Marks and Spencer has registered encouraging rise of 1.9% in its sales over first quarter of this year, despite decline of 4.2% in its home market.

Its sales promotion tactics of Dine In For £10, contributed to results that were beyond expectations and led to major boost in share prices.

Company’s gross sales in Britain were 0.3% less than last year, food sales witnessed marginal 0.4% increase but sales of general merchandise fell 1.2%. However, sales outside Britain registered impressive growth of 23%.

In November 2008, Marks and Spencer’s net profit was down by 43% to £223 million in the first half of the year. Decision to close down 27 stores as cost-cutting measure and to publish annual results on May 19, was announced in January.

Sir Stuart Rose, executive chairman of M&S, acknowledged that customers were feeling the pinch and M&S was trying its best to fulfil their expectations. He went on to add that company could not always succeed in this endeavour, but in last 6 months could improve substantially in fulfilling those expectations. He claimed that customers were responding positively as their traffic has started outperforming the market.

Sir Stuart stated that M&S has sharpened its prices and believes customers know it gives them quality.

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