 M&S' new chief executive Marc Bolland will join the company amid a challenging environment when he starts on Tuesday. As the Financial Times noted, Bolland will be expected to revive the conglomerate's lagging clothing business, which is under siege
from younger and more fashion forward high street rivals.
While the most recent news indicate that clothing sales have gone up in addition to being featured in the fashion glossies, M&S still faces the challenge of attracting a younger, more fashionable shopper, without alienating its more traditional customers.
 “Womenswear is the whole fulcrum of the business. It is what drives the footfall,” says one experienced analyst. To bolster sales, M&S has introduced a number of sub-brands, such as the casual range Indigo; Portfolio for the older woman; and Blue Harbour in menswear.
Mr Bolland will have to determine whether retaining these house brands is the right way to appeal to customers. His task could be made more difficult by the fact that he has no clothing experience, but his marketing flair could breathe life into M&S’s image.
M&S has embarked on ambitious plans to overhaul its supply chain and information technology systems, which will cost £1bn over the next eight to nine years.
At the same time, M&S is poised to reveal the results of the triennial valuation of its pension fund, with analysts forecasting that the deficit will rise from £704m three years ago to more than £1bn, prompting concerns that Mr Bolland may have to resort to a rights issue. His task is made all the more tricky by Sir Stuart, who has dominated the business for the past six years, remaining as executive chairman until July 31 and non-executive chairman until March.
Image: M&S Twiggy shopper
Source: FT
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