H&M launches its new brand Afound, its ‘outlet’ on the Internet to increase its competition with Primark and Inditex
H&M has already announced the launch of its new fashion brand. This same 2018 will arrive Afound, an ‘outlet’ platform on the Internet that will offer discounts of all the brands of the textile group such as H&M, COS or & Other Stories. But in addition, clothing and designs from other fashion firms such as Nike, Reebok, among others, will also be sold at a discount.
In this way, H&M intends compete with the reduced prices of Primark, Inditex or the Mango ‘outlet’ platform, which offers significant discounts on items from previous seasons. However, for it to arrive in Spain we will have to wait a bit. For now, the company announced this Wednesday that lwill launch the brand in Swedenwith the website and with a physical store located in Drottninggatan, Stockholm.
New shopping experience at attractive prices
The launch of this new brand that will offer designs at reduced prices It is part of the strategy of the Swedish company to develop new brands for the needs of its customers and also to be able to reach new segments of the population. In this way, it is ensured that the new Afound firm «will offer a
new attractive shopping experience».
One of the promotional images of the new brand Afound | Image by: Afound.
In this way, Afound will present “a carefully selected, seasonless range of brands Swedish and international in a variety of price segments both online and in stores physical. Afound will also launch releases of unique and limited products from a range of brands, all at attractive prices ", as reported on the website.
Afound thus becomes the ninth brand of the Swedish company, which currently has the firms H&M, COS, Monki, Weekday, & Other Stories, Cheap Monday and ARKET and to which Nyden will also join this year, with a presence in the 'online' channel and with temporary physical stores.
Increase in purchases in Spain
At the end of the last fiscal year, —between December 2016 and November 2017— H&M recorded a net profit of 16,184 million Swedish crowns, which is equivalent to 1,659 million euros. This figure represents a 13.1% decrease compared to the previous year. The textile chain attributed these results to the weakness of its sales in the company's physical stores as a result of changes in the sector.
On the other hand, in Spain, sales increased with a total of 834 million euros, which represents an improvement of 3.1% compared to the previous year in the profits obtained by H&M and other brands in the Spanish market.