MARKS’ MARCH ON CHINA: Marks and Spencer said Monday it has a “firm intent” to enter key cities such as Beijing and Guangzhou, China, over the next year.
The British retailer will continue to invest in its existing flagship store portfolio, with the modernization of its flagship store on West Nanjing Road in Shanghai during the autumn.
As it reshapes its portfolio in the region, the retailer also plans to close five smaller stores in the greater Shanghai region by August. It is also leveraging e-commerce to strengthen brand awareness and reach across the country.
Noting that the last quarter saw M&S sales on TMall.com increase by 200 percent year-on-year, the retailer has launched a new, dedicated children’s wear store on TMall.com and a new clothing store on another site, JD.com, in January.
For the long term M&S said it’s in the process of evaluating potential partners as first set out at its international investor seminar in April 2014.
“Last year, we reaffirmed our commitment to our greater Chinese business and set out clear strategic plans,” said Patrick Bousquet-Chavanne, Marks & Spencer’s executive director, marketing and international. “Today we can share more details of our continued investment across our priority markets of China, Hong Kong and Macau.”
The retailer also plans to invest in modernizing its stores in Hong Kong over the next year and expand its food store portfolio at travel and city locations in Hong Kong.
Over the past year, Marks & Spencer has opened three standalone food stores in Hong Kong, which have notched sales per square foot in line with its best performing food stores in the U.K., according to M&S.
In Macau, M&S plans to open a 10,800-square-foot store at The Venetian Mall in November.