Marks and Spencer 2008 Annual Report Download - page 18

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At home with Plan A
Sleep easy on our new bedding that combines
both organic and Fairtrade cotton.
We’re the only major retailer to ensure every
light fitting we sell will accommodate energy-
saving light bulbs.
Branching out… we offset CO2emissions
from our deliveries by planting 10,000 trees
every year.
16 MARKS AND SPENCER GROUP PLC
Home
We achieved growth in every area of home
– our best performing business unit. In
the face of growing pricing pressures, we
continued to raise our quality standards,
whilst significantly widening choice and
lowering prices.
Sales for the year were up by 7.9%.
In addition, in August 2007, we launched
our first standalone home store in Lisburn,
Northern Ireland, which performed ahead
of expectations. We’ll be opening two more
in 2008/09.
Down with prices,
up with quality
We’ve successfully met the challenge of
price deflation, maintaining our home prices
at 12% below the high street average. Far
from compromising on quality, we regularly
upgrade our core ranges without increasing
our prices. For example, in 2007/08 we
upgraded our ‘good’ 100% cotton non-iron
range in bedding, to 100% Supima cotton
non-iron (our mid-priced sheet), while
keeping the price the same.
At the upper end of the price spectrum,
we have grown our Autograph branded
homeware range, offering the very best of
M&S quality in everything from bedding and
bathrooms to furniture and home accessories.
Stretching the brand,
extending choice
During the year we successfully trialled
an extended range of electrical goods in
20 stores and online, selling market-leading
brands such as Sony and Apple. We’ll be
extending this range to 50 stores in 2008/09.
A range of white goods, including fridges,
cookers and washing machines, were
introduced in Lisburn and online in 2007/08
and we will continue to expand this offer to
new standalone home stores, as well as online.
Almost a quarter of M&S customers shop
from our home range, and we want to attract
more. To do this, we will continue to widen
choice within existing home areas, and move
into new categories such as gardening tools.
We will also be redeveloping our beauty
business, while continuing to grow our
online service (see page 26 for more details).
Jargon-busting
with M&S
Customers who don’t know a
megabyte from a megapixel
can relax; we’ve rewritten the
technology manufacturers’
instructions.
When technology
instructions start to get too
technical, we translate them
into everyday language, so
that they’re not only more
user-friendly, but help our
customers get the most
out of their product.