Value: The Marks’ Penny Bazaar was so popular because Michael offered high quality items for a penny. A single price meant that customers knew exactly what everything cost, and there was no need for lengthy and embarrassing haggling. Michael knew his customer base from his time as a pedlar, so was able to source and provide the items that they needed and wanted.
Quality: Michael “…learned from his customers that quality and value for money were paramount selling points. While many of his rivals in the market would buy the cheapest goods possible, however shoddy or inferior the merchandise, Marks knew that over the long term this would prove a ruinous policy. He also realised that even if he had been able to speak English, he could not have competed with the promotional banter of neighbouring stallholders. He knew that his goods had to, as it were, speak for him. He therefore had to win the trust of his clientele by selling items that represented value for money. In practical terms this meant buying merchandise from his wholesaler, Isaac Dewhirst, that was of a higher quality - and therefore greater cost price - than the cheapest available. He would build his profits, he hoped, by increased turnover. By 1888, the year of Simon’s birth, this policy was paying off. The crowds around Marks’s stall demonstrated his popularity and other market traders were vying to position their stalls close to his, hoping to benefit from the increased customer flow.”
Paul Bookbinder, M&S management roles & Company Archivist 1953 – 1992
Customer experience: "At the first shop on Cheetham Hill Road in Manchester, the words ‘Admission Free’ were painted in gold above the entrance. Michael believed that ‘The more they can see, the more they will buy’. This contrasted with other shops, where customers came in to buy specific items. For instance, if gloves were required then a selection of gloves would be produced by the sales assistant from under the counter and individually presented to the customer. Browsing was rarely encouraged".
(Paul Bookbinder, M&S management roles & Company Archivist 1953 – 1992)
Employee welfare: From the early days of the business, Michael took steps to make sure that his employees were treated well. After the death of a sales assistant due to pneumonia (from standing outside in very cold weather for long periods of time), Michael moved all his outdoor market stalls to indoor locations. He had boards installed for the sales staff to stand on to keep them a little warmer behind the counters. As the Penny Bazaars became high street shops, Michael had gas rings installed so that employees could heat food and make tea. This ethos of care developed into a formal employee welfare programme under Simon Marks in the 1930s and continues today.
You can download a transcript of a letter written in 1975 by Mrs Davies whose sister worked for Marks and Spencer in 1900 and who remembers once meeting Michael Marks (see Documents in Resources section.)
Glossary
- Haggling - to argue about the price of something, usually in a market.
- Clientele - customers.
- Pneumonia – an infection in the lungs.