Competition for Marks and Spencer

M&S is a prime retailer in the UK and is exposed to shortcomings concerned with the economic atmosphere. Raw material pricing and labor costs can damage the retailer’s profitability. M&S competes with strong brands such as Next, Tesco, and John Lewis. This is why M&S needs to consider the retail industry customer base well along with its range of products.

Time to ponder over certain variables of the company through M&S SWOT analysis.

Marks and Spencer Strengths

The following are the strengths of Marks and Spencer Group.

Strong Value and Brand Awareness: M&S enjoys its brand value well as it is ranked 77th on the global stage. The wide range of products it offers earns it a fair market share. The company’s long heritage and history, along with other external factors, make it a well-known name in the UK market as well as internationally.

Versatile Product Range: The versatile product range has helped the group gain more customer loyalty. Consumer spending on multiple products shows commitment to sustainability in the M&S collection and how well it moves forward in the right direction.

Weighty Online Presence: A clever move to pursue global presence is through online pursuits. M&S’s online shopping establishment is as valuable as its physical stores. The analysis of M&S shows us how well it is doing with the help of its online store.

Loyal Client Base: M&S enjoys a loyal client base built over time. There is a reason why the strong brand reputation has earned the group a significant international presence among the competitors of Marks and Spencer.

Flexible Formats: The most vital aspect of M&S is that it offers flexible formats to meet the needs of its clients. The company has small stores, large stores, and a strong online presence to live up to everyone’s needs and demands.

Marks and Spencer Weaknesses

The weaknesses of Marks and Spencer are the following.

Strong Reliance on the UK Market: A strong presence in the UK market is fine. That said, relying too much on a singular market can fire back. The UK market made up 62% of the revenue in FY2017/18.

Slow Response to Customer Trends: M&S has been known as an entity which does not incorporate trends well. Their slow adaptive process can set them apart from the rest of the market. 

High Costs: The most common complaint is the high cost of home products. Then, there are issues of material and labor costs. All of these combined can affect the company’s performance.

Strong Competition: M&S has strong competition with its products and services. While it offers a wide range of services and products, the sales of Marks and Spencer Group plc can fall back because of other strong offline and online retailers.

Marks and Spencer Opportunities

The opportunities of Marks and Spencer are the following.

Expansion of International Presence: As the company was founded in 1884 by Michael Marks in partnership with Thomas Spencer, it has expanded its networks across many parts of the world. There are always more regions to invest in to maintain a reputation for quality work.

Developing Product Lines: Many M&S stores across the world are now given new products such as activewear and yoga clothes. This is one of the finest business strategies.

Investment in Technology: M&S offers a better experience as it improves its online presence and observes changes in consumer preference. The stores in the UK and outside must consider new practical tech for the company.

New Stores: New branches in comparison to main competitors show a strong commitment to sustainability. A brand has a strong worth on the number of stores it has including physical stores and online presence.