×
182
Fashion Jobs
OJB HERBALS
Area Sales Manager
Permanent · Ranchi
LIVE BIOTECH PRIVATE LIMITED
Area Sales Manager, Regional Sales Manager, Zsm
Permanent · Chennai
KM ELECTRONIC CABLES PVT. LTD
Area Sales Manager - Vijayawada
Permanent · Chennai
CTA APPARELS PVT. LTD
Opening For Merchandising Manager- Noida(Garment Export)
Permanent · Noida
CTA APPARELS PVT. LTD
Opening For Merchandising Manager- Noida(Garment Export)
Permanent · Noida
STAR UNION DAI ICHI LIFE INSURANCE (SUD LIFE)
Hiring- Area Manager - Bancassurance- Kolkata Metro
Permanent · Kolkata
NIKKO & CO.
Area Sales Manager /Sales Officers(5-10 Yrs Into Fmcg)
Permanent · Karimnagar
FUTURE GENERALI
Opening For Area Manager in Bangalore With Future Generali li
Permanent · Bengaluru
INFEXN LABORATORIES PRIVATE LIMITED
Area Sales Manager
Permanent · Mumbai
LENSKART
Area Operations Manager
Permanent · Chennai
WALPLAST PRODUCTS
Opening For Manager Sales - Walplast Products Pvt. Ltd. (Pune)
Permanent · Pune
ADECCO INDIA PRIVATE LIMITED
Job Opening For Area Sales Manager Role For Mnc Company
Permanent · Bengaluru
DR LAL PATHLABS
Area Sales Manager -Chandigarh
Permanent · Chandigarh
JOB INDIA
Regional Manager Sales (Backend Operations)Garments - Gurgaon
Permanent · Faridabad
HERITAGE NUTRIVET LIMITED
Cattle Feed - Area Sales Manager - Salem Location
Permanent · Salem
THINK FIRST DIGITAL
Hiring For Event Production Manager - Mumbai
Permanent · Mumbai
LUPIN
Opportunity For Area Manager - Mass Marketing - Lupin Ltd
Permanent · Pune
SOBHA
Manager - Sales at Sobha Nesara, Kothrud - Pune
Permanent · Pune
MIDAS HYGIENE INDUSTRIES PRIVATE LIMITED
Area Sales Manager - Punjab
Permanent · Jalandhar
PETPOOJA
Area Sales Manager || Software Sales (Pos) || Petpooja
Permanent · Navi Mumbai
FLEETX
Assistant Area Sales Manager/ Area Sales Manager
Permanent · Haldia
FLEETX
Area Sales Manager
Permanent · Tirunelveli
Translated by
Roberta HERRERA
Published
Feb 10, 2022
Reading time
3 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Zara and H&M: How do these two retail giants differ?

Translated by
Roberta HERRERA
Published
Feb 10, 2022

The owners of Zara (Inditex) and H&M (H&M Group) are the world's two biggest players in fashion retail, and as such are under intense scrutiny as the market undergoes changes accelerated by the health crisis. By dissecting the fashion assortment sold online by these two fashion giants, analyst Retviews by Lectra reveals similar trends, but also different strategies.


H&M Studio, Spring/Summer 2022 - DR


The main difference in their offerings is the selling prices. Due to supply chain related difficulties (materials, transport, etc.), many brands are passing these price increases on to their customers. From August to December 2021, H&M saw its average price per item increase by 13% (from €24 to €27), while Zara, whose positioning is slightly higher than that of its rival, recorded a jump of 23% (with an average price rising from €31 to €38).


Average price increase for items - Retviews by Lectra


In addition to the difficulties caused by the pandemic, it seems that Zara’s elevated prices are also due to its increasing higher quality, since the garments are therefore made with more expensive materials. The premium products offered by the Spanish retail chain, which launched the ‘Zara Origins’ collection last year, now represent 4.8% of its product portfolio, compared to 4.1% a year ago, an increase of 17%. H&M's premium offerings, on the other hand, have increased by only 2%, reaching 5.6% of the total assortment.


Percentage of premium collections in the total assortments of 2020 and 2021 - Retviews by Lectra


Zara's major advance in this niche is also reflected in the selling prices of its premium items, which have increased by 19% at Zara in the span of one year, reaching an average of €60 per premium item (a difference of +83% compared to its main line). The average price of a more premium product increased by only 3.2% at H&M, reaching €66 (+173% compared to the average price of the main line, set at €24).


Comparison between the average price of premium items and main collections - Retviews by Lectra


Now let's dive into the fibers. What are the materials most used by the two brands in their overall assortment? They are cotton (32% at Zara and 30% at H&M) and polyester (31.6% at H&M, and 23% at Zara), which are both well ahead of other textiles, such as viscose (around 10% for both), nylon, elastane or wool (only 1 to 2% of the supply).


Percentage of different materials used - Retviews by Lectra


In the niche of high-end materials, Retviews by Lectra noted a 44% jump in one year of the presence of cashmere in Zara's e-commerce product offering, and +29% at H&M, despite these knitwear items representing less than 1% of the overall offer. Similarly, leather (which represents 4% of Zara’s offer and 0.8% at H&M), made a small breakthrough, from +16% at Zara to +32% at H&M.


Look from the Zara Atelier collection - DR


When it comes to markdowns, products made from these higher-quality materials are discounted less. This is especially the case at H&M, which discounts around 7% of these items (compared to 22% for other products), while Zara discounts 19% of pieces made with premium materials, compared to 23% for the rest of its products.

In terms of their eco-labeled products (which are included in the main range and in specific lines), H&M appears to be a little further ahead than Zara: the former has 21% of its items labeled 'Conscious', while the latter has 16% of products stamped by its 'Join Life' label.

"Will this be enough to stay ahead of the competition, or do these retailers need to make bigger changes to leave the negative connotation of 'fast fashion' behind?" the analyst wondered. 

Copyright © 2022 FashionNetwork.com All rights reserved.