Marketing Management: Analysis of Marks & Spencer's Clothing Portfolio in UK Retail Market

This paper analyses the clothing portfolio of Marks & Spencer in the UK retail market. It critically discusses the strengths of the organization and the impact of the strategies that the organization is using in conducting their business in an efficient manner. The paper provides a significant discussion on the UK retail industry with a precise focus on the selected portfolio. The dynamics and modern trends of the UK retail market are also considered. The document type is an essay and the type of assignment is a marketing analysis.

Running head: MARKETING MANAGEMENT
Marketing Management
Name of the Student
Name of the University
Author Note

1MARKETING MANAGEMENT
Table of Contents
Introduction:...............................................................................................................................2
Organizational Overview:..........................................................................................................3
Strengths of the Strategy:...........................................................................................................4
Dynamics and the modern Trends of the UK retail market considering the selected portfolio:7
Recommendation:....................................................................................................................10
Conclusion:..............................................................................................................................13
References:...............................................................................................................................15

2MARKETING MANAGEMENT
Introduction:
The modern business world is observed to be significantly competitive. The intense
competition of the market is seen to be a major concern for many of the existing
organizations. One of the prime reason responsible for the significant increment in the
intensity of the competition is seen to be the entry of considerable number of new
organizations. In addition to this, the increment in the number of organizations entering the
business market is seen to be significant in reducing the monopoly of the market and that is
notably helpful for the customers in achieving a variety of organizations for purchasing in
accordance to their requirements (Yu, Ramanathan and Nath 2014). With reference to the
impact of globalisation, it is pretty evident that the organizations across the world is entering
new markets which not only increases the competition but also enables the customers to
exchange their view and beliefs with the people of other nations (Gunn 2017). However, the
increasing rate of the new entries into the modern business market is considered to be one of
the prime threat for the existing business organizations in terms of managing their survival
and their growth (Gunn 2017). Under such situations, many of the business organizations are
observed to opt for the different strategies for the effective management of the impact of the
competition.
The application of the strategies such as the competitive pricing policy or the
improvement of the quality of the services of the employees, from the part of the business
organizations are considered to be significant for many of the business organizations of the
modern business world in the efficient management of the competition of the industry
(Kumar and Kim 2014). Apart from this, the option of business expansions is considered to
be notably viable for many of the business organizations as it provides them the opportunity
to use their resources in new markets and gain the much desired profit (Kumar and Kim

3MARKETING MANAGEMENT
2014). The paper is focused in the elaboration of one such company that is facing significant
amount of issues in the effective management of the effect of the intense market competition.
The chosen company for the paper is Marks & Spencer. The organization has
considerable numbers products to offer to the customers. The paper analyses the clothing
portfolio of the chosen organization. The paper critically discusses the strengths of the
mentioned organization and the impact of the strategies that the mentioned organization is
using in conducting their business in an efficient manner. In addition to this, the paper
provides a significant discussion on the UK retail industry with a precise focus on the
selected portfolio. Apart from this, the paper identifies the challenges and the opportunities
that the chosen company is subjected to. With a precise focus on the identified challenges and
the strengths of the organization, the paper frames some of the important recommendations
for the improvement of the chosen organization’s business operations.
Organizational Overview:
The mentioned organization operates in the British retail industry. The organization
was established in the year 1884 in Leeds of United Kingdom (Marksandspencer.com. 2019).
The mentioned organization was established by Thomas Spencer and Michael Marks and is
currently headquartered in Westminster of London (Marksandspencer.com. 2019). The
mentioned organization serves the customers across the globe with variety of products of
three different portfolios which are clothing, foods and homeware. The excellent leadership
of the chairman of the organization, Archie Norman and the chief executive, Steve Rowe is
seen to be significant in the generation of 10698 million pounds as revenue in the year 2018
(Marksandspencer.com. 2019). Apart from this, the evidence of the operational brilliance of
80787 number of employees is significantly visible with the generation of 670 million pound
in the form of operating income in the year 2018 (Marksandspencer.com. 2019). The

4MARKETING MANAGEMENT
mentioned organization is seen to be listed in the London Stock Exchange and is observed to
be an integral part of the FTSE 100 Index (Londonstockexchange.com. 2019).
However, the mentioned organization is seen to face considerable number of issues in
the British retail market. The retail market of United Kingdom is seen to change in a
significant manner over the years. The ever-changing dynamics of the mentioned market is
observed to be one of the prime concern for the higher authority of the company. Under this
sort of situation, the mentioned organization is seen to experience a notable decline in the
sales of the clothing and homeware products. The sales of the mentioned company were seen
to go down during the month of March, 2018 when it faced a decrement in the sales of 0.6%
(Marksandspencer.com. 2019). The organization was observed to face the impact of the
Brexit and adding to that, the significant competition in the online business conduction was
one of the main reasons that influenced the decision of the mentioned organization of closing
down 17 branches in the United Kingdom (Marksandspencer.com. 2019). With a precise
focus on the selected portfolio and the ever changing retail industry of United Kingdom, the
mentioned organization was in significant need to concentrate on meeting the varying
preferences and requirements of the customers of the mentioned industry.
Strengths of the Strategy:
On of the main strengths of the mentioned company’s strategy is the strong brand
image of the organization. The company was seen to concentrate on producing high end
value product. This was significant from the part of the mentioned organization in making
sure that they be able to target the premium customer segment. On top of this, the company
was able to ensure that the products or the services that they offer to the customers are stylish,
sophisticated and innovative (Morgan 2015). This was crucial from the part of the mentioned
organization in making sure that the company be able to clearly position its brand image in

5MARKETING MANAGEMENT
the modern business world so that the customers are well aware of the level of expectation
that they should have with the products of Mark and Spencer.
Apart from this, the company was able to establish a strong brand with the private
labelling policy. The company was seen to utilise their own labels for each of their product
categories similar to what premium brands like Vero Moda and Versace or Louis Vuitton do
with their products and the services (Miquel-Romero, Caplliure-Giner and Adame-Sánchez
2014). Adding to this, the company was able to include some of the popular private label
brands North Coast, Autograph, Classic Collection, Per Una and Indigo Collection
(Marksandspencer.com. 2019). This was a significant strategy from the part of the mentioned
organization in terms of reaching to the customers as the labelling of the products or the
services of the mentioned organization ensured that the customers of the organization be
familiar with the products and the services of the organization (Calvo Porral and Lang 2015).
This has the potential to improve the brand image of the organization as well.
The spirit of innovation is a major point that enables the mentioned organization to
gain a competitive edge over the market competitors. It is pretty evident that the company is
able to survive for more than 150 years in an intensely competitive market owing to their
spirit of innovation and the urge in introducing the presence of modern technology and the
innovative solutions to the products or the services of the organization (Lea-Greenwood
2013). Adding to this, the incorporation of the technology and the innovative ideas in the
processing of the products enabled the mentioned organization to have a significant edge in
the market competition where the customers are seen to be influenced to expect out of the
box products from the mentioned organization. The creativity in the communication in both
internal and external context and in the process of manufacturing played a crucial role in
making sure that the company be able to identify the varying requirements of the customers
and at the same time, meet them with the innovative products (Lea-Greenwood 2013). The

6MARKETING MANAGEMENT
spirit of innovation of the mentioned organizations and the various stakeholders of the
organization was crucial in improving the quality of the products which for majority of the
customers of the organization was a key influential factor in preferring the mentioned
organization for their purchases.
The mentioned organization was able to employ more than 80000 number of
employees of different values, societal beliefs and the ethnicities. The entire workforce was
divided in their showroom and the offices (Marksandspencer.com. 2019). This was possible
only because of the significant encouragement from the part of the senior level management
of the organization towards the diversification of the employees of the organization. The
higher level management of the company had strong emphasis in making sure that they be
able to provide equal opportunity to the employees of different genders, race or ethnicities
(Karin Andreassi et al. 2014). This was a major step from the part of the organization in
making sure that the company be able to create a quality environment for the employees of
the organization. This helped the organization in achieving the customers that are culturally
sensitive which was a major advantage for the mentioned organization in terms of
understanding the customer requirements in a better manner. This was an important strategy
taken from the part of the senior level management of the organization in improving the
quality of the behaviour of the employees during the customer dealings (Ferraro and Briody
2013).
In Addition to the above mentioned points, the significant representation of the
company in various locations across the globe in the form of brick and mortar, online stores
along with the franchisee options was a crucial reason in the success of the organization. The
company is currently operating 330 full line stores along with 910 stores in United Kingdom
region and that is of great significance for the mentioned organization in making sure that
they are able to reach out to their customers with the products and the services of them and

7MARKETING MANAGEMENT
along with that, they be able to provide the required market limelight to their products
(Marksandspencer.com. 2019). Apart from the brick and mortar store concept, the mentioned
organization is able to strengthen their online business operations which is significant for the
organization in making sure that they be able to reach out a larger number of customers at a
time and this also helps the chosen organization in selling their products in the regions where
they do not have a brick and mortar store (Zhou and Kravets 2015). Hence the multichannel
presence of the mentioned organization enables the company to increase the sales of their
products and gain a competitive advantage over the market competitors in terms of reaching
to the customers of the organization.
Dynamics and the modern Trends of the UK retail market considering the
selected portfolio:
The fashion retail industry in UK is seen to change in a significant manner. The
current trends in the mentioned industry is seen to be urge amongst the organizations in
achieving the varying requirements r demands of the customers. As the organizations is
facing a significantly competitive environment in the UK fashion retail industry, majority of
the organizations are trying to achieve the preferences of the customers. One of the most
important tactics of achieving the preferences of the customers for the organizations is
identified in the form discount policy (Rhodes and Brien 2014). However, the application of
the discount policy has the potential to affect the generation of the profit for those
organizations operating in the UK fashion retail industry which forces the organizations
towards another important strategy for achieving the preferences of the customers which is
meeting the requirements of the customers through the design of the products or the services
that they are offering to their customers (Rhodes and Brien 2014). Hence the basis of the
increasing intention of the organization in meeting the demands of the customers is pretty
evident.

8MARKETING MANAGEMENT
One of the main change that the UK fashion retail industry is facing in a significant
manner is the reduction in lead times for the design of the products. Earlier, the organizations
were observed to consider one or two cycles of design. However, in the modern business
world, the requirements if he customers are seen to change in a significant manner which
many of the organizations are unable to meet with their lesser number of cycles of design
(Caro and Martínez-de-Albéniz 2015). This forced many of the organizations to lose
customers as they were unable to acknowledge the changes in the design or the changes in the
requirements of the customers with the desired level of urgency. Hence it was visible that an
increment in the cycles of the design was much needed for the organizations operating in the
mentioned industry as that will enable them to reduce the lead times. This is seen to be
significant for many of the organizations in placing them in a better position to identify each
small changes in the industry and in the requirements of the customers so that thy be able to
come up with attractive design which is capable of meeting the varying requirements of the
customers in an efficient manner.
In addition to the discussion of increasing cycles of design, the organizations
operating in the modern UK fashion retail industry is facing the need of introducing the
customized products. The people in the modern generation, are seen to be more inclined
towards the nose piercing, ear piercing or multiple tattoos and it is pretty evident that the
customers do prefer those products which will enable them to showcase their style statements
(Caro and Martínez-de-Albéniz 2015). As those nose piercing, ear piercing or the tattoos are
major part of their style statements, the requirements of the customers are seen to be
innovative as they want the design to provide the space for effective showcasing of those
aspects of their style statements. Hence the organizations operating in the mentioned industry
are facing the need to incorporating a precise and thoughtful approach for designing the
products in accordance to the requirements of the customers.

9MARKETING MANAGEMENT
One of the major changes in the UK fashion retail industry is the increment of the
social shopping. Earlier, many of the organizations operating in the mentioned business
industry were seen to avoid the application of the different marketing strategies as they
considered that to be a luxurious approach. However, in the modern business context, the
necessity of introducing the products to the customers or the probable customers is seen to be
significant as the people of the modern generation have lesser time to visit the brick and
mortar stores for the identification of the suitable designs for them. Adding to this, the
significant improvement of the technology and the increment in the usage of the social media
from the part of the people are seen to provide a significant solution to the organizations. The
organizations of the modern generation UK fashion retail industry is facing the need to
counter the significant usage of the social platforms by the people of the modern generation
for making sure that the customers of the organization are well aware of the products that the
organizations are offering with a precise focus on their prescribed requirements. This is
forcing many of the organizations to increase their activities in the social media platforms for
the effective interaction with the customers. The change in the approach of those
organizations is not only providing the space for the promotional or marketing activities to
the mentioned organizations, but also, is seen to be significant in the identification of the
customer requirements and in the collection of the views and opinions of the customers of the
organizations regarding the design and the quality of the products (Hyseni, Brown and
Gannon 2015).
Adding to this, the many of the organizations are also considering the option of
exhibition for sales which influences the customers to have a view of the products of the
organizations. This has significant potential for providing the much required space to the
organizations for the effective interaction with the customers so that they be able to evaluate
the appropriateness of their design for the customers and also enables the customers to

10MARKETING MANAGEMENT
purchase the products which aligns with their requirements (Caniato et al. 2014). Hence the
change is seen to be notably profitable for the business organizations operating in the UK
fashion retail industry.
However, the chosen organization is observed to have considerable amount of
positives and negatives for the effective management of the changes that are taking place
inside the industry. The negatives that draws the company back from the appropriate
management of the modern trends are observed to be the incapability of the companies to
successfully penetrate the foreign markets, the decreasing customer level of customer
satisfaction along with the prominent issues in the supply chain network of the mentioned
organization (Businessteacher.org.uk 2019). Adding to this, the intense competition in the
market with the companies like Gap, United Colors of Benetton, Tommy Hilfiger and Uniqlo
is seen to provide a notable concern for the senior level management of the mentioned
organization in introducing appropriate activities for the effective management of the modern
trends. On the other hand, the above mentioned strategic excellences such as strong brand
image, private labels, innovation, diversification along with the multichannel presence are
considered to have the potential to improve the operations of the organization
(Businessteacher.org.uk 2019).
Recommendation:
M&S has stores mainly in Europe, United Kingdom and the United States. However,
even with a presence in Asia and the Middle East, the brand has been unable to penetrate
successfully into other foreign markets (Toms and Zhang 2016). This is because the design of
the clothes being sold at M&S does not reciprocate with the traditional wear in other
countries, and hence the consumers do not opt for shopping at the store. This in turn results in
the customer satisfaction being very low for the brand as, in addition to the one mentioned

11MARKETING MANAGEMENT
above, there have been more issues relating to the return policies that the stores have in place
along with an overall dissatisfaction of the in-store experience. The consumers of M&S show
a very low brand loyalty, and feel very comfortable in choosing any other brand over this.
Though the brand has been trying to extend into foreign markets, they have not been able to
increase the scalability of their supply chain. M&S has been unable to deliver to all locations
globally and their inventory situations along with the unsold stock has to end up in the sales
section after every season, so they can get rid of the merchandise (Freear 2015). It is not just
the internal workings of the company that need to be enhanced in order to better the
company’s performance, but M&S needs to also be mindful of the increasing competition
from the rival clothing brands such as Uniqlo, Zara, United Colors of Benetton and Tommy
Hilfiger.
It will be important for the company to remember that fashion is an ever evolving
business sector and new segments are always on the rise in a regular basis. In Asia
specifically, there is a great demand for ethnic and traditional wear which the brand is
currently unable to find the opportunity in (Gray 2015). Falling sales, and the overall shift of
everyone towards online shopping has pushed M&S to make the executive decision of
closing almost 100 of their stores by the year 2022. It will need to evaluate what strategies to
implement to avoid further closures of stores in the future along with exciting customers to
come into the store.
One of the most jarring recommendations that is popularly expressed by many
consumers who are familiar with M&S is that the store needs to change its store layout, to
make it more inviting. Customer engagement has remained top of the priority list for many
retailers as this provides a new avenue for them to better engage with their customers
(Sullivan and Gouldson 2016). Various customers have noted that it is only sometimes that
they find an odd piece in the store that they like but usually most of the clothes are in some

12MARKETING MANAGEMENT
way, off-putting or there’s an odd detailing on which makes the consumers not end up buying
anything. Instead of having huge clothing floors in the stores, M&S can opt for more of a
discreet, full of character and rich in personality design of a store that would highlight its
independence and create a new avenue of perception of the store.
As the CEO of M&S had mentioned in this 5-point plan to revive the brand, he had
mentioned that the brand needs to focus on the long-term revival of the brand and its image,
and not focus so much on increasing short-term sales. The main priority needs to be on the
customers and how as a brand, M&S will be able to recover the dwindling appeal of the
clothes along with further growing and enhancing their food section (Morgan, Tallontire and
Foxon 2017). It will be important for the brand to get familiar with the recent fashion trends,
especially the rise in the appeal of street fashion. This is a great avenue for capitalising as
new technology in recent times is making it easy for anyone to photograph any item of their
clothing, tag the brand in their post and encourage other people to buy the same. For this
reason, it will be useful for the brand to look for some fashion bloggers so they can be work
as personal shoppers for the brand to increase its social appeal.
A recommendation for the brand would be to streamline their product range and really
listen to what their loyal customers have been saying for a very long time. What many
shoppers of M&S have been complaining about for a long time is the quality of the basic
clothing such as underwear, plain T-shirts and the suits need to be re-engineered (Jones,
Comfort and Hillier 2016). Even though the brand maintains a perception that it offers a
product range that is suitable for the large masses, but they urgently need to streamline their
range in order to get customers to rave about a few certain basic clothing items – for example,
black tights, men’s chino pants and a basic thermal collection. Many former employees and
shoppers of the brand suggest that M&S should specialise in offering their customers a
classic collection with only a handful of products that will be available at all times in the

13MARKETING MANAGEMENT
store, while also making sure that it is of reasonable quality so that the customers are not
complaining (Bocken 2017).
Some of the basic products in the classic collection would be the perfect blue and
black jeans, white formal shirts, plain t-shirts, the classic cashmere cardigan along with a
summer and winter trench coat within a limited range of popular colours. Along with the
basics, consumers are now also putting emphasis on mixing high and low fashion
components in their wardrobe collection. It is helpful to note that the big brands risk seeming
dated if their brand image lacks innovation and adherence to the present demands of the
fashion industry (Bhattacharya and Polman 2017). A recommendation for the brand would be
to choose one particular category of products and create a palace of coutour.
Lingerie is also a big forte of M&S as they offer a wide range of sizes and types
which has never been a source of complaint from the shoppers. However, the use of models
that only portray a skinny-high-fashion model body type to advertise the underwear has
proven to be off-putting to many shoppers. There are many designers and clothing brands that
continue to only design and make clothes specifically made for the slim-line version body
types. Paying attention to the reality of women who have different body sizes will give M&S
a significant edge as compared to the rest of the brands. A brand that has many loyal
customers in the age range of women in their 30s-50s, it will be these ladies that will most
appreciate the inclusion and feel closer to the brand – this will increase brand loyalty among
customers.
Since M&S is aiming to expand its market into foreign countries, it needs to ensure
that all the services that are being provided by the stores in some countries, is the same in
other countries as well. Many customers in the United States are not being able to enjoy the
elaborate food section that is provided in the UK stores (Gyteau, Otero and Kampouridis

14MARKETING MANAGEMENT
2015). Many retailers are not realising that effective brand communities is important for
building effective and strong relationships with the consumers to build long term brand
loyalty. Recognising their customers as the brand’s most important salespeople and brand
ambassadors will be highly beneficial for the brand.
Conclusion:
On a concluding note, it is pretty evident that the chosen organization has a
significantly efficient strategy which enabled it to survive for a period of more than 100
years. However, the organization will face some difficulties in the effective management of
the changes in the trends of the UK fashion retail industry with the existing strategies. The
above mentioned recommendations are significant fir the organization in managing the
challenges that they are expected to face with their existing strategies in the effective
management of the modern market trends. Hence it can be said, that the chosen organization
has the potential to overcome the market competition and will be able to improve the
dissatisfying condition of the sales.

15MARKETING MANAGEMENT
References:
Bhattacharya, C.B. and Polman, P., 2017. Sustainability lessons from the front lines. MIT
Sloan Management Review, 58(2), p.71.
Bocken, N., 2017. Business-led sustainable consumption initiatives: Impacts and lessons
learned. Journal of Management Development, 36(1), pp.81-96.
Businessteacher.org.uk2019. SWOT analysis of Marks and Spencers | Business Teacher.
[online] Businessteacher.org.uk. Available at: https://businessteacher.org.uk/swot/marks-and-
spencer.php
Calvo Porral, C. and Lang, M.F., 2015. Private labels: The role of manufacturer
identification, brand loyalty and image on purchase intention. British Food Journal, 117(2),
pp.506-522.
Caniato, F., Caridi, M., Moretto, A., Sianesi, A. and Spina, G., 2014. Integrating international
fashion retail into new product development. International Journal of Production
Economics, 147, pp.294-306.
Caro, F. and Martínez-de-Albéniz, V., 2015. Fast fashion: Business model overview and
research opportunities. In Retail supply chain management (pp. 237-264). Springer, Boston,
MA.
Ferraro, G.P. and Briody, E.K., 2013. The cultural dimension of global business. Upper
Saddle River: Pearson.
Freear, J., 2015. Marks and Spencer and the social history of food c. 1950-1980, with
particular reference to the relationship between consumer behaviour and retailing strategies
(Doctoral dissertation, University of Leeds).

16MARKETING MANAGEMENT
Gray, J.A., 2015. Business, the Environment and the Consumer 1968-1992: The Case of
Marks and Spencer (Doctoral dissertation, University of Leeds).
Gunn, S., 2017. Globalisation, education and culture shock. Taylor & Francis.
Gypteau, J., Otero, F.E. and Kampouridis, M., 2015, April. Generating directional change
based trading strategies with genetic programming. In European Conference on the
Applications of Evolutionary Computation (pp. 267-278). Springer, Cham.
Hyseni, H., Brown, C. and Gannon, M., 2015, July. Shopping and socialising: online journey
to product evaluation and purchase in fashion retail. In ECSM2015-Proceedings of the 2nd
European Conference on Social Media 2015: ECSM 2015, Academic Conferences (p. 207).
Jones, P., Comfort, D. and Hillier, D., 2016. Materiality in corporate sustainability reporting
within UK retailing. Journal of Public Affairs, 16(1), pp.81-90.
Karin Andreassi, J., Lawter, L., Brockerhoff, M. and J. Rutigliano, P., 2014. Cultural impact
of human resource practices on job satisfaction: A global study across 48 countries. Cross
cultural management, 21(1), pp.55-77.
Kumar, A. and Kim, Y.K., 2014. The store-as-a-brand strategy: The effect of store
environment on customer responses. Journal of Retailing and Consumer Services, 21(5),
pp.685-695.
Lea-Greenwood, G., 2013. Fashion marketing communications. John Wiley & Sons.
Londonstockexchange.com. 2019. Home - London Stock Exchange. [online] Available at:
https://www.londonstockexchange.com/home/homepage.htm
Marksandspencer.com. 2019. Welcome to Marks & Spencer. [online] Available at:
https://www.marksandspencer.com/

17MARKETING MANAGEMENT
Miquel-Romero, M.J., Caplliure-Giner, E.M. and Adame-Sánchez, C., 2014. Relationship
marketing management: Its importance in private label extension. Journal of Business
Research, 67(5), pp.667-672.
Morgan, E., 2015. ‘Plan A’: Analysing business model innovation for sustainable
consumption in mass-market clothes retailing. Journal of Corporate Citizenship, (57), pp.73-
98.
Morgan, E., Tallontire, A. and Foxon, T.J., 2017. Large UK retailers' initiatives to reduce
consumers' emissions: a systematic assessment. Journal of Cleaner Production, 140, pp.227-
238.
Rhodes, C. and Brien, P., 2014. The retail industry: statistics and policy. House of Commons
Library www. parliament. uk/briefing-papers/sn06186. pdf.
Sullivan, R. and Gouldson, A., 2016. Comparing the climate change actions, targets and
performance of UK and US retailers. Corporate Social Responsibility and Environmental
Management, 23(3), pp.129-139.
Toms, S. and Zhang, Q., 2016. Marks & Spencer and the decline of the British textile
industry, 1950–2000. Business history review, 90(1), pp.3-30.
Yu, W., Ramanathan, R. and Nath, P., 2014. The impacts of marketing and operations
capabilities on financial performance in the UK retail sector: A resource-based
perspective. Industrial Marketing Management, 43(1), pp.25-31.
Zhou, Z. and Kravets, T., 2015. The Role of Consumers’ Values, Behaviour and Consumer
Innovativeness in Online Fashion Consumption.