M&S Hit by Website Move
Marks and Spencer has reported a huge decrease in online sales after a move to its new website platform.
Reportedly, sales were down 8.1% in the 13 weeks leading up to the 28th June. Like-for-like sales of non-food products, including clothing and homewares fell 1.5% in the quarter.
M&S chief executive Marc Bolland admitted the new site had an impact on sales. The move to a new website platform was intended to transform the 130 year old business, but has faced obstacles ever since its launch in February.
Mr Bolland said: "We have seen a continued improvement in clothing, although as anticipated the settling in of the new M&S.com site has had an impact on sales.
"We are pleased that the womenswear business was in growth, driven by full price sales, in line with our increased focus on margin.
"Our food business had another great quarter, continuing to outperform the market, through our focus on differentiation through quality and innovation."
Neil Saunders, managing director at retail analysts Conlumino said: "The latest update from Marks and Spencer tells an old tale: that the strategy on clothing will deliver results if only it is given more time.
"There may well be some merit in this story, but it is one that can only be spun for so long before it becomes incredulous."
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