After planning cautiously for 2009/10, online retailer Asos.com is even more positive for its prospects in the year ahead, especially internationally. For the 12 months ended 31st March, ASOS reported a revenue rise of 35 per cent to £223 million ($339 million); profit before tax was up by 44 per cent to £20.3 million ($30.8 million). During the year, UK sales grew 20 per cent to £160 million ($243 million), whilst international sales rocketed 95 per cent to £63 million ($95.8 million). Meanwhile, for the first nine weeks of the new fiscal year, sales have increased by 36 per cent in the UK and 118 per cent internationally. At 31st March, the international business accounted for 30 per cent of total retail sales.
ASOS says it is on track to achieve its aim of £1 billion in sales by 2016 from five main markets. In fact, says ASOS chief executive, the company sees “enormous potential in international markets and the US in particular”. Currently, its international hotspots are Australia, Denmark, France, Germany, Ireland, and the USA-and that’s with “little or no country-specific marketing or sales initiatives to date,” according to Robertson.
ASOS will launch its US website in September served by a local returns centre. Later in the year, it will unveil local-language sites for France and Germany. Initially, it will promote the sites using affiliate campaigns, paid search, PR, and database mining. In time, Robertson says, ASOS will turn to “more traditional forms of marketing” to further drive awareness and sales overseas.
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