The fast-fashion retailer H&M, short for Hennes & Mauritz, is a major player in the global retail industry. H&M was founded by Erling Persson in Västerås, Sweden, in 1947. Inspired by a trip to New York City, Persson established a womenswear store named Hennes, meaning "hers" in Swedish. This initial store embodied the founder’s vision of making the latest fashion trends affordable; by 1952, the business expanded to the Swedish capital, Stockholm.
From its modest beginnings in Sweden to becoming the world's second-largest fashion retailer, H&M's journey is a testament to its strategic vision, dynamic leadership, and relentless evolution in the fashion industry. Here's an in-depth look at H&M's history and ownership from its inception to today.
Founding and Early Years: 1947s-1952s
- 1947: Swedish entrepreneur Erling Persson, inspired by his trip to New York City, opens a womenswear store in Västerås, Sweden, named Hennes, which means "Hers" in Swedish. Persson himself designs the Hennes logotype.
- 1952: The first Hennes store opens in Stockholm, Sweden's capital, marking the beginning of the brand's expansion.
Expansion and Rebranding: 1960s-1970s
- 1968: Hennes acquires Mauritz Widforss, a Stockholm-based hunting apparel and fishing equipment retailer. This acquisition leads to the store's rebranding as Hennes & Mauritz, and the introduction of menswear and children's clothing to the product range.
- 1969: Rapid growth sees the establishment of 42 Hennes & Mauritz stores.
- 1973: Hennes & Mauritz begins offering underwear, and ABBA's Anni-Frid Lyngstad becomes the brand's first "supermodel."
- 1974: The company is listed on the Stockholm Stock Exchange and officially adopts the abbreviation "H&M."
- 1977: The Impuls concept, targeting teenagers, is launched, and cosmetics are added to the inventory.
Global Growth: 1980s-1990s
- This period witnesses H&M's international expansion into markets such as Norway, Denmark, the UK, and Switzerland. The brand continues to open five or six new stores annually.
The New Millennium and Digital Era: 2000s-2010s
- H&M embraces the fast-fashion model, enabling quick response to emerging trends and frequent new collections. The company also focuses on sustainability.
- 2002: The founder, Erling Persson, passed away on October 28, 2002, and his son, Stefan Persson, took over, continuing the legacy.
Modern Day Expansion and Diversification: 2020s-2024
- 2022: As of June 23, H&M Group operates in over 70 markets with over 4,000 stores globally. The company enhances its digital presence with online sales in 60 markets.
- 2024: The brand operates 3,832 H&M stores in 77 markets, with sub-brands like COS, Monki, and Weekday also showing substantial presence in multiple markets.
Leadership and Ownership Structure
Today, H&M Group operates over 4,000 stores in more than 75 markets, and its online sales encompass 60 markets. The brand family includes H&M, H&M Home, Weekday, Cos, Monki, Arket, and “& Other Stories,” among others.
- Ownership of the company remains predominantly within the Persson family: Stefan Persson continues to hold a significant influence, and his son, Karl-Johan Persson, succeeded him as CEO in 2009. With a major portion of the company's stock held by public companies and individual investors, H&M remains a publicly traded entity on the Stockholm Stock Exchange.
- Stefan Persson: Erling Persson's son, Stefan, now oversees the company. As of 2024, Stefan Persson and related companies hold 59.89% of H&M’s total shares and 80.77% of the voting shares, making them the majority shareholders. His son, Karl-Johan Persson, is also involved in the leadership.
- Shares and Dividend: The company's ownership is a mix of institutional and individual investors. The AGM in 2024 approved a dividend of SEK 6.50 per share.
As H&M continues to navigate the complexities of the modern retail landscape, its commitment to making fashion accessible and affordable and its innovative business strategies ensure that it remains a major player in the industry. From its significant early growth to the sophisticated omnichannel strategies of today, H&M's history is as rich and varied as the fashion it sells.
