For the second time in 10 years, an urbane, charming, multilingual Continental is taking the top job at Marks & Spencer.
The feeling of déjà vu at Marc Bolland's appointment as chief executive after just three years reviving Morrisons is inescapable. It was back in January 2000 when Luc Vandevelde became executive chairman in the immediate aftermath of the first Philip Green approach for what is still the nation's most famous retailer. Apart from the fact that Vandevelde is Belgian and Bolland is Dutch the similarities are striking. Both are good-looking charmers; both speak several languages; both enjoy London life and sophisticated holidays in Italy and France.
Like Vandevelde when he joined M&S from Carrefour, the French supermarket chain, the dashing Dutchman has zero knowledge of the clothing industry. But both men understand about brands and marketing. Both came immediately from food retailing backgrounds and Vandevelde can be credited with the creation of the now ubiquitous Simply Food outlets, although he did little for the clothing side. Bolland has transformed Morrisons' range and quality helping to treble pre-tax profits to an estimated £780m this year. After the acquisition of 38 Co-op stores last December, he announced his intention to concentrate growth on smaller shops.
Both men, too, can be just a little bit tricky with the press. At the Morrisons half-year results in mid-October, when asked if the rumours about him going for the M&S job were true, Bolland smiled and said; "I love Morrisons. I am very happy where I am." Maybe no one would have expected him to add that M&S had already approached him. Although he had enjoyed reinvigorating the Morrisons brand and taking it upmarket, he loathed living in Yorkshire, even if he made a home in ritzy Harrogate rather than near the headquarters in gloomy Bradford. According to insiders, the Aston Martin-driving Bolland spent as much time working from his Chelsea flat as possible. Vandevelde could also be a master of obfuscation on occasion.
There the similarities end. While Vandevelde shut down and sold off Marks & Spencer's overseas businesses, mainly in continental Europe, it will be Bolland's task to turn M&S into a global player. "He is not going there because of money," says one source close to Bolland. "It is because Stuart has persuaded him that he has the opportunity to make Marks & Spencer an international brand."
He knows about repositioning. At Morrisons, Bolland has talked frequently of taking a regional company nationwide, softening the image of the stores and becoming a passionate foodie to make the product range as acceptable in the more cosmopolitan south as it was in its home county, Yorkshire. Interviews portray him as pacing round stores in his immaculate suits enthusing about pies, freshly made pizzas or the popularity of the hot chickens. Even last week, Bolland was singing Morrisons' praises, insisting he would remain committed to the company until he joins M&S next February. "Morrisons has an unrivalled fresh food offer at unbeatable value," he said.
Yet he is leaving. "Heading Morrisons gave him a taste for heading a listed retailer," says one analyst. "And the challenge of heading the most famous one of all was irresistible."
In his three years, he has wowed the City, as the 5 per cent rise in M&S's share price and the 4 per cent drop in Morrisons on the announcement on Wednesday showed. Morrisons' non-executive directors had tried to tie him down with financial inducements but whether or not M&S has gone one better, fellow directors believe it is the prospect of living in London and the opportunity of transforming what has always been a quintessentially British brand into a global player that were the deciding factors.
At 50 and still single, Bolland is perhaps uniquely qualified to dig M&S out of its current hole where there is little real growth to be had from the existing business. He may have no experience selling bras and knickers, let alone the "edgy" fashion M&S is now beginning to stock in the city centre shops, but then he had no experience of selling fruit and veg, fresh meat or fish straight from the North Sea when he joined Morrisons.
His two chief assets are his acknowledged marketing and brand management expertise and his international vision – both of which were largely gained at Heineken, which sells its beer in 170 countries.
Bolland was born in Apeldoorn, a small town 60km from Amsterdam, in 1959. His father ran his own business making car parts. At Groningen University he earned a master's degree in business studies and joined Heineken as one of only four graduate trainees taken on each year. As export director, he set up offices across the globe in places as diverse as Dubai, Mongolia, China and Taiwan, building up a network of contacts with distributors and local authorities. Once promoted to the Heineken main board was responsible at various times for North and South America, Europe and the Middle East and even Japan. "He has a really deep understanding of how international brands are built," says one former colleague. He also claims a strong management philosophy. "There are three elements of management," he told one reporter. "It's about the belly, the heart and the head. They should be in balance."
He has form when it comes to getting on with autocratic bosses such as Freddie Heineken and Sir Ken Morrison. After a few weeks at Morrisons he was famously eating fish and chips in the Morrisons canteen with his forthright chairman. There were rows, but somehow they would be resolved. "After managing Ken I reckon he could work with Genghis Khan," says one executive, only half jokingly.
So having Sir Stuart Rose as part-time chairman for less than 18 months might just be manageable even though Sir Stuart has had more governance disputes and leaked boardroom rows in his time than is wise.
But one senses Sir Stuart is already moving away to celebrity status – he is the guest on this morning's Desert Island Discs – and the temperaments of both men are decidedly different. "Marc is quite a serious individual. He would prefer to be at Davos rather than Annabel's," says the same executive.
Just as important as his relations with Sir Stuart will be how he smooths the ruffled feathers of the top team at M&S. Only a few weeks ago, the internal contestants for what is now his job were trotted out to investors. Kate Bostock, the head of clothing, is highly talented but her lack of experience with the City ruled her out. Ian Dyson, the articulate finance director, did not have the necessary retail flair. If Bolland is as good with people as he is cracked up to be, he will find a way to motivate them anew.
His prospective shelf life looks good. Marks & Spencer needs a leader who is not only strong, but who will stick around longer than the three years Bolland stayed at Morrisons. One thing he will find hard, though, is the intensity of the spotlight that will now fall upon him. If Morrisons' directors choose to keep him in place it could be an uncomfortable Christmas. M&S food and Morrisons do not compete head to head but there is clearly some conflict of interest – they both sell fresh turkeys. It might be better all round if he takes a spot of gardening leave.
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