Why invest in ASOS?
Our vision is to be the go-to destination for fashion-loving 20-somethings. Our customer base is more fashion engaged and spends more of their wallet on fashion than other segments. Capitalising on this and our strong order economics, we aim to deliver £7bn of sales in the medium term, with >4% EBIT margin and a long term EBIT margin ambition of >8%. We’ll deliver this by leveraging our platforms & capabilities, doubling down on our winning offer & localising our offer.
We are fashion creators, with c.40% of retail sales derived from our own brand sales. We have developed 17 brands that appeal to and meet the needs of the fashion loving 20-something and cater to all our customers’ styles and price points.
In addition to our own brands, we offer customers a curated edit of nearly 900 highly relevant partner brands. We have grown our Face + Body and Sportswear offerings, which are core strategic priorities for ASOS.
Our customer demographic spends more of their wallet on fashion than other segments.
Many consumers discover ASOS through our own brands, with 60% of new customers buying an own brand product. They subsequently add partner brands to their baskets, and shoppers who do this increase their average annual spend almost 4-fold. The next step is to sign up for Premier, spending 2.5x more and with 83% retention, followed by shopping Face + Body and other categories. For our most valuable customers, ASOS is the go-to fashion destination, and they return to ASOS at least once a fortnight to make a purchase.
Customers retained in each cohort spend more with us each year: the more they engage with our offer the more valuable they become.
Our warehouse network includes 4 fulfilment centres and 5 returns centres, and enables us provide next day delivery to the vast majority of our global customer base. Our 5 returns processing centres and have >200,000 click and collect and returns locations provide for a great delivery and returns experience.
Fashion with Integrity
Fashion with Integrity is vital to how we want to do business at ASOS. Launched in 2010, it drives us to be a company that cares for people, while working to reduce our impact on the planet.
In 2021, we set out four new goals to take forward our approach to 2030:
◼Be Net Zero. We’re on the path to Be Net Zero through decarbonisation targets aligned with the Paris Agreement and verified by the Science Based Targets initiative (SBTi).
◼Be More Circular. Through Be More Circular, we want to move away from a take-make-waste model and embrace innovations like circular design.
◼Be Transparent. Be Transparent is how we’re driving forward our work on human rights across our supply chain, with a focus on gender empowerment, freedom of association, and modern slavery. It builds on the full visibility we have of our manufacturing supply chain.
◼Be Diverse. Be Diverse means creating a stronger ASOS and a refreshed culture with diversity, equity and inclusion at its heart.
Fashion with Integrity will remain a key part of our DNA as we build ASOS’ future.