M&S Annual report and financial statements 2012
●Marks and Spencers 2% increase in group revenues was driven by strong performances in the Food and International areas of the business in the year to 31 March 2012. ●The company, however, recorded a 16% drop in pre-tax profit as sales of womenswear underperformed. Overall, the clothing and home departments recorded a 0.9% decline in sales, while menswear, lingerie and kids performed better. ●In the year, the groups market share remained steady with 11.7% value and 12.4% volume in the clothing and footwear markets.
Advertising and promotion
●In 2011, M&S used older model Twiggy as the face of its womenswear clothing range, with adverts including the model dressed in cashmere jumpers. ●To expand its multichannel operations, M&S launched a branded-content app on Samsung Smart TV in February 2012. Targeting at-home shoppers, the app featured advice, trends, how-to tools and buying guides, which were delivered through branded video content. ●In April 2012, M&S launched a fashion campaign in partnership with Oxfam to encourage customers to recycle their unwanted clothing items. Backed by brand ambassador Joanna Lumley, Shwopping asked customers to bring unwanted items of clothing to M&S when buying new garments rather than throwing them away and ultimately sending them to landfill sites. ●The campaign was promoted by TV advertising and a Facebook app, which was designed and launched to make the shwopping process more social. This was in addition to PR activity, which included a stunt in August 2012 to celebrate the success of Team GB at the London 2012 Olympics. For this M&S unveiled the worlds largest union jack flag, made from 2,100 items of unwanted clothing items. ●In September 2012, the retailer launched its new autumn/winter advertising campaign as part of its Every Woman You Are campaign. For this, M&S chose to use models rather than celebrities for the first time since 2005. It featured models ranging in age from 20-57 and in size from 8-16 showing how each look will work on women of all ages, sizes and heights. ●To further engage customers with the campaign, augmented reality was featured through the launch of an app. This provided access to video content from adverts and M&S magazine to convey how its fashion ranges look when they are worn.
House of Fraser
●Acquired by the Highland consortium in 2006, House of Fraser is a premium department store that retails clothing, beauty products and household appliances. ●As of 28 January 2012, House of Fraser operated 61 stores in the UK and Ireland, in addition to two houseoffraser.com concept stores in Aberdeen and Liverpool, which offer a concierge shopping service to customers buying online but preferring to collect in-store.
●House of Frasers main target audience is consumers aged 20-64. ●With its status as a premium department store, the company tends to attract a more upmarket customer base.
●In October 2011, House of Fraser introduced a number of new house brands. This included Mary by Mary Portas, which targets female over-40s with a range of dresses, skirts, trousers, suits and tailoring, playsuits and jumpsuits, tops, knitwear, coats and jackets, jeans and swimwear in sizes 8-20. ●Marys range also features accessories, including belts, scarves and jewellery, in addition to bags and luggage.
26: Key financials for Highland Group Holdings, 2011 and 2012
Year ended |29-Jan-11 |28-Jan-12 |% change2011-12 |
|m |m ||
Operating profit before exceptional items|30.4|19.6|-35.5|
Profit/loss before tax|19.9|-18.3|-192.0|
Source: Highland Group Holdings Limited annual report and consolidated financial statements
●Turnover in the groups financial year to 28 January 2012 increased by 3%. ●This was boosted...