03/17/2008 06:16:52 AM
The well-known Swedish fashion company H&M enters a new phase. H&M always followed the same route: cheap trendy fashion. Now they enter a new phase. By buying the upcoming Swedish fashion company Fabric Scandinavien (behind brands like Sunday Sun , Cheap Monday . HM enters a new role as a venture capitalist. Before HM had to produce products to get revenues, now (with acquisitions) they have to control the portfolio of stocks.
 
This could be a boring, dangerous and reactive way to go. Before they were forced to lead and forge a path, now they can just look and follow. In the long run, this could be a problem: when you fall back and get satisfied, the world around seems to fade away.
 
The acquisition strategy marks a shift from H&M’s old approach of launching sub brands (or rather sub companies in another category such as COS
 
Where will it end for H&M? Will it become the new PPR ?

By Claes Foxerus. You can find more writing from Claes here.  He’s also the co-founder and editor of The David Report . And, for those of you looking for Swedish Planning connections Claes is the man, he is the co-founder and secretary of the Swedish APG.
 



Posted by Ed Cotton
Tags: H&M (3) fashion (12) expansion (3) strategy (6) sweden (5)

07/09/2024 08:21:03 PM (1)
Gaming is about to undergo a major revolution; the success of Nintendo’s Wii has woken publishers, developers and the console manufacturers to the potential reality of a genuine mass market.

Everyone loves to play, but for too long gaming has defined itself and marketed to the stereotypical teenage male gamer and missed out on the rest of the population.

John Riccitiello, the CEO of EA acknowledged this problem in a recent interview.

"We're boring people to death and making games that are harder and harder to play.”


Here are a couple of interesting new gaming initiatives, including one one from EA.

1. Newsgames


Persuasive Games recently signed a deal with the New York Times to provide newsgames for the publishing giant. The first game, Food Import Folly explores the issue of FDA food inspections.

Gaming for Times readers, who would have thought?

2. User-Generated Fashion games

H&M and EA teamed up for The Sims to allow users to integrate H&M fashions into their game play. Instead of turning to Second Life, H&M turned to an established brand franchise to create an interactive experience.

With a branded Sims Pack, users also have the opportunity to see new designs, check out virtual stores and create their own designs, with H&M showcasing the best concepts in virtual fashion shows.  

H&M’s effort is a nice integration of user-generated content, brand experience and gaming.

Expect to see more innovation from the gaming world as it tries to broaden its audience base and as advertisers chase after opportunities to engage with consumers in new and more playful ways.



Posted by Ed Cotton
Tags: gaming (14) H&M (3) videogames (9) ea (2) sims (1) wii (7)

06/10/2024 12:49:00 PM
Swedish cheap-chic retailer H&M (Hennes & Mauritz) plans to open 500 to 1,000 U.S. stores in the U.S., according to www.just-style.com.

Other fast-fashion retailers Zara (19 U.S. stores) and Mango (20 U.S. stores by the end of 2007) from Spain and Britain’s Topshop (3 U.S. stores by next spring) have also sensed fertile ground in the states.

Could such a huge expansion be a lofty strategy? Currently there are only 91 stores.

Also, it is hard not to be reminded of stores like Urban Outfitters, a Philadelphia-based retailer that experienced backlash from its original followers because of suburban growth.

Margins may be up, but that’s not a signifier of long-term success in an industry this fickle. Mall stores often replicate, rather than create what’s going on in fashion. 

Furthermore, euro fashion is in direct competition with homegrown retailers like Chico’s and the Gap. How much will American consumers want? Could the entire euro craze have a product life cycle not unlike the clothing itself?


Posted by katie facada
Tags: H&M (3) fashion (12) retailer (2)

Articles for tag H&M (3 total).