By Bethany Wales
Once the darling of the British high street, Marks and Spencer has had a turbulent ten years.
Wracked by poor sales figures, rickety online infrastructure and a general identity crisis, the pandemic ushered in the retailer’s worst period in decades – although the foundations for this sudden downturn were laid long before Covid-19 launched its campaign of chaos.
In 2012, Next overtook M&S as the most valuable clothing retailer on the London Stock Exchange for the first time, and over the next 10 years web-savvy brands like Asos and John Lewis would continue to make life hard for the ailing British icon.
Issues ranged from merchandising problems to an ill-thought out decision not to offer grocery delivery.
And yet, despite watching its rivals fall – Debenhams, BHS, and House of Fraser to name but a few – Marks and Spencer managed to cling on, until finally, in 2022, things started looking up.
The company’s shares surged to the top of the FTSE 100 on Wednesday, May 22, after the company published a bumper set of results which far exceeded City predictions.
The share price, up by almost 80 per cent during the last year, rose by nearly eight per cent at one point, before giving back earlier gains.
This success was thanks in no small part to its ‘Reshape for Growth’ plan, which has seen the retailer spruce up its online shopping capabilities, partner with hip young brands, and redirect investment from struggling stores into those still turning a profit.
Food sales have also benefited, with M&S looking well placed to overtake its middle-class rival Waitrose in terms of market share, with its popular Dine In for £12 deal giving the business a welcome leg-up.
The company has also continued to extend its “Remarksable Value” range, launched in 2019, investing more than £100m in lowering prices as shoppers look to cut spending amid the cost of living crisis.
And while Marks and Spencer says financial performance of Ocado Retail remains disappointing, the “revenue improvement this year under the new management team has been marked”.
