However, it is growing at high double-digit unlike sales at mom and pop stores.
According to estimates, it will grow to Rs 1 trillion by 2025 from Rs 35,000 crore now.
Further, Olsson expects tie-ups like these will help H&M
reach millions of consumers in smaller towns that are, otherwise, left unattended.
Janne Einola, country manager at H&M
India, said the brand would benefit from Myntra’s 30 million existing customers. “All our products will be available on Myntra
and hm.com both,” he said.
According to Einola, H&M plans to open a dozen outlets every year, however, lack of suitable real estate in smaller towns is a barrier that may keep its offline focus on larger cities. Financial viability of stores in smaller towns may have acted as a trigger behind its latest move.
H&M has grown steadily since its entry into market in 2015. During the year ended November 30, 2018, its India business grew by 29 per cent to Rs 1,108 crore.
During the first two quarter, December-February and March-May, it has grown by 41 per cent and 39 per cent, respectively. Currently, the brand has 42 outlets across metros and tier-I cities.