Deep Dive 8 minutes PremiumBattle of the Titans: Inditex Versus H&M—More Differences than Similarities? Coresight Research November 30, 2017 Executive SummaryZara and H&M are often spoken of in the same breath—as the fast-fashion invaders that are stealing market share away from mass-market rivals in a number of countries. Yet, despite the similarities, we see some key distinctions between H&M and Zara’s parent company Inditex. H&M is largely not a fast-fashion retailer: according to a number of reports, H&M produces just 20% of its clothing ranges in-season, in contrast to 60% at Inditex. Similarly, only 32% of factories that H&M uses are located in or close to Europe, compared to 59% of Inditex’s factories. H&M’s revenue growth is being supported entirely by new store openings, and its sales-per-store growth is negative. Inditex continues to report positive comparable sales growth and sales-per-store growth. We see these distinctions as related. H&M’s product offering is strongly focused on basic apparel items, and this provides it with less differentiation. In the context of heightened fast-fashion competition, including from ultrafast-fashion retailers such as Boohoo.com and Missguided, we think H&M will continue to find it tough to maintain underlying sales growth. This report is for paying subscribers only. Already a paying subscriber? Please log in to see the entire report.If you wish to learn more about our subscription plans and become a paying subscriber, click here. This document was generated for Other research you may be interested in: Weinswig’s Weekly: There Go Amazon’s Private Labels!Innovator Profile: Gander Enables Brands To Engage with Online Shoppers via Integrated UGC VideoCGI and 3D Product Imagery: The Future of Visual Merchandising in E-CommerceConsumers’ Appetite For Luxury in a Post-Zero-Covid China