M&S is evaluating a warehouse expansion in Northamptonshire to drive online growth.
- The retail giant seeks a 1 million sq ft facility to support its fashion and homeware sectors.
- Currently, 50% of these sales are targeted for online, though store sales dominate.
- Recent digital enhancements have improved user experience on M&S’s online platform.
- Supply chain optimisation, including automation and reduced centres, remains ongoing.
In a strategic move to boost its online presence, M&S is investigating a potential deal for a substantial warehouse situated in the Midlands. With its online fashion and homeware sectors witnessing significant growth, the retail giant is eyeing a 1 million square foot site in Northamptonshire, according to property insiders. Although no final decision has been made, M&S aims to accommodate the increasing demand for online sales through this expansion.
The retailer, which boasts about 9.4 million regular online customers, envisions that half of its fashion and homeware sales will soon be conducted online, despite the majority currently occurring in-store. Recent updates to the online shopping experience have been pivotal in this shift, bringing personalised homepages, improved browsing speeds, simplified navigation, and modern aesthetics to the platform.
In line with its push for online growth, M&S has reported cost-saving achievements by streamlining its supply chain. During a recent capital markets day, it was disclosed that the number of warehouses and distribution centres had been reduced from 16 in 2018 to 10 in 2023, culminating in £45 million in savings. This optimisation includes introducing increased automation at facilities such as its newly upgraded centre in Bradford.
A spokesperson for M&S conveyed to The Telegraph, “Modernising our supply chain is a key pillar of our strategy to reshape M&S for growth, so we always keep an eye on what’s in the market, but this is nothing more than that.” This statement reflects the company’s broader strategy to innovate and remain competitive in a fast-evolving retail landscape.
M&S’s exploration of a new Midlands warehouse underscores its commitment to enhancing online capabilities amidst a transforming retail environment.
