ASOS is a UK-based independent online retailer of fashion and beauty products. The company offers more than 75,000 branded and private label products. Since it was established in 2000, ASOS has grown into a business with annual revenues in excess of £975.5m ($1,612.1m) and net income of over £36.9m ($61m). The company operates worldwide
Features and benefits
- Analyzes key strategies used by ASOS and how the company has established its position as a market leader in the online apparel retail industry
- Assesses opportunities for ASOS such as expansion in emerging markets and how this can help drive the company's revenues further
- Looks out how ASOS's interactive website entices consumers and has increased the company’s appeal to customers
- Analyzes threats facing the company such as increased dependency on the UK and Europe and the effects of heavy discounting on the company
- Assesses the risk to the company following the Departure of Nick Robertson.
According to MarketLine research, the UK apparel retail industry had total revenues of $63bn in 2014. The industry is competitive and ASOS has successfully held its position as a leader and built on a strong brand portfolio. The company has also introduced its own label brand, which has increased its consumer base.
ASOS has been proactive in its approach to increase growth and is focusing on geographical expansion. While the UK remains its key market, ASOS is expanding internationally to reach a larger consumer base. In FY2014 ASOS also launched a startup Chinese website and invested £8.6m ($14m) in its China operation during the year
ASOS still relies on Europe (particularly the UK). Many European countries are slowly recovering from the Eurozone crisis however, and ASOS has been forced to discount its products, adversely affecting the company's profits. Co-founder Nick Robertson announced he will step down as chief executive in 2015, a readjustment that may prove difficult.
Your key questions answered
- What key strategies are driving ASOS’s revenues?
- How have own label products contributed to ASOS’s success?
- What potential threats is ASOS facing?
- How can the company combat slow progress in China?
- What factors are fueling growth in the online apparel retail industry and how can ASOS enhance its position?
ASOS TRANSFORMATION INTO GLOBAL E-RETAIL GIANT
The rise of ASOS
Product diversification means that ASOS can cater for multiple consumer types
Own label clothing is key to ASOS's success
ASOS aims to emulate Primark's success
ASOS's interactive website entices consumers
UK RELIANCE, DISCOUNTING, INCREASED COMPETITION, AND CEO DEPARTURE POSE THREATS
ASOS still heavily relies on the UK to generate revenues
Departure of Nick Robertson may have troubling effects on ASOS
ASOS faces increased competition in the online retail space
ASOSâ€™s growth has come at the cost of profit
ASOS must overcome issues if it is to exploit growth opportunities
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