Back on trend? H&M makes AI, loyalty drive to ride fashion cycle

Back on trend? H&M makes AI, loyalty drive to ride fashion cycle

Back on trend? H&M makes AI, loyalty drive to ride fashion cycle

https://www.aol.com/back-trend-h-m-makes-ai-loyalty-drive-154952131–finance.html

Publish Date: 2026-04-19 08:41:00

Source Domain: www.aol.com

  • H&M’s recent boost in full-price garment sales indicates that backroom improvements, including investments in artificial intelligence and customer analytics, are starting to pay off.
  • The company aims to enhance trend identification and logistics planning to decrease discounted sales and unsold stock.
  • H&M is piloting projects to use data to match supply and demand more closely, with plans to extend these globally by the end of next year.
  • H&M has struggled with inventory issues, especially since it produces most garments in Asia, whereas rival Inditex’s Zara can get new designs to stores within a week.
  • The company expects its overhaul to help it reduce inventories to between 12-14% of sales by the end of 2022.
  • H&M has also launched a fast-growing customer loyalty scheme to enhance customer data collection and improve trend predictions.