Q&A: Martin Jones, CEO, Marks & Spencer Reliance India

'Our rollout plans are ambitious'

Martin Jones, CEO, Marks & Spencer Reliance India, speaks to Sohini Sen on the company’s expansion plans, new product lines and the future of the industry

What is your brand positioning?
Our brand positioning is mid-market. We have the premiumness of the brand because of our name and what we do. But for the last couple of years, we have been sourcing a lot of products out of India and South Asia. This means selling prices would come down and increase retail within the market. This year we have sourced around 43 per cent from South Asia, and we hope to increase it to 70 per cent in the next few years. We have over 110 Marks & Spencer brands and within that we have our own sub brands - Blue Harbour, Indigo etc. We are a family oriented fashion brand. And we are making good progress.

 

Cotton prices have been rising and real estate prices have also gone up. How would you tackle this? Do you plan to pass on the cost burden to the consumers?
Real estate is always a concern. Maneesh Gaur has just joined us from Shoppers Stop to head our business development. We have got an ambitious rollout planned. We are taking every opening which we find attractive. In terms of cotton prices, rising prices is a concern not only in India but globally. As a result it will lead to an increase in selling prices - not just by Marks & Spencer, but across all companies.

Now that the sale season is coming to a close, what are you planning to drive the footfalls?
We launched our spring season on the 10th of last month. We got a new window campaign. We have launched a new campaign called ‘New season new style’ which has been covered on our website and on our windows. So in terms of numbers, people can see. Everything is pretty much brand new.

What are your expansion plans?
Our growth has exceeded our expectation. In the last year we have seen very good double digit growth. We are well ahead of the market average. We have 19 stores today and have very ambitious plans for expansion, and not just in the metros but also in tier II cities like Chandigarh etc. In the next two to four years we would not just be there in the metros but also in a lot of other cities.

As a global brand you entered India in 2001, and opened your own stores in 2003. Did you have to make any changes keeping in mind the Indian consumers?
Not in terms of style, but the main difference is resourcing. We have put pockets on the formal shirts, we have introduced new colours, reduced pack sizes - we sell socks for a pack of three abroad, but here you can buy just a single pair. We have tweaked the necklines in different markets where it works well. We have also changed the fabric keeping in mind the weather, especially the differences in South and North India. But it is fundamentally the same product.

How do you see the future of the industry?
We are very optimistic about India as a brand destination. Lots of developments are happening so there is a lot of potential, though not without its challenges. Real estate remains a big challenge. But for the next 10 years India would be the place to be.