Retail Giant Considers Further Store Closures to Boost Online Sales

  • Marks and Spencer warns landlords it may close loss-making stores
  • Plans to reduce real estate and increase online sales proportion
  • Spokesperson confirms store closure plans remain unchanged
  • Targeting return to profitable growth with 85 full-line store closures and 25 Simply Food outlets
  • Announced closing of two distribution centers, putting 700 jobs at risk

Marks and Spencer (M&S) has reportedly warned landlords that it may close more loss-making stores, potentially exceeding the previously announced 110 closures. The warning came at a dinner hosted by M&S chairman Archie Norman and CEO Steve Rowe last month. The company aims to reduce its real estate and increase online clothing sales proportion to one-third. Despite confirming plans for 85 full-line store closures and 25 Simply Food outlets, a spokesperson stated that the retailer’s store closure plans remain unchanged. This move comes after announcing two distribution center closures in spring 2021, affecting around 700 jobs.

Factuality Level: 8
Factuality Justification: The article provides accurate information about Marks and Spencer’s plans for store closures and online sales increase, citing a reputable source (Sunday Times) and includes relevant details about the company’s current actions such as closing distribution centres. However, it does not mention any personal opinions or biases.
Noise Level: 4
Noise Justification: The article provides relevant information about Marks and Spencer’s potential store closures and its plans to increase online sales. However, it could benefit from more in-depth analysis of the long-term trends or consequences of these decisions on both M&S and the retail industry as a whole.
Financial Relevance: Yes
Financial Markets Impacted: Marks and Spencer’s stock price and retail sector
Financial Rating Justification: The article discusses Marks and Spencer’s plans to close more stores than previously announced, which could impact their financial performance and the retail sector as a whole.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk