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MAJOR INVESTMENT IN DIGITAL TRANSFORMATION                                  GROWTH IN NEW MARKETS AND CHANNELS
During the year, Kappahl decided to invest SEK 200 million in a             The Kappahl Group currently sells products in its own stores in
comprehensive digital transformation. This investment includes a new        Sweden, Norway, Finland, Denmark, Poland and England, and its
business system with integrated cash register and payment solutions,        ambition is to launch its brands in more markets and new channels.
as well as customer databases for both physical and digital stores in       This includes the Group’s own stores and channels, as well as enabling
different markets.                                                          sales on other platforms. The Group will also be working to optimise its
                                                                            store network and create some exciting new shopping experiences.
  “If we’re to get Kappahl ready for growth, we have to replace systems
and have a system solution that allows all elements to communicate.           “We need to go on looking at each individual store on the basis of local
This is absolutely crucial for scalable and efficient growth.”              market conditions, location and size. Customers are very interested in
                                                                            continuing to shop both in physical stores and online.
NEW GRAPHIC IDENTITY AND NEW BRANDS
A new visual identity was devised for Kappahl as to highlight the              The fashion chain has developed some exciting new customer
rollout of the new brand strategy. The aim of all this is to move the       experiences both in-store and online. Liveshopping has been popular
fashion chain’s position towards an even more value-based brand             during the pandemic, and this concept offers major potential for the
where the visual identity is a vital signal. The new identity includes an   future. Members of the Kappahl customer club are also offered free
updated logo and a complementary communication concept that will            advice and personal shopping online.”
be launched in 2022.
                                                                               Selected parts of the Newbie range can now be rented via the
   The Minories brand for children was launched in early 2021. The fashion  Hyber rental service. Kappahl Woman and kay/day also offer clothing
chain already owns the Kappahl, kay/day, Newbie and XLNT brands.            subscriptions via the Hack Your Closet service. Kappahl has to keep
                                                                            pace with new customer preferences while also making clothes
  “We’ll continue to grow, and we perceive major potential in reinforcing   accessible to more people and extending the life of each garment.
the brands held by the Group. They’re all at different stages of
development, and they’ll eventually be meeting their respective
customers also outside Kappahl as well, with their own channels, in the
same way that Newbie does today.”

                                                                                                                      CEO Elisabeth Peregi
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