Marks and Spencer 2009 Annual Report Download - page 40

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36 Marks and Spencer Group plc Annual report and financial statements 2009 Directors’ report
How are we driving our
M&S Direct business?
2
A year in review
M&S Direct is central to our commitment to
becoming a multi-channel retailer. It goes
beyond merely selling our products online;
encompassing our Home catalogue, flower
and wine delivery, Food to Order party
catering service and lunchtogo, which
delivers lunchtime platters. It facilitates a
dialogue with customers through initiatives
such as customer reviews and feedback,
and increasingly integrates our stores with
our website. For example customers can
now redeem gift cards online, or subscribe
to SMS alerts to find out about offers
and promotions.
Sales from our website were up 34%,
outpermorming the online market. Our online
clothing market share increased to 5.3% from
4.5% (Fashiontrak). The traffic to the site
grew by 36% over the year.
During this year we continued to extend
and innovate our online offer, launching
international delivery, a Wine Club, and 3,000
premium white goods. We’ve also focused
on providing an engaging shopping experience
through initiatives such as Your M&S TV,
hosting nine channels of interviews and
catwalk videos.
Ultimately M&S Direct will offer greater choice
and flexibility for customers, as we provide
the convenience to order online and collect
in-store and vice versa.
A multi-channel business
Last summer we launched our Food to Order
catering service, which enables customers
to make their food selection online and then
pick up in-store.
We will make even greater strides to
become more convenient for our customers
with the introduction of the next phase of this
service. An in-store collection service for
general merchandise will be trialled in 50 UK
stores in autumn 2009.
M&S Direct: It has been another successful year for M&S Direct.
Sales rose 19.0% to £324.4m and are on target for £500m by
the end of 2010/11. We launched a number of new initiatives
to improve the breadth and convenience of our online service.
We also experienced our single biggest ever online trading day
with the ‘One Day Christmas Spectacular’. All of which have
contributed to our growing share of the online market.
M&S Direct sales
£324.4m
+19.0%
Carl Leaver Director of M&S Direct,
International & Home
FOCUS: M&S DIRECT
HOME CATALOGUE
WEBSITE
FLOWER DELIVERIES
WINE CLUB
FOOD TO ORDER PARTY CATERING
LUNCH TO GO
BUSINESS SOLUTIONS
HAMPERS
125 YEARS OF VALUE
Left: Deal of the Day Our daily web offers –
Deal of the Day – has increased sales 100 fold
on some products, like our opening price point
womens’ mac for £29.50