Customers are the heart of our business so it’s essential we understand what they want from M&S. Our Customer Insight Unit (CIU) makes sure we are listening to our customers, understanding what they think and how they behave.
Consumer Confidence Index
Through a combination of market data analysis, research and customer feedback, our CIU identifies emerging trends and how external factors are impacting consumer behaviour. This ensures our customers’ needs are always recognised in business decisions.
Clothing Market- Price remains one of the main drivers for purchases, resulting in the continued growth of the value market. However, after a year of economising consumers have moved beyond a wardrobe made up of cheaper staples and started to invest in quality versatile pieces, this trend is particularly strong among the over 45s.
- A greater appetite for investment pieces has translated into growth in the mid-priced clothing market and a strengthening position in premium clothing.
- Customers have sought easy, affordable ways to experiment with key trends, such as footwear and accessories.
- In 2008/09 the lingerie market suffered as women deemed luxurious underwear an unnecessary extravagance and stuck to basics, but this year women started to treat themselves again.
M&S Clothing response
Our ‘good’, ‘better’, ‘best’ pricing structure caters for ‘clever spending’, allowing consumers to trade up or down to suit their priorities. We’ve encouraged customers to trade up by, focusing on detailing and quality fabrics in brands such as Autograph, and have extended Portfolio across footwear and accessories so customers can update their wardrobe and experiment with new trends. You can view womenswear here.
food Market
- ver the year price inflation has worked its way out of the market to the point of deflation, with falling food prices masking the fact UK customers were buying more.
- Deals continued to be a key driver, with 30% of the market sold on promotion. However, copycat deals across the market meant consumers responded well where quality and innovation were the point of difference, as they looked for deals that offered something new and/or special.
- As confidence improved consumers started to trade up to an alternative supermarket or switched to better, premium ranges within their supermarket of choice.
- Consumers also began to treat themselves again, resulting in growth in confectionery and bakery markets. They also adopted a sense of nostalgia, creating a revival in retro products with a modern update.
In 2008/09 a demand for value saw many food retailers attempt to reposition themselves as low cost providers. However, we invested in margins to provide customers with better value, without compromising quality. This has served us well as customers began to trade up. Quality remains the point of difference between our ‘Dine In’, promotion and market imitations. To keep the promotion fresh we regularly include our newest products, mainly from our Cook! range. Click here to see our food section for more detail.
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