Primark has quashed reports it is launching a transactional website. We examine the pros and cons of making such as move

Why are we talking about it now?

Excitement grew last week following reports that Primark was going to launch a transactional website and had put out a tender for a digital agency to build it. However, Primark quickly quashed those claims.

Is Primark alone in not selling online?

Yes, according to online consultancy eCommera chief executive Michael Ross. Fashion giants Zara, H&M and Gap launched online year leaving Primark as the only major player not to sell online.

Why hasn’t it followed suit?

A spokesman for the retailer says launching online would be a “distraction” as it is focused on store expansion across the UK and Europe. Given its low prices it might be hard to make the order fulfilment costs stack up.

Ross adds the move could be risky for Primark, which will be playing catch up with other multichannel retailers that have had longer to perfect their operation. However, Martin Newman, chief executive of ecommerce consultant Practicology, says when it does launch it could leapfrog its competitors as it will benefit from tried-and-tested technology and systems.

What specific challenges does Primark face?

Fast fashion online can be complex to get right. The retailer’s store model is based on constantly replenishing stock and moving this online may put extra pressure on Primark’s supply chain. “The challenge is where the retailer will pick, pack and dispatch from. It’s a complicated business,” says Ross.

Can these issues be overcome?

“Absolutely,” says Ross, who points out that rival fast fashion players such as H&M, New Look and Zara have successfully moved online.

Does not having a site leave Primark in a risky position?

Possibly, according to Ross, who says that in the medium term the retailer could lose market share. He says the retailer has a set of consumers who want to buy online, and if they can’t do so with Primark they may turn to its competitors. Newman agrees. He says: “It’s the consumer who decides their channel of engagement.”

But Ross points out the retailer still has “plenty to go for” without moving online.

Will the retailer make the move? 

Yes, according to both consultants, who agree that Primark will eventually have to adapt to the changing consumer. Newman says he would be very surprised if the retailer did not launch in the next 18 months.

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