stores no longer serve as the profit machines that turned the chain’s chairman into Sweden’s richest person. In reporting its 2016 earnings, which saw sales rise 6% for the year, the company yesterday said it is replacing its brick-and-mortar expansion target with a new sales target of 10% to 15% annual growth. This new bullseye includes in-store and—importantly—online sales. Like pretty much every other retailer, H&M acknowledges that more dollars are moving to e-commerce, and that it already has plenty of stores selling its ultra-cheap clothes. Read more at Quartz.
