There is absolutely no comparison to be made between German discounter products and Marks and Spencer, look at the additives added to Aldi products v Marks & Spencer-just have a look at what’s going into your body, additionally Aldi May promote ‘British’ however if you again look you will see ‘packed’ in Britain! Sourced in EU!!! The range in Aldi of meat, fish, Ready meals, cheeses, snacks, chocolates, luxury fruit and vegetables is a negligible size and isn’t even a quarter of M&S. Aldi long life ambient ranges I would agree are cheaper and better range than M&S but frankly Customers don’t go into M&S for baked beans!
It’s a broad brush report, geographic and demographics should also play a part in any decision making. What’s also driving retailers to close is rent, together with access and egress for cars. One thing is clear that many more Customers want to drive to locations where they can keep themselves safe, space is critical. Customers are shopping significantly less frequently yet spend per transaction is +30%.
The new standalone M&S sites they have been opening for the last few years that are close to urban with plenty of free car parking are working very well.
High street M&S close to transport links are also working still, the opposite of this where a store is in traditional high street with multi story fee car parks including mall locations I agree are dead or in ICU with little hope. M&S must deal with these sites faster and stop waiting for miracles.
M&S Clothing could be as low as 25% of total sales in stores, but digital clothing sales could be now 15% of total sales, so 2020 could be overall 9.3 b incl Ocado sales.
I still believe a larger scale knockout strategy on clothing is needed to bring in younger shoppers without alienating older Customers such as merging with Next, or boohoo etc
RE: All sector going well MKS going south16 Oct 2020 20:40
The U.S. is increasingly likely to get a vaccine authorized for emergency use before the end of the year, with Pfizer (PFE) and partner BioNTech (BNTX) ready to file by the third week of November.
Pfizer CEO Albert Bourla penned a letter addressing the American people Friday, explaining the vaccine trial process and why and how the company hopes to have initial data by the end of October— a timeline the company has maintained all along— but will wait until November to apply for emergency use.
RE: All sector going well MKS going south16 Oct 2020 20:30
I don’t have much of a stake here but happy to wait and see. £1.35 will do me!! Institutional shorts nearly gone and mid term results on their way. Really pleasing to see strategy showing on the shop floor! Good weekend all! Glorious
RE: All sector going well MKS going south16 Oct 2020 17:11
As most contributors have mentioned for several weeks now, the market is waiting for an update on trading and where the board is against its plan. Which the company is scheduled to deliver 4 Nov’20.
Additionally it’s been interesting this week seeing commercial properties changing hands with reasonable profits , some new and old M&S sites have changed hands and had some gains of up to +12% which looks like it’s following domestic property pricing.
Brexit negotiations continuing or not is a much larger question than covid, as 15-10 was Mr Johnson’s cut off. Where will he go? Mr Macron is not folding over fish because he’s on a tightrope politically himself.
Difficult situation made worse by the financial tightrope the chancellor is treading. If he increases the support he will need to increase borrowing and risk downgrades for UK plc. However you can’t put in restrictions without financial and simple support. The gov has to plough money into the economy thro at least 80% furlough, no choice.