H&M-owned trendy fashion chain Monki will be closing all of its UK stores in a surprise move for the high street. Monki, known for its colourful and trendy designs, has seven locations in the UK, including popular sites in London and Manchester. H&M plans to either shut down Monki stores or merge them with its other fashion brand, Weekday, to create a one-stop shop for young shoppers. This move is part of H&M’s strategy to cater to the high aesthetic standards of customers while embracing their unique expressions. As part of this process, H&M will also revive its Cheap Monday brand and sell it in Weekday stores.
While H&M has not confirmed when they will close the Monki sites, customers can currently shop the brand’s clothes online through their website. The decision to integrate these brands comes as H&M faces challenges in the retail environment, with flat net sales in the third quarter and increased competition from Zara owner Inditex. The high street in the UK is also struggling, with inflation and the shift towards online shopping impacting retail trade. Popular brands like Paperchase have disappeared, and retailers are facing pressure to adapt to changing consumer behavior and economic conditions.
The challenging retail landscape has seen job losses and store closures as retailers struggle to survive in the face of the cost-of-living crisis, high energy costs, and increased online competition. Figures from the Centre for Retail Research show that thousands of shops closed in 2023, resulting in job losses in the sector. While there have been improvements compared to previous years, with fewer store closures and job losses, the high street continues to face challenges. Big-name retailers like Wilko, Paperchase, and Cath Kidston have been among the casualties, with companies reorganizing and cutting costs to stay afloat.
Experts warn that more retail failures are likely as consumers tighten their belts and borrowing costs increase for businesses. The recent collapse of The Body Shop and Ted Baker into administration highlights the ongoing challenges facing the retail sector. As retailers navigate these difficult times, the closure of Monki stores in the UK signals a shift in the fashion industry as brands adapt to changing consumer behavior and market conditions. H&M’s decision to merge Monki with Weekday reflects the need for fashion retailers to innovate and stay competitive in a challenging retail environment.
