The 1st of April is traditionally the date of April Fool’s Day in many countries, when pranks and jokes are widespread. Many could have been forgiven for thinking Marks & Spencer’s (M&S) announcement of its return to France after a decade-long absence was in the spirit of the day. It quickly became apparent the news was no joke, but question marks remain over the venture’s long-term viability.
The retailer’s return to France will feature a combined ‘bricks and clicks’ strategy, comprising a French-language e-commerce website and a three-floor, 1,400m2 store located on Paris’ famous Champs-Elysées avenue. m&s is also in the advanced stages of talks with its UK franchise partner ssp about opening some M&S Simply Food stores in “strategic locations” in and around Paris. The business is also looking for locations from which to sell a larger clothing and food offer.
Gavin Rothwell, research manager at analyst IGD, thinks there is nostalgia for m&s in France, especially in Paris, and believes its return will be welcomed. “This move stands out for its co-ordinated approach across physical stores and online. And by focusing on food and womenswear, M&S is playing to its strengths.” Rothwell admits the group will face tough competition in France. Domestic grocer Auchan, for example, is currently trialling a convenience concept of its own.
He says M&S must seek to differentiate itself by focusing attention on its premium credentials.
David Gray of Planet Retail is more sceptical about the firm’s chances of success. “I don’t think it is a particularly good move because there is already established competition in the form of Galeries Lafayette, which is essentially the M&S of France,” he contends. While Gray praises the retailer’s decision to continue working with franchise partner SSP, he doubts whether a UK model can achieve success in France in the near future. “It’s a completely different market over there.'
No comments yet