International expansion into Europe and Asia to reduce dependence on the UK is at the heart of Marks & Spencer’s growth plans, its director of international Jan Heere told MAPIC this morning.
Delivering the opening keynote, Heere said M&S was looking to grow revenues by £500m by 2013/14 and build on its 369 stores in 42 territories.
“We want to become a truly international multi-channel retailer,” he said. “It’s a difficult economic environment and we don’t want to be dependent on the UK economy. We want to be a major player in shopping centres and on high streets bringing our unique offer to international customers.”
Heere said M&S would look to avoid ‘flag planting’, adding: “We want to be important in the countries where we operate. We are looking at moving from an average of 1,000 square metres to 2,000 to 3,000 square metres. When we are meeting developers that is the range we are giving.”
The retailer will be focusing on Europe, the Middle East and Asia as it grows but would be willing to consider new territories elsewhere.
“Obviously today if you want to be international you have to be in China,” he said. “It’s a strong priority for us. We have five stores around Shanghai today and want to open five more in 2011/12.”
In India, where M&S operates within a joint venture and has been trading for over a decade, it is looking to open eight stores during 2011/12.
In France, a Champs-Elysees flagship store of 1,500 sq metres will open by Christmas showcasing ladies wear, lingerie and British products, marking a return to a market than M&S withdrew from a decade ago. “We are also working on four full-line Paris stores at the moment where we will offer the full range of our catalogue,” he said.
The stores are currently under negotiation but will be in central Paris. Ideally they would be between 2,000 and 3,000 sq metres and will include delis and bakeries.
“We want to be with the fashion and the shopping centres,” he said.
Despite acknowledging the challenges in Greece cause by the Eurozone crisis, Heere said: “We are obviously looking at new opportunities [elsewhere] in Western Europe as well.”
Russia is also among the company’s targets where it already has 20 franchised stores, though the US is not among its immediate targets: “Today, it would be a distraction,” said Heere.
Visit our MAPIC hub for all news, podcasts and videos on the conference
damian.wild@estatesgazette.com
