Annual report and financial statements 2008
M&S Direct
A new website and an extended range of products are just two of the reasons behind M&S Direct’s strong growth.
M&S Direct is an important part of our commitment to becoming a multi-channel retailer. In addition to providing our e-commerce website, it also includes our home catalogue, flower and wine delivery, Christmas hamper delivery, in-store food ordering service and Lunch to Go, which delivers lunchtime platters.
Sales were up £60m in 2007/08 to £220m, with M&S Direct growing faster than the market, and putting us on course to achieve our target of £500m in sales through M&S Direct by the end of 2010/11.
Visits to the website were also up by nearly 60%.
The Autograph brand is about effortless style and luxury and the new range of Autograph Flowers reflects this perfectly, either as a gift, or as an amazing centrepiece in the home. ![]()
Claire Broomhead
M&S Flowers Specialist
A new site, a new experience
Relaunched at the end of March 2007, our website was designed and developed in partnership with world leaders in e-commerce, Amazon. Our customers tell us they find the new site much easier to use; a fact reflected in an independent online shopper survey by Forsee ranking the ‘Top 30’ UK online retailers. We came sixth overall and were the best performing high street retailer, ahead of competitors like John Lewis, Tesco and Next.
But there’s still plenty of room for improvement. In particular, we want to make the site more interactive. We’ve already added features such as a behind-the-scenes video interview with Lily Cole (the face of Limited Collection). Additionally, we publish beauty tips and lingerie advice from the Your M&S magazine editor Sarah Gowland. In 2008/09, we’re planning to add even more of these features, including areas for customers to post reviews and ratings of M&S products.
Spoilt for choice
Each year we move closer towards becoming a true multi-channel retailer, by offering our customers more ways to shop. For instance, a customer might see a sofa they like in our home catalogue, and decide to try it out in-store. They then have the choice of visiting our website, where they can see every sofa, in every fabric, size or colour combination – as many as 10,000 variations.
More reasons to visit
Our website offers a number of exclusive products, including a wider choice of electricals than in-store, an increased selection in clothing ranges such as per una, and our exclusive online range of affordable and contemporary furniture called Furniture to Go.
Our new ‘Made to Measure’ shirts service, which launched in November 2007, allows customers to design a tailor-made shirt from just £30 for delivery within 21 days. Customers simply choose their fabric, collar, cuffs, pocket, fit and monogramming, and type in their height, collar size and weight, and we’ll tailor-make a shirt specifically for them.
A number of other popular features on our website include our Greener Living shop, improved wine cellar and Big and Tall range.
Blooming good idea
We continue to extend not just the breadth, but the quality of our online offer. For instance, we’re now bringing the luxurious quality and style of the Autograph brand to a bouquet, with the launch of Autograph Flowers in-store and online. Just like our Autograph fashion and home collections, this exclusive range of flowers will change seasonally, offering extra-long stems (60-80cm) and larger blooms in striking arrangements – from £35 for a dozen and £45 for two dozen.
Each flower is individually selected by M&S Flowers Specialist Claire Broomhead, so they are as competitive as those you’d buy in a florist.
63%
Sales increase
Greener living: now easier online
In 2007/08 we introduced a Greener Living section to our website so that we could make it easier for our customers to find products that will help them to do their bit for the planet. From compost bins and Hippo Water Savers to recycled fleeces and Fairtrade t-shirts, a more eco-friendly lifestyle is just a couple of clicks away.
Extending our online cellar
From around just 30 lines last year, the range of wines available on our website has increased to around 550. Fifty of these are exclusive to the web and can’t be found instore. We sell over 20 varieties of champagne with prices from approximately £100 to £240 per case. Customer response to our improved online offering has been so positive that we’re planning to launch a wine club in 2008/09.
Big and Tall
It would be hard to find space in our stores for our exclusive Big and Tall offer, but it’s a perfect fit online. As the name suggests, Big and Tall offers clothes to fit ‘big fellas’, like England Rugby Team Manager Martin Johnson who is the face of the brand. Only available online, the collection includes more than 450 items ranging from tailoring to knitwear to casual shirts and trousers.
I usually have to look for specialists that
cater for big fellas, and then end up choosing
from a small range and paying a lot more.
When M&S approached me I was amazed
at the offer available, with excellent quality at
the same price as standard sized clothes.![]()
Martin Johnson, England Rugby Team Manager
© 2008 Marks and Spencer plc



