John Lewis attacks M&S in fashion battle as department store chain returns to profit

John Lewis is throwing down the fashion gauntlet in a fight to win shoppers from Marks & Spencer.

Department store owner Waitrose has had a tough few years but finally returned to profit in the spring.

Now, it is reviving its fashion ranges to woo middle England.

It is also pinning its hopes on services including clothing rentals and free personal styling to attract younger shoppers, and last month the 95-year-old society hired Rachel Morgans as fashion director.

His CV spans three decades at brands including fashion chains Asos, Topshop and department store Brown Thomas.

He has been tasked with boosting the brand credentials of John Lewis and its third-party ranges.

This comes after the group’s chair Dame Sharon White, 56, stepped down after five years in February.

She will be replaced by former Tesco managing director Jason Tarry, who is seen as a safe bet given his credentials at the helm of Britain’s biggest supermarket.

Morgans said: “Fashion at John Lewis is going from strength to strength. Across our own-label ranges we have created timeless, stylish and versatile pieces that will last for many seasons to come.

‘We are also proud to be known as the key launch partner for exciting and innovative brands and for autumn we are introducing 20 new womenswear brands including Kooples, Numph and London fashion label Ghospell.’

The retailer has been competing with rivals M&S and Next, which have increased the range of big brands available to shoppers.

Launching in September, John Lewis’ autumn and winter range will include Princess Beatrice’s favourite brand Kooples and Danish fashion label Numph.

Wizz Selvey, retail analyst and former buyer at Selfridges, said: “M&S and Next have taken market share from John Lewis as both have expanded the range of brands they stock.”

She added that the experiences of customers entering their local store will be at the heart of the radical change that will take place in fashion.

Selvey says the retailer’s reputation in this regard “has declined over the last ten years.”

But there are already signs of change under John Lewis fashion design director Queralt Ferrer, who was appointed two years ago.

Although John Lewis’ sales fell 4 per cent in 2023, fashion numbers rose, helping its department store reach a record 13.4 million customers.

This comes as Marks & Spencer’s clothing and home business has increased its lead over department store John Lewis.

M&S increased its share of this market to 3.7 per cent from 3.4 per cent in 2019 and just 2.6 per cent in 2020 during Covid lockdowns, according to analysis seen by The Mail this year.

John Lewis’ share, by contrast, has remained virtually unchanged over the past five years. It stood at 2.3% last year, having fallen from 2.4% in 2022.

And analytics firm Global Data predicts M&S will have 3.9 percent of the market by 2027, while John Lewis will still have 2.3 percent.

The change in financial fortunes is a boost for chairman Dame Sharon White, who had said John Lewis would not return to sustainable profits before the 2028 financial year.

Experts said the main reason behind a profit in 2023 was an aggressive £900m cost-cutting programme rather than a boost in sales at Waitrose or department stores.