Asos and Boohoo are amongst the largest names in online fashion, and both outperformed competitors to achieve strong growth through an extremely tough period that was initially described as “a real existential crisis for the fashion industry”. 

Asos and Boohoo are amongst the largest names in online fashion, and both outperformed competitors to achieve strong growth through an extremely tough period that was initially described as “a real existential crisis for the fashion industry”. The latest Salesfire data indicates that fashion has remained the fastest growing category online – in revenue and order volume terms – over the last four months. With the significant and enduring shift of fashion to online channels now evident, we can expect both pureplays to benefit from this ongoing opportunity.

 

The dramatic change in trading conditions last year saw already unstable high-street brands toppling, including Arcadia Group which collapsed under the weight of its costly store estate and lack of innovation within its brands. Asos netted household names Topshop, Topman and Miss Selfridge – giving credence to its one-stop shop strategy and highlighting the value of extended choice within its ecosystem, particularly as Asos is “highly likely” to remain on the hunt for more brands.

 

Boohoo had already purchased Debenhams as part of plans to develop its own marketplace, but also as a move to gain access to higher-end brands and broaden the demographics of its customer base. Taking on the remaining Arcadia names – Dorothy Perkins, Wallis and Burton – inches it closer to its goal of “creating the UK’s largest marketplace across fashion, beauty, sport and homeware”, but it is yet to be seen if these now online-only brands can be returned to their former high-street glory.

 

Find the full article – with further data and insight from industry experts – here.

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