As one of the world’s largest fashion retailers, H&M has long shaped how people shop – from the latest trends and collaborations to sustainability statements.
Now, the company is rethinking its role once again, this time through recommerce. Its Pre-Loved concept aims to make second-hand fashion more accessible, desirable and scalable.
“For us, we want as many people as possible to discover second-hand,” says Sofia Måhlen, who leads H&M’s circular business models team. “That includes the people who already love vintage – but also those who might come to buy kids’ socks and stumble across the Pre-Loved section.”
With a curated assortment, fashion-forward positioning and clean presentation, Pre-Loved is designed to challenge assumptions about second-hand. “It is a continuation of H&M’s original idea,” Sofia explains. “When the company started in the 1940s, fashion was meant to be for everyone – not just those who could afford it back then. That thinking still applies to our second-hand offer; that it should be made available for more people.”
From mission to market entry
The Pre-Loved team was created to explore, test and scale circular business models. Today, the digital resale offer is available in 25 of H&M’s largest markets. Physical store pilots are more selective – currently running in eleven locations, with four more opening this year.
But the concept is still in development.
“We are in test mode,” Sofia explains. “There are no immediate plans for further expansion, because it is not just about scaling – it is about getting it right.”
That means starting where the demand is clear. “France, for example, is ahead in terms of second-hand maturity,” says Sofia.
Learning from the rollout
One key insight has been important. “It is not always about the flagship store,” says Sofia. “In Stockholm, we chose a smaller site on Södermalm for our first store in Sweden – because that is where a high concentration of second-hand-aware customers are.”
The same goes for pricing. The team launched the same assortment in Berlin and Paris, but received different customer reactions on price levels. “That was very interesting” she says.
“You need to adapt to local expectations – not just translate a concept.”
Product adjustments matter too. In taller markets like the Netherlands, H&M adapted sizing. And local store teams play a key role in responding to real-time opportunities – for example, local music festivals and other events that could make demand for certain products or styles peak temporarily.
Balancing scale and experience
Pre-Loved began as a digital concept, with physical stores added later. Today, each channel plays a distinct role. “Online gives us reach and volume,” Sofia explains.
“In stores, we can curate more tightly and create a tactile experience – which is important when you want people to engage with quality fabrics like silk or leather.”
To keep the experience consistent, both channels are built around the same themes – such as denim, leather or premium accessories – so customers know what to expect.
Returns are typically known as a real challenge to online retailers. H&M aims to reduce unnecessary shipments by setting clear expectations: defects are shown, sizing information is detailed, and customer feedback is used to improve fit accuracy.
Reaching beyond the existing customer base
Sofia advises other brands to think carefully about who their resale concept is for.
“Is it your current audience, or are you trying to reach someone new? If it is the latter, then everything – your tone, pricing, messaging – needs to reflect that.”
At H&M, the goal is to do both. “Some people think second-hand is messy or complicated,” says Sofia. “We want to show that it can be easy, relevant and inspiring – and make it feel just as accessible as buying something new.”
Three things I wish I had known before launching
Each brand featured in Succeed Abroad – The Magazine shared three lessons they wish they had known before expanding abroad. Here are the three that stood out most to Sofia Måhlen:
Read more brand stories from Succeed Abroad – The Magazine here.