Swot Analysis Of Asos

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‘’ASOS is a global online fashion and beauty retailer and offers over 50,000 branded and own label product lines across womenswear, menswear, footwear, accessories, jewellery and beauty with approximately 1,500 new product lines being introduced each week.’’ (ASOSPLC.com) ASOS is faced with external macro environmental factors which affect both their ability to differentiate themselves from their competitors and affects their overall success. ASOS states they’re ‘’creating a unique multi-channel shopping experience where twenty-something fashion lovers can network, share ideas, create their own style and of course, shop.’’ (ASOSPLC.com)

Bearing this target audience in mind ‘’about 74% of the population aged 16 to 24 are employed.’’ (Walker, …show more content…

‘’Boohoo has been trailing selling its branded products to a number of UK and overseas retailers and is planning to use wholesale to broaden its customer reach’’ (Mintel, 2015). ASOS has already begun selling Boohoo’s products on their website; currently displaying 410 items for sale. Boohoo have ‘’increased revenues to £90.8m” in the last six months (Mintel, 2015) causing them to drive ‘’35% growth in revenues’’ (Mintel, 2015) However ‘’Boohoo has been impacted by a growing focus on discounting and promotions [which] have led to a fall in gross margins’’ (Mintel, 2015) this suggests this is a weakness of the …show more content…

The government’s budget for 2016 includes other cutbacks such as cuts in housing benefits for those under 25 (Grice, 2015). These cut backs will directly affect under 25’s and students, which is ASOS’ target audience. Furthermore ASOS is linked with UNIDAYS who offer promotions to students. ASOS in previous years have used this to their advantage offering discounts of over 20% at the times where students get their loans and maintenance grants; whereas the usual discount is only 10% encouraging them to purchase more. The cuts will affect ASOS’ marketing strategies, as students will have less disposable income to spend on fashion items, as with an increased loan and no grants; students will be more cautious when their loans

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