ASOS is investing in global expansion. A logical decision, seen the increasing share international retiling is taking up in the fashion pure player’s results.
“The scale of this investment is huge,” Nick Robertson, chief executive of Asos said on Wednesday according to the Financial Times. “We do believe the potential is stronger than ever on the global stage.” He added: “The strategy as far as we’re concerned is still very much intact.”
For the past half year, ASOS recently reported £20.1mn in the six months to the end of February, down 22 percent compared to the same period last year. Revenues increased 34 percent to £482mn.
Strategic investments to tackle global expansion include new sizes for US and Chinese consumers, and handling the increased number of returns in markets such as Germany, where over 50 percent of orders are returned.
Nevertheless, the US, France and Germany are ASOS’most promising growth markets. Asos’s retail sales in the EU rose 65 percent in the past six month.
Future investments are planned for this year in increasing efficiency at its main warehouse in Barnsley, expand its facility in Ohio in the US, build a new “Eurohub” in Berlin and a warehouse in Shanghai.