M&S profit up but marketing spend down

Marks & Spencer has reported a “good year” with a 4.6% rise in profit to £632m for the year ending 3 April.

Marks and Spencer campaign
Marks and Spencer campaign

Like for like sales, which exclude new stores were up 0.9% last year.

Total food sales rose 1.8% while like for likes rose 0.3% – the retailer’s first positive like for like growth for two years.

M&S says it increased promotional activity throughout the year including extending its Dine In promotions to include everyday meal combinations and special occasion promotions.

However, despite an overhaul of marketing strategy in March and high profile advertising campaigns starring Dannii Minogue, M&S says marketing spend was 3.5% down on the previous year to £122.9m, due to a reduced number of external marketing campaigns.

General merchandise sales, which include clothing, rose 4% overall with like for likes up 1.6%.

Group sales grew 3.2% to £9.3bn during the year.

Sir Stuart Rose, M&S chairman, says: “Marks & Spencer has had a good year. We have improved performance in all core areas, demonstrating the resilience of the M&S brand.

He adds that the chain has had a “satisfactory” start to the year and believes the “worst effects of the recession” have passed.

“With strong foundations in place, and our core values intact, I am confident that M&S is well set for growth under Marc Bolland’s direction.”

Marc Bolland joined M&S as chief executive on 1 May. Sir Stuart will become non-executive chairman on 31 July.

The retail chain’s latest advertising campaign stars England footballers Theo Walcott, Emile Heskey, Matthew Upson and Steven Gerrard as well as stars from England’s World Cup 1966 winning team.

Latest from Marketing Week


Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now


Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.


From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.


Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

If you are looking for our Jobs site, please click here