Yahoo Finance The 14 Marks & Spencer stores that are set to close
Troubled retailer Marks & Spencer has announced plans to close up to 14 stores as it looks to get the ailing brand back on track.
The nationwide chain has revealed six stores are to close within a couple of months, while a further eight will enter a period of consultation.
Sacha Berendji, director of retail at Marks & Spencer said, “We’re committed to transforming M&S for our customers, colleagues and shareholders.
MORE: M&S blames weather as clothing sales fall over Christmas quarter
“Stores will always be an integral part of our customer experience, alongside M&S.com, but we have to ensure we have the right offer in the right locations.”
Which stores will close?
The six stores to close in April are in Birkenhead, Bournemouth, Durham, Fforestfach in Swansea, Putney and Redditch.
A further eight stores earmarked for closure are in: Andover, Basildon, Bridlington, Denton outlet store (Greater Manchester), Falmouth, Fareham, Keighley and Stockport.
Some 468 members of staff will be affected by the proposals.
Sacha Berendji said M&S would “endeavour” to offer alternative roles but that “in some cases we may have to consider redundancy”.
A consultation period is to be undertaken on the future of the eight stores.
M&S currently has 1,025 stores in Britain including 302 clothing, home and food, 684 food-only and 39 outlets.
MORE: Marks and Spencer ‘slaughtering sacred cows’ as it bids to turn round troubled brand
What’s the background?
Britain’s largest clothing retailer has been struggling to appeal to shoppers for years.
Analysts – and more importantly consumers – say the chain has been caught between trying to attract a younger audience to its clothing range while maintaining its appeal to more mature shoppers.
Christmas brought little cheer – clothing and homeware sales dropped by 2.8% in the 13 weeks to 30 December while food – usually the star performer for the company – slid by 0.4%.
New chief executive Steve Rowe arrived two years ago with a five-year turnaround plan and announced in November plans to accelerate the closure of underperforming stores and focus on its food business.
And, new chairman, retail troubleshooter Archie Norman, said the 133-year old M&S had been “drifting, unfulfilling its customer promise” for 15 years.
It appears that promise to accelerate the closure programme is being fulfilled.
MORE: Christmas shopping: who were the winners and losers?
What do the analysts say?
Martin Lane, managing editor of personal finance site money.co.uk, said many of the traditional big retail hitters were struggling against discount rivals and online sales.
“M&S’s signature luxury products are being undercut by bargain supermarkets at a fraction of the price,” he said.
“Shoppers expect quality and convenience for less than ever before, and M&S are struggling to compete.”
Retail analyst Steve Dresser tweeted: “It’s never nice for people to lose their jobs, but a shake up is sorely needed at M&S.”
Also Click/Collect – a real growth engine for many in GM/Clothing doesn’t happen at M&S. Age profile of customer for one, but two, you’re not going to drag your parcel around town to your car. You’ll visit an out of town store.
— Steve Dresser (@dresserman) January 31, 2018
He added that, in common with many other brands, M&S was also having to contend with higher business rates and higher staff costs.
And, Jonathan De Mello, head of retail consultancy at Harper Dennis Hobbs, warned this could be just the start of closure.
He said: “These are for the most part under-sized/poorly configured high street stores in small town centres. It is a necessary move for M&S, and more such closures need to happen for M&S to optimise its estate – and therefore profits.”
