I was talking a couple of weeks ago with a guy who used to work in a very high powered 'crisis comms' team - think v high profile disgraced footballers and celebs, that kind of thing.
His view was that H&M's reputation has ultimately never recovered from the widespread perception that they deliberately made the Queen and Prince Philip's final years on earth unnecessarily painful with their various accusations and allegations, many of which turned out to either be spurious, or pretty thin gruel in terms of actual wrongs done and moral offence caused.
His thinking was that the audience segments most likely to engage with H&M's brand proposition are middle income aged 40+, an audience segment which in the US in particular skews small c social conservative especially when it comes to respect for elder family members. And who admired the Queen. So his view is that this is a huge blocker to them resuscitating their rep and moving forward, career-wise.
His view was that they should do a mea culpa type interview, admitting that they maybe handled some things wrong and generally striking a note of humility. I disagree with this as a strategy; I think it would have a lot of pitfalls and could backfire massively. I also don't think that's the only reason for their unpopularity: I think their air of general holier than thou hypocrisy and lack of meaningful content are actually the main problems.
But, he is more successful in the field than me and has bigger clients. So on that basis his opinion is worth more than mine. :-)
It certainly wouldn't be the first time that the US entertainment industry has underestimated the strength of traditionalist social & familial values in its core audiences (ask Budweiser).