The ready-to-wear landscape is still evolving. H&M, a major player in the sector, has decided to merge two of its brands, Monki and Weekday, leading to the closure of several Monki stores. A strategic maneuver intended to respond to a rapidly changing market.
- H&M announces a strategic restructuring involving the closure of numerous stores across its global network.
- A merger of brands is being considered to better meet new consumer expectations and optimize the group’s resources.
- Details regarding the impact on employees and the exact number of closures remain unclear at this time.
Created in 2006 and acquired by H&M in 2008, Monki has established itself with a vibrant style and a unique atmosphere. However, the brand will gradually be absorbed by Weekday. According to the official press release, this merger aims to attract the “creative generation” by offering a broader and culturally relevant offering. Monki products will now be sold on the site and in Weekday stores, offering a unified experience to this young and trendy target.
Store closures with uncertain consequences for H&M
The merger means that many Monki stores will close their doors permanently, while some outlets will be transformed into multi-brand boutiques under the Weekday brand. This restructuring marks an important step in the H&M group’s strategy, although it remains discreet for the moment on the exact number of closures planned and the extent of the consequences for employees. In its press release, the Swedish giant, however, expressed awareness of the challenges that these changes represent for the employees concerned, without announcing specific measures with regard to them.
At the end of August, Monki still had a network of 56 stores spread across 15 countries, a figure down sharply compared to previous years when the brand had nearly 70. H&M is embarking on a rationalization of its brand portfolio, a necessity in a ready-to-wear market marked by growing economic uncertainties. Consumers are increasingly favoring online purchases, which is pushing brands to adapt to these new habits. By integrating Monki offers into physical stores and Weekday’s e-commerce platform, H&M hopes to create synergy between the two brands, while optimizing its resources.
A turning point for the H&M group
This merger could also reduce operating costs, while strengthening the attractiveness of a unified offer to young and connected customers. With this decision, the Swedish giant begins a new stage in its global strategy. By bringing together Monki and Weekday, H&M hopes to optimize its resources while strengthening its appeal to a younger audience. If this merger promises a new lease of life for the group, it also marks the end of an era for Monki, whose unique identity has attracted thousands of consumers around the world.
