H&M Planning to Close 250 Store Locations in 2021
The retail chain is already strategizing for the upcoming year.
If things were changing in the world of shopping before the pandemic hit, they definitely picked up the pace in it. With the country locked down, there wasn't really an option to go out and browse the mall for your next look. It's a practice that seems to be changing anyway, but once people weren't allowed in, we saw online sales go up.
Now, maybe these sales didn't go up right away or really go up all that dramatically at first, but I believe that more people are looking online for the things they need more than ever. Myself included. I'm not much of an online shopper because I want to get to know the item before I take it home with me, you know? Especially when it comes to clothes. However, more and more people like myself are looking to the world wide web.
In fact, H&M saw enough of an increase in sales online that they are throwing more money at their digital resources for customers. This also means that they will be closing some of their physical locations. H&M's financial report shows a dip five percent dip in local sales for the month of September and, as a result, the company will be closing 250 brick and mortars.
Currently H&M has 5,000 locations across the country so this will account for five percent of their properties.
That's not a crazy amount and I would be the last to bet that H&M will be going out of business anytime soon. In fact, I think this new online strategy will help them in the long run. Also, H&M is known for their affordable, fashion-forward products, and great sales.
As for the locations in questions, H&M has not made that announcement yet. We're willing to bet it will be the under-performing stores. Fingers crossed we don't lose our Fort Collins location. Did I mention I'd rather shop in person?