H&M has crossed Rs 1,100 crores in sales in India during the year ended November 2018. The Swedish fashion retailer entered India in October 2015. The company has been lucky that in India it has not been carrying any big inventory and didn’t require torun any big mid-season sales here for the year.
Further the expansion strategy of the company has been successful and the company has been expanding in the right way for the market. In India the brand has been focusing more on print and online advertisements. The TV ad was released over a year ago.
A tight control on expenditure, including ad spend, economies of scale, well-managed back-end, lower product prices and penetration in Tier II and Tier III cities have helped the brand grow faster in India compared to most of its peers. H&M stores record a higher footfall and hence are preferred by mall owners as anchor tenants.
H&M currently has 42 stores and will continue to add one store a month. The company has also launched its e-commerce site for Indian shoppers, which is registering double digit sales. Globally, H&M generates 14 per cent of its business from online sales.