M&S strikes Australia deal with David Jones

M&S may still be impacted by the spring cyberattack that dented its seemingly unstoppable recovery drive, but its ambitions are undimmed and that includes international growth. Now the company is launching its first non-UK fashion deal in a tie-up with Australia’s David Jones.

Its deal with the upmarket department stores chain is part of its overall plan to grow sales outside of its core UK market.

David Jones said online: “Introducing M&S – exclusive to David Jones. A UK favourite, now for the first time in Australia. Known for its quality, comfort and trusted fit, M&S has arrived with a curated collection of lingerie and sleepwear — including the coveted Rosie by M&S, designed by Rosie Huntington-Whiteley. From everyday essentials to elegant lace and silk pieces, experience why this beloved British brand is a go-to for women across the UK. Available online and in selected stores.”

Reports said that as well as the lingerie, it will sell women’s and menswear in 24 David Jones department stores and online. The chain has 40 stores in total across Australia and New Zealand.

“This is a market which has always shared longstanding and strong links with the UK and where brand recognition is high,” M&S MD of international, Mark Lemming, told The Times. “With a shared set of values surrounding quality, innovation and trust, David Jones is the perfect partner as we take our first venture into a partnership in fashion.”

As he said, it’s a first for M&S as its fashion division hasn’t previously entered such a wholesale partnership with another retailer. But it underlines how well respected the company’s fashion is, no longer seen as ‘just’ an own-brand, it also has a life beyond the confines of M&S’s stores and webstore.

As Lemming’s comments show, Australia is seen as a natural market for the brand to try out the idea and awareness of the label exceeds 50% among Australians, it said. That also suggests that a successful initial period could see the deal getting bigger.

M&S has had a checkered history with its international ops, opening and then exiting Canada as well as Western Europe, as well as making ultimately unsuccessful acquisitions abroad such as Brooks Brothers. 

Its more recent moves have proved more successful but were still loss-making in its latest financial year. Yet CEO Stuart Machin has called out non-UK ops as a major “growth opportunity”. It has a major deal with Reliance Retail in India and it has a longstanding franchise deal with Al-Futtaim across the Middle East. It has also been re-entering European markets.