Home / Knowledge / News / Retail / M&S online UK Clothing & Home revenue climbs 9.8%

M&S online UK Clothing & Home revenue climbs 9.8%

26
May '19
Pic: M&S
Pic: M&S
Addressing the basics of M&S website has helped to deliver the online UK Clothing & Home growth of 9.8 per cent in FY 2018-19, improving its online clothing market share by 0.3 percentage points. While in the e-market, revenue from Clothing was the highest. In Q3, there was strong seasonal demand, leading to double digit growth of Clothing & Home segment.

"Our range remained too wide in FY 2018-19 with the volume of options in our range splintering our buying scale and making our shops challenging to navigate. Our size ratios have been historically misaligned with the profile of the contemporary family age customer we aim to appeal to.  However, where we have made progress in pruning options and introducing slimmer fits and more mid sizes, the customer response has been very strong.  For instance, our new denim launch produced an initial 20 per cent sales uplift and our sales of £15 women’s jeggings were up 30 per cent over the campaign period," M&S said in its press release.

International revenue decreased by 13.4 per cent at constant currency driven by the closure of stores in loss making exit markets, and the sale of business in Hong Kong to a franchise partner in December 2017.  Excluding Hong Kong and exit markets, revenue grew by 1.1 per cent. 

The international business was already fully embarked on rationalisation and repositioning prior to the transformation programme and further good progress has been made. During the year, M&S implemented the ‘market right pricing’ programme across markets in Clothing & Home.  The programme’s cumulative performance since implementation has been encouraging with sales up 8 per cent and volumes up 20 per cent, following a net 10 per cent reduction in selling prices.  This performance is helping to build confidence with our partners to reinvest into the business.  In the year we opened 37 stores and modernised a further 56.

“We are deep into the first phase of our transformation programme and continue to make good progress restoring the basics and fixing many of the legacy issues we face.  As I have said, at this stage we are judging ourselves as much by the pace of change as by the trading outcomes and change will accelerate in the year ahead," Steve Rowe, Marks & Spencer CEO said.

In Clothing & Home, M&S expects net store closures to reduce sales by around 3 per cent. It anticipates gross margin to be between -25bps to +25bps, with further investment in trusted value. The UK operating costs is likely to decrease by up to 1 per cent, largely as a result of continued cost efficiencies, store closures and lower depreciation.

“Whilst there are green shoots, we have not been consistent in our delivery in a number of areas of the business. M&S is changing faster than at any time in my career - substantial changes across the business to our processes, ranges and operations and this has constrained this year’s performance, particularly in Clothing & Home. However, we remain on track with our transformation and are now well on the road to making M&S special again," concluded Rowe. (RR)

Fibre2Fashion News Desk – India


Must ReadView All

VITAS suggests ways to reduce Vietnam's fabric import rise

Textiles | On 18th Jun 2019

VITAS suggests ways to reduce Vietnam's fabric import rise

Quickly setting up industrial parks for textile and dyeing industry,...

Pic: University of Sheffield

Apparel/Garments | On 18th Jun 2019

RMG firms failing to deliver on living wage promise: study

Global garment companies are failing to meet living wage promises to...

Millennials will equal 40% of global luxury market by 2025

Fashion | On 18th Jun 2019

Millennials will equal 40% of global luxury market by 2025

Millennials will represent 40 per cent of the global personal luxury...

Interviews View All

Top executives, Textile industry

Top executives
Textile industry

GST has levelled the playing field to an extent

Top executives, Textile industry

Top executives
Textile industry

Customised t-shirts is not a fad

Top executives, Textile industry

Top executives
Textile industry

The budget will give major impetus to textile and apparel consumption

Abhishek Dhanuka,

Abhishek Dhanuka

Vyom International Pvt Ltd, established in 2002, is one of Surat's leading ...

Akshat Chaudhary,

Akshat Chaudhary

Aizome, Asia's first Fairtrade denim brand, is all set to launch next...

Puneet Jain & Yatin Jain,

Puneet Jain & Yatin Jain

Odhni is an indutva or ethnicwear brand started in 1999 by the Jain...

Matthew Kolmes, Supreme Corporation

Matthew Kolmes
Supreme Corporation

Supreme Corporation manufactures innovative specialty yarns and safety...

Ian Russell, Pireta

Ian Russell
Pireta

UK-based Pireta has developed a unique free-form process to add durable,...

Eric Scholler, Groz-Beckert

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Igor Chapurin, Chapurin

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Divvya and Nidhhi Gambhir, Walnut

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Silvia Venturini Fendi, Fendi s.r.l

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


June 2019

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search