GENERAL MERCHANDISE NEWS
H&M price cuts help drive sales
23 June, 2004 | by Retail Bulletin
Volume growth across first half
Swedish fashion retailer Hennes & Mauritz has taken advantage of a weaker dollar to drive down its prices across the past few months.
H&M said that it had lowered its prices by 5 per cent across the three months to May 31, a move which has paid off by lifting sales volumes by around 14 per cent.
The retailer reported an 8 per cent increase in turnover across the six months to the end of May, up to SEK SEK13.2 bn. At comparable currency rates, the increase was 10 per cent.
H&M said sales in its first two stores in Canada, have been well ahead of expectations, and announced plans for further expansion in North America, with a store in San Francisco planned to open next year.
