09/26/2024 – 20:33
Swedish fast fashion brand H&M has defined where its first store will be located in Brazil. The unit should open in the second half of next year at the Iguatemi São Paulo shopping mall, on Avenida Brigadeiro Faria Lima, one of the most expensive spots in the capital of São Paulo.
According to information from the shopping center chain, the global fashion brand will occupy 1,300 square meters of space in the development. “One of the most famous fashion brands in the world, founded in 1947, the H&M Group currently operates around 4,400 points of sale in 78 markets around the world. The brand opened its first store in Latin America in 2012, in Mexico,” Iguatemi said in a statement. The information was anticipated by Brazil Journal.
The address confirmation gives the first signs of what the Swedish group’s brand positioning should be like in the country, as it will be alongside names in the luxury market, such as Chanel, Prada, Balenciaga and other brands with units in the mall.
The commercial vice-president of Iguatemi SA, Ciro Neto, says that the company enthusiastically welcomed the brand’s decision to debut its national presence in the company’s establishments. The executive attributed the choice to the group’s curation project in relation to names in the fashion sector, which, according to him, has established itself as a gateway to business in the country. “We are proud to have been chosen by H&M, one of the world’s leading brands. most famous fashion brands in the world, with around 4,400 points of sale in 78 global markets, to begin operations in the country”, says, in a note, the representative of the shopping mall chain.
“This initiative reflects the continuous investment in the evolution of assets and the excellence of the experience provided. We are excited about this partnership, which reinforces the Company’s role as one of the main players in the sector”, he added.
For the coordinator of the advertising area and luxury specialist at ESPM, Katherine Sresnewsky, the Swedish brand arrives in Brazil after getting to know the Latin American market better, where it operates in countries such as Chile and Peru in physical and virtual retail and also in production part of the items sold in the region.
In the expert’s assessment, this knowledge about the region should be a business differentiator for H&M compared to other companies, such as Topshop and Forever 21, which came to Brazil but ended up closing their doors. “Their entry into Latin America before arriving in Brazil makes them more robust. They already have a competitive advantage over previous players, because they know the reasons why others haven’t worked,” he says.
Katherine also says that the choice of address should set the tone for the Brazilian operation, as the company chose a point of contact with the brand’s consumers who travel abroad and are already familiar with the company’s products and quality. “Within Iguatemi this dissonance is less and the business has a better chance of performing well”, he says.
‘Tropical’ Challenges
In a recent statement, the company described that Brazil has “a strong appreciation for fashion” and there is “great potential for expansion in the market”. With this, arrival in the country marks a new phase in the Swedish company’s international expansion plans. “We are excited to announce that we are opening our first (physical) and online store in Brazil in 2025. We have had good development in Latin America and see great potential in Brazil,” said Helena Helmersson, CEO of H&M Group, in a statement released by mark.
But, upon landing on Brazilian soil, the fashion brand will have to deal with some very localized challenges, according to the ESPM luxury specialist. She remembers that the positive performance here will also depend on whether the company will be able to understand the “Brazilian woman’s body”, sell a value and awareness proposition that differentiates it from Asian fast fashions and also overcome the aspirational barrier, with an audience that is beyond Avenida Brigadeiro Faria Lima and wants to get to know the business, but doesn’t feel comfortable going to a shopping mall known for its luxurious appearance. “Today, H&M’s competitive advantage compared to ultra fast fashions is quality,” he says.
#Swedish #brand #defines #store #location #Brazil #stay