M&S overhaul to take on fast fashion rivals

Marks & spencer is revamping i ts computer systems in its latest move to battle f aster- moving online rivals.

The IT overhaul would make the retailer more able to deal with changes in tastes and trends and save £30m a year by 2022.

However, the changes would cost it £25m initially.

M&s has been battered by changes in shopping habits, with the business losing customers to bricks-and-mortar rivals such as Zara and Primark as well as fast-fashion websites asos and Boohoo.

These upstarts have thrived using so-called ‘agile’ tactics, allowing them to quickly replenish stocks to reflect the latest trends.

In a symbolic moment, asos overtook M&s in market value in November for the first time.

But M&s boss steve rowe and chairman archie Norman have vowed to make the busi- ness fit for the digital age. Changes announced yesterday will see M&s transfer 250 inhouse staff to Tata Consultancy services, which is leading its technology overhaul.

rowe said: ‘We are committed to transforming M&s for our colleagues, customers and shareholders.

‘Technology plays a huge role in this transformation – and having the right partners and model will enable us to be more agile, flexible and respon- sive.’ Its announcement came ahead of an update tomorrow on the store’s crucial Christmas trading period.

so far the holidays have proven a mixed bag for rivals, with Next, Poundland, John Lewis and Jigsaw defying gloomy predictions but Debenhams suffering a sales slump.

The technology changes are part of efforts to make the company’s back-office systems leaner and more streamlined, a spokesman said.