STORY: Marks & Spencer is revamping its supply chain from "factory to floor".
The aim is to double annual online sales for fashion, home and beauty to nearly $4 billion.
That's according to its new department boss John Lyttle who spoke to Reuters.
"Online sales clearly is a key part of our growth in the coming years. And again, from a customer point of view, you know how people want to shop that convenience, particularly click and collect. You know, two thirds of our customers actually click and collect and store, over 80% of our customers bring the return back to the store. So that seamless journey, that omnichannel journey, is critical in our future."
He said the 141-year old retailer has regained its footing after a cyberattack in April.
It paralyzed online clothing orders for seven weeks and cost around $393 million in lost profit.
However, he said, the retailer's done a good job of reestablishing its credentials - with non-food sales up over 9% in three years.
But now it needs to focus on overhauling the supply chain.
And M&S is planning to spend $157 million three-year investment in automation to do so.
"I think what customers will see in terms of benefits will be number one availability. So in terms of finding my style or finding my size more easily then in terms of next day delivery. So whether that's click and collect in terms of to my local store or whether that's a direct to home delivery in terms of to your home there. So again, that next day being easier."
Currently cut off time for next-day deliveries is 7pm - but Lyttle said new innovation could allow them to push the number of hours further.
He added that M&S is aiming to increase online's share of total fashion, home and beauty sales from about 34% to 50%.
Simplifying and cutting supply chain costs has been a priority for many companies for a number of reasons...
COVID-19, the war in Ukraine, Red Sea shipping disruption and broader global trade upheavals, most recently due to U.S. tariffs.
