H&M has announced 350 store closings for the year 2021, offset by just 100 store openings. Overall, the world's second largest fast-fashion retailer will come away with around 250 fewer stores.
The decision comes as the coronavirus pandemic sends shoppers increasingly online. H&M was forced to close the majority of its stores earlier this year, and the pandemic continued hurting business even after the stores had reopened. Still, online sales rose 27%, mitigating the hit to profits, and H&M's CEO expressed optimism that the worst was over for the fashion retailer.
“More and more customers started shopping online during the pandemic, and they are making it clear that they value a convenient and inspiring experience in which stores and online interact and strengthen each other,” H&M CEO Helena Helmersson said in a statement.