By Samya Colon

H&M, which stands for Hennes & Mauritz, is not named after two distinct individuals, unlike what many people think. Rather, it was established by Erling Pedersson, who in 1947 started his first fashion retail business called Hennes, which means “hers” in Swedish. The business was renamed Hennes & Mauritz after it acquired the hunting clothing and equipment outlet Mauritz Wildforss. One of Sweden’s most valued brands, the H&M Group now includes the fashion labels H&M, COS, Weekday, Cheap Monday, & Other Stories, and Monki (Statista Research Department, 2024).

Understanding market segmentation means distinct research about who the company is trying to sell to. In order to do that, you must first take a look at the type of business you have in front of you. In this case, the company I chose is a retail brand who focuses on simple, chic clothing for an affordable price. This is when retail segmentation comes into play.

The process of grouping customers into discrete groups according to attributes like demographics, behavior, and preferences is known as retail customer segmentation. Its objective is to have a deeper understanding of the requirements and inclinations of different client categories. A variety of sources, like as website analytics, social media interactions, and customer feedback, can provide customer data for segmentation (Petraškienė, 2020). In retail, there are four primary categories of client segmentation: psychographic, demographic, geographic, and behavioral.

Market Segments Identified

Through some research about H&M and their quality, I found that the company primarily caters to young adults (18-35 years old) who seek trendy yet affordable fashion, as well as teenagers (13-18 years old) who prefer casual and fast-changing styles. Additionally, H&M targets families by offering clothing for parents and children at budget-friendly prices. A key segment includes sustainability-conscious consumers who prioritize eco-friendly fashion, which H&M addresses through its Conscious Collection and commitment to sustainable materials (Aithor, 2024). The company also appeals to customers seeking more premium styles through its sub-brands like COS and ARKET.

In terms of psychographic segmentation, H&M considers lifestyle and personality traits to align with consumer interests, perceptions, and attitudes. This approach helps them tailor their offerings to meet the diverse preferences of their clientele.

Additionally, H&M employs behavioral segmentation by analyzing customer purchasing patterns. A study revealed that approximately 88% of H&M’s customers had only made a single purchase, highlighting the need for strategies to increase repeat business. Recommendations from this analysis included developing membership programs and targeted promotions to enhance customer retention and lifetime value (Zhu et al., 2017).​

Through these comprehensive segmentation strategies, H&M effectively addresses the varied needs and preferences of its global customer base, ensuring a tailored shopping experience that resonates with different consumer segments.

Implementing Segmentation Strategies

Here are five key points to remember when implementing segmentation strategies:

• Clearly Define the Target Segments – Ensure that each market segment is well-defined based on measurable characteristics such as demographics, psychographics, behavior, or geography. A deep understanding of each segment helps tailor marketing efforts effectively.
• Ensure Actionability and Accessibility – Segments should be actionable, meaning the company can develop specific marketing strategies for them, and accessible, ensuring that the business can effectively reach and serve those customers through appropriate channels.
• Use Data-Driven Insights – Effective segmentation relies on accurate and up-to-date data. Businesses should leverage market research, customer analytics, and behavioral data to refine their segments and adjust strategies as consumer preferences evolve.
• Maintain Consistency with Brand Positioning – The segmentation strategy should align with the company’s overall brand identity and value proposition. Misalignment can lead to confusion and ineffective marketing efforts.
• Regularly Monitor and Adapt Segments – Market conditions, consumer behaviors, and competitive landscapes change over time. Companies must continuously evaluate the effectiveness of their segmentation strategies and adjust them as needed to stay relevant and competitive.

New Market Segments

Dove’s All Body Deodorant is a new product designed to cater to a broader audience by offering odor and sweat protection for multiple body areas, not just underarms. This innovation reflects an emerging market segment that prioritizes full-body hygiene, body confidence, and skin health.

The “Total Body Care Consumers” segment consists of individuals who seek comprehensive personal care solutions rather than single-purpose products (Dove, 2025). This includes:

• Active individuals who need sweat and odor control beyond underarms (e.g., gym-goers, athletes).
• Plus-size consumers who experience chafing or sweat in multiple areas.
• Skin-conscious consumers who prefer gentle, dermatologically tested formulas for sensitive skin.
• Beauty and self-care enthusiasts who are drawn to multi-use, high-quality products.

Segmentation Strategy for Reaching This Market

1. Demographic Segmentation – Target adults of all genders (18-45) who are interested in body care and hygiene. The product appeals to individuals in urban areas where personal grooming trends are strong.
2. Psychographic Segmentation – Focus on consumers who value skin health, self-care, and convenience. Many in this segment seek trusted brands like Dove that emphasize gentle, dermatologist-approved formulas.
3. Behavioral Segmentation – Target customers who already use specialized hygiene products, such as body wipes, anti-chafing creams, or scented body mists, indicating a demand for full-body freshness.
4. Geographic Segmentation – Focus on warmer climates or regions with high humidity, where body sweat and odor control are bigger concerns.

Marketing Strategy:

• Product Strategy: Highlight the all-body versatility of the deodorant, emphasizing how it works for thighs, underarms, chest, and other sweat-prone areas.
• Pricing Strategy: Position the product as affordable yet premium, competing with niche body care brands but staying accessible to Dove’s mass-market audience.
• Promotion Strategy:
  • Influencer marketing featuring plus-size advocates, athletes, and skincare influencers demonstrating real-life use.
  • Educational content on Dove’s website and social media, explaining the importance of total-body odor protection.
  • Targeted ads showcasing real people in different body types and lifestyles using the product.
• Distribution Strategy: Prioritize big-box retailers (Walmart, Target), drugstores (CVS, Walgreens), and e-commerce platforms (Amazon, Ulta Beauty) to reach both everyday consumers and beauty enthusiasts.

By implementing this segmentation strategy, Dove can successfully introduce its All Body Deodorant to a growing market of consumers who seek more inclusive, multi-use personal care solutions.

References

Aithor. (2024, July 2). Understanding H&M’s Market Segmentation. Aithor.com; Aithor. https://aithor.com/essay-examples/understanding-h-ms-market-segmentation#5-future-trends-and-innovations-in-market-segmentation

Dove. (2025). Whole Body Deo Coconut & Vanilla Cooling Spray. Dove. https://www.dove.com/us/en/p/whole-body-deo-coconut-%26-vanilla-cooling-spray.html/00079400517555

Kerns, H. (2024). These November Beauty Launches Will Help You Kick off Cozy Season. Byrdie. https://www.byrdie.com/november-beauty-launches-2024-8738070

Nguyen, S. (2024, September 27). Dove Marketing Strategy – Avada. Avada. https://avada.io/blog/dove-marketing-strategy/

Petraškienė, K. (2020, February 1). 5 Simple Retail Customer Segmentations You Should Know. Omnisend Blog. https://www.omnisend.com/blog/retail-customer-segmentation/

Statista Research Department. (2024, October 1). H&M Group. http://Www.statista.com; Statista. https://www.statista.com/topics/3733/handm-group/

Zhu, J., Pinto, S., Widmann, J., & Wang, D. (2017). Customer Segmentation Analysis for H&M. https://dwang2017.wordpress.com/wp-content/uploads/2017/01/hm-customer-segmentation_report_team2.pdf