
H&M must raise the bar to counter fierce fast-fashion competition, says CEO
STOCKHOLM, Jan 30 (Reuters) - H&M cannot win on price alone and must make its clothes more trendy and of higher-quality in the fiercely competitive fast-fashion sector, its CEO Daniel Erver told Reuters.
In his first year as CEO, Erver has spearheaded investments in marketing to boost the H&M (HMb.ST), opens new tab brand's appeal, as well as a push to speed up product development as the retailer tries to regain market share from rivals like Inditex-owned Zara.
H&M must keep improving its products in terms of quality and trendiness in order to give customers value for money, Erver said in an interview on Thursday after the Swedish company's fourth-quarter sales missed expectations.
"Just competing on lowest price will not cut it for us, we need to step up and raise the bar," Erver said.
Online-only retailer Shein has undercut H&M and Zara with ultra-low prices for dresses, tops, jeans and accessories, forcing them to find new ways of differentiating themselves.
H&M will keep investing in social media influencers and collaborations with pop stars like Charli XCX, Erver said, to reach more fashion-conscious young women.
"To start accelerating the work of gaining market share and ... positioning ourselves, it's been really important to win the fashion-interested female customer, and especially the young generation, because she will shape the industry for the future," Erver said.
As well as increasing its reach through social media, drawing more customers through its doors is key for H&M, which has been cutting its overall store count but refurbishing some in key cities.
H&M's premium Arket brand is opening its first stores in Austria, Norway, Greece and Ireland this year. These will include cafés, as part of a push to get shoppers to linger for longer.
While not satisfied with the overall performance, Erver said H&M's higher fourth quarter operating profit margin was partly thanks to a stronger product mix.
H&M's chief financial officer, in a separate interview on Thursday, said changes it is making to shorten its supply chain and speed up its design process could cut the time between product idea and arrival in-store by as much as 50%.

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Reuters
an hour ago
- Reuters
TRADING DAY Good vibrations turn sour
ORLANDO, Florida, June 11 (Reuters) - TRADING DAY Making sense of the forces driving global markets By Jamie McGeever, Markets Columnist I'm excited to announce that I'm now part of Reuters Open Interest (ROI), an essential new source for data-driven, expert commentary on market and economic trends. You can find ROI on the Reuters website, and you can follow us on LinkedIn and X. The US and China have reached a trade deal, or at least agreed on the framework of a deal, which together with surprisingly soft U.S. inflation data, gave markets a lift on Wednesday. But Wall Street's gains were mild, and they were later wiped out by rising tensions in the Middle East. In my column today I look at the 'equity risk premium' and other metrics that suggest relative U.S. equity and bond valuations are getting very stretched. More on that below, but first, a roundup of the main market moves. If you have more time to read, here are a few articles I recommend to help you make sense of what happened in markets today. Today's Key Market Moves Good vibrations turn sour It's a "done" deal, according to U.S. President Donald Trump, although the he and Chinese leader Xi Jinping still have to finalize the wording of the trade agreement between the two superpowers and sign off on it. The main points of the deal appear to be: China will remove export restrictions on rare earth minerals and other key industrial components; U.S. tariffs on Chinese goods will total 55%; Chinese tariffs on U.S. goods will total 10%. Trump could not have been more enthusiastic in his praise for the agreement on Wednesday, and Commerce Secretary Howard Lutnick said 'deal after deal' with other countries will follow in the weeks ahead. Yet, judging by the relatively muted market reaction, investors are less enthused. And given the chaotic and unpredictable nature of the Trump administration's tariff announcements thus far, the irony of Treasury Secretary Scott Bessent calling on China to be a "reliable partner" in trade negotiations will not be lost on some observers. Especially, one suspects, in Beijing. Based on these proposed China levies, and with the US expected to conclude more trade deals in the coming weeks, the overall U.S. effective tariff rate will be lower than feared a couple of months ago. That's a relief. But the effective tariff rate of around 15% that many economists expect will still be significantly higher than the 2.5% rate at the end of last year, and would be the highest since the 1930s. Also, as the May inflation figures showed, tariffs have yet to be felt on prices. Investors - and Fed policymakers, who meet next week - are in a state of limbo. How will corporate profits and consumer spending be affected? What proportion of the tariffs will companies "swallow", and how much will they pass on to their customers? Zooming out, inflation appears to be cooling around the world, although this trend is expected to reverse once tariffs start to fuel higher goods price inflation. Figures on Wednesday showed that U.S. consumer inflation and Japanese wholesale inflation were lower than expected in May. These reports follow similar numbers from Europe recently, and China remains stuck in its battle against deflation. Next up is India, which releases consumer inflation figures on Thursday, which are expected to show annual inflation slowed to 3.0% in May, the lowest in more than six years. Another focus for investors on Thursday will be the auction of 30-year U.S. Treasury bonds. US stocks-bonds warnings flash amber again Calm has descended on U.S. markets following the 'Liberation Day' tariff turmoil of early April. But Wall Street's rally has revived questions about U.S. equity valuations, as stocks once again look super pricey compared to bonds. Since the chaotic days of early April, U.S. equities have rebounded fiercely, with the S&P 500 up 25%, putting the Shiller cyclically adjusted price-earnings (CAPE) ratio for the index in the 94th percentile going back to the 1950s, according to bond giant PIMCO. Stocks are looking expensive in absolute terms, and in relation to bonds. The equity risk premium (ERP), the difference between equity yields and bond yields, is near historically low levels. According to analysts at PIMCO, the ERP is now zero. The previous two times it fell to zero or below were in 1987 and 1996–2001. In both instances, the ultra-low ERP precipitated a steep equity drawdown and sharp fall in long-dated bond yields. "The U.S. equity risk premium ... is exceptionally low by historical standards," they wrote in their five-year outlook on Tuesday. "A mean reversion to a higher equity risk premium typically involves a bond rally, an equity sell-off, or both." But reversion to the mean doesn't just happen by magic. A catalyst is needed. Equities have recovered largely because they were oversold in April, trade tensions have been dialed down, and investors remain confident that Big Tech will drive solid AI-led earnings growth. So even though huge economic, trade, and policy risks continue to hang over markets, there is no sign of an imminent catalyst that would cause an equity market selloff. The flip side of equities looking expensive is that bonds look like a bargain. Indeed, the relative divergence between stocks and bonds is such that, by one measure, U.S. fixed income assets are the cheapest relative to equities in over half a century. Using national flow of funds data from the Federal Reserve, retired strategist Jim Paulsen calculates that the total market value of U.S. bonds as a percentage share of the total market value of U.S. equities is the lowest since the early 1970s. "Since the aggregate U.S. portfolio is currently aggressively positioned, investors may have far more capacity and desire to boost bond holdings in the coming years than most appreciate," Paulsen wrote last week. But bonds are 'cheap' for a reason. Washington's profligacy – the reason ratings agency Moody's recently stripped the U.S. of its triple-A credit rating – and inflation worries have kept yields stubbornly high. The term premium - the risk premium investors demand for holding long-term debt rather than rolling over short-dated loans - is the highest in over a decade, reflecting concerns about Uncle Sam's long-term fiscal health. And the diagnosis here shows no signs of improving. Trump's 'Big Beautiful Bill' is expected to add $2.4 trillion to the U.S. debt over the next decade, according to the nonpartisan Congressional Budget Office, likely putting more upward pressure on yields. Of course, equity investors do seem to be pricing in a very rosy scenario, and the past few months have shown how quickly the market landscape can change. The U.S. economy could weaken more than expected, the trade war could escalate, or there could be a geopolitical surprise that causes bond yields and equity prices to fall. Investors should therefore be mindful of the warnings being sent by ERPs and other absolute and relative valuation metrics. However, they should also remember that stretched valuations can get even more stretched. As the famous saying goes, markets can stay irrational longer than investors can remain solvent. What could move markets tomorrow? Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles, opens new tab, is committed to integrity, independence, and freedom from bias.


Scottish Sun
2 hours ago
- Scottish Sun
I tested flavoured ciders… fresh-flavoured £2.75 winner tasted just like a can of Lilt and would be great with cheese
Scroll down to find out which cider would be nice as a pudding wine alternative INTO A DE-CIDER I tested flavoured ciders… fresh-flavoured £2.75 winner tasted just like a can of Lilt and would be great with cheese WITH a whopping 324million pints sold last year, cider is now the most popular alcoholic drink after beer. And it's not just classic versions we are enjoying – because premium fruit-flavoured options account for 72 per cent of orders. As pub gardens gear up to supply us with refreshing summer pints, Alex James – Blur bassist, Big Feastival founder and now cider maker – gives his verdict on an array of the flavoured tipples. Rattler Pineapple Cider 500ml, 3.4%, £2.75, Tesco 6 The Rattler Pineapple Cider is full of fresh pineapple flavour Credit: Olivia West IT'S perfectly possible to make cider from just apples and nothing else. Apple skins carry natural yeasts that will cause juice left in a barrel over the winter to ferment and magically transmogrify into cider by spring. This minor miracle has always been more than enough for me, but I can see the appeal of adding exotic flavourings to spice things up a bit. Unsurprisingly, this one tastes a bit like Lilt. It's full of fresh pineapple flavour and would be great, Hawaiian pizza-style, with cheese on toast. Also makes me think I'd love to try an alcoholic drink made purely from fermented pineapple juice. That really would be something. RATING: 5/5 Rekorderlig is launching a new cider cocktail range Alska Strawberry & Lime Cider 500ml, 3.4%, £1.99, Aldi 6 This Swedish cider tastes exactly like a 'red' flavour freeze pop Credit: Olivia West A SWEDISH cider with an eye-catching label bursting with colourful illustrations of fresh strawberries and limes. It's almost like they're tricking you into thinking you're buying a yoghurt of some kind, rather than a bottle of booze with added sugar and flavourings. It must be hard enough growing apples and strawberries in Sweden, let alone limes, but we'll skim over that. It tastes exactly like a 'red' flavour freeze pop. It's too overwhelmingly sugary to pair with a lot of foods or other drinks. But pouring it over ice would dampen the sweetness and make it a decent lunchtime aperitif. On a boiling hot day, upgrading from a crafty Mr Freeze to one of these in the garden wouldn't be a bad idea. RATING: 2/5 Crumpton Oaks Strawberry Fruity Cider 568ml, 4%, £1.50, Tesco 6 This can of cider tastes of strawberry flavour rather than actual strawberries Credit: Olivia West A MIGHTY, pint-sized can of cider. It's very pink and very sweet and it's among the stronger offerings in today's field at four per cent alcohol by volume. It tastes of strawberry flavour rather than actual strawberries, but is by far the cheapest of the bunch. If it's value you're after, you could easily add a shot of strawberry syrup to your favourite cider, but if it's strawberry flavour convenience that you want, then look no further. Syrupy sweet, so might be nice as a pudding wine alternative. Try it with ice cream or apple pie, or maybe even delivered lovingly to the wife while she's halfway through a long soak in a bubble bath. RATING: 3/5 Old Mout Kiwi & Lime Cider 500ml, 4%, £2.38, Asda 6 This cider smells like a bag of Jelly Babies and tastes like an exotic species of Fanta Credit: Olivia West IF the idea was to train your children in how to drink alcohol, this would be the perfect way to get them started. It might be an alcoholic tipple, but it smells like a bag of Jelly Babies and tastes like an exotic species of Fanta. I have to say I rather liked it. I can see it going down really well at a barbecue as it's full of fizz, with enough zest and fruitiness to square up to the traditional burned sausage. That said, I've also got a feeling you could get something very similar for much cheaper by adding a shot of already-open booze, like vodka, to a glass of your favourite fruity fizzy pop. RATING: 4/5 Pulpt Melba (White Peach & Scottish Raspberry) Cider 500ml, 3.4%, £2.65, Tesco 6 This cider would work best served as cold as possible on a swelteringly hot sunny day Credit: Olivia West THIS cider reminds me of the rhubarb-and-custard chews I used to enjoy on my Saturday morning trips to the sweet shop as a child. It looks like a glass of plain old cider but then, when you try it, you get a good biff of raspberry flavour. Any peachiness was harder to detect. As with most of these cheap and cheerful drinks, I think older teens would love it, but whatever your age, it would work best served as cold as possible on a swelteringly hot sunny day. You're basically getting a two-for-one alcohol and sugar hit. It would also ride very nicely alongside a pork pie or a Scotch egg at a picnic. RATING 2/5 Woodgate Blood Orange Cider (4x440ml), 3.4%, £2.99, Lidl 6 This blood-orange tinned tipple actually tastes nothing like cider Credit: Olivia West THERE are so many things I like about cider. Apple orchards are enchanting places – the Biblical Garden of Eden, which was a paradise, was an orchard, after all. Even relatively recently, cider was used as currency to pay farm workers, so whoever made the best cider got the best workers. And it helped lead to a revolution in British glass manufacturing that ultimately shaped the drinking habits of the entire world. This blood-orange tinned tipple actually tastes nothing like cider at all. Instead, it looks, tastes and smells just like a famous orange fizzy drink. But it would make a decent birthday breakfast substitute for a Buck's fizz. Or swig it as an accompaniment to a weekend fast food smash. RATING: 4/5


Wales Online
4 hours ago
- Wales Online
'Effortlessly stylish' New Look dress now 25% off in sale
'Effortlessly stylish' New Look dress now 25% off in sale The Black Daisy Print Frilly Trim Chiffon Midi Dress was £42.99 but is now £32.24, offering a £10.75 saving for shoppers The dress is available in UK sizes 6, 8, 10, 12, 14, 16, 18, 20 and 22 (Image: New Look ) New Look's "effortlessly stylish" dress is now 25% off in its current sale. The Black Daisy Print Frilly Trim Chiffon Midi Dress was £42.99 but is now £32.24, offering a £10.75 saving for shoppers. The dress is available in UK sizes 6, 8, 10, 12, 14, 16, 18, 20 and 22 - but be quick, as there are only a few dresses left in the size 6. According to the retailer, this black and cream dress is "effortlessly stylish". From superstar gigs to cosy pubs, find out What's On in Wales by signing up to our newsletter here . The dress has a daisy print design and frilly trims. It is made out of chiffon material and is of midi length. READ MORE: 'Fabulous little summer dress' from M&S that's pure cotton and 'hardly creases' LATEST: Amanda Holden hails high street dress 'a keeper' as 'flattering' frock reduced by £80 The dress has a round tie neck and long raglan bell sleeves, with a pull-on fastening and a body lining. New Look's description of the dress reads: " Feel effortlessly stylish in this daisy-print midi dress with its flowing silhouette and breezy charm. It features layered ruffled cuffs and a frilly trim around the waist." The dress is made out of 100% polyester and is easy to care for and maintain as it is machine washable. The dress has a daisy print design and frilly trims (Image: New Look ) You could style this dress with a pair of sandals, making it the perfect dress to wear when you're out and about during the summer. If it gets chilly however, this dress could easily be styled with a denim jacket. There are no reviews of the dress yet, however you can find out more about the dress here. If you are looking for the perfect midi dress this summer, you could also find one from Next, such as this Black/White Stripe Seersucker Bandeau Midi Summer Dress for £42. Article continues below For a bit of colour, you could get the ASOS Design cotton sleeveless midi sundress in postcard print from ASOS for £28.