Publications
Publications
- March 2016 (Revised May 2018)
- HBS Case Collection
ASOS PLC
By: John R. Wells and Gabriel Ellsworth
Abstract
Launched in 2000, ASOS was one of the world’s largest online fashion specialists in 2018. Focusing on young consumers aged 16–25 years, the company offered over 85,000 items on its websites, many times more than the largest fashion stores, and added several thousand new lines every week. Based in the United Kingdom, ASOS shipped products to 230 countries and territories, and international sales represented more than 62% of total revenues. When new CEO Nick Beighton took over from founder Nick Robertson in September 2015, he faced some significant challenges. While ASOS was large by online standards, traditional fashion retailers were building their own online sales capabilities, and Amazon was expanding its apparel offering. Meanwhile, new online competitors were emerging at a rapid rate. After ASOS issued several profit warnings in 2014, its growth had slowed to 18% in 2015. Beighton was convinced that ASOS’s strategy was right and that the company needed to improve its execution to recapture its historical success. In 2018, the company’s performance under Beighton seemed to indicate that he was right, and the stock price was at record highs. However, the threat of Amazon remained.
Keywords
ASOS; AsSeenOnScreen; Online Fashion; Online Apparel; Nick Beighton; Nick Robertson; E-commerce; E-Commerce Strategy; Online Retail; Multichannel Retailing; Omnichannel; Social Media; Marketplaces; Shipping; Advertising; Digital Marketing; Business Growth and Maturation; Business Model; Business Startups; For-Profit Firms; Customer Focus and Relationships; Age; Gender; Currency Exchange Rate; Profit; Revenue; Geography; Geographic Scope; Global Range; Global Strategy; Globalized Firms and Management; Globalized Markets and Industries; Business History; Selection and Staffing; Journals and Magazines; Human Capital; Business or Company Management; Crisis Management; Goals and Objectives; Growth and Development; Growth and Development Strategy; Growth Management; Management Succession; Brands and Branding; Marketing Channels; Marketing Communications; Marketing Strategy; Product Positioning; Social Marketing; Media; Distribution; Distribution Channels; Order Taking and Fulfillment; Infrastructure; Logistics; Public Ownership; Problems and Challenges; Strategy; Adaptation; Business Strategy; Competition; Competitive Strategy; Corporate Strategy; Expansion; Vertical Integration; Segmentation; Internet and the Web; Mobile and Wireless Technology; Apparel and Accessories Industry; Fashion Industry; Retail Industry; United Kingdom; England; London
Citation
Wells, John R., and Gabriel Ellsworth. "ASOS PLC." Harvard Business School Case 716-449, March 2016. (Revised May 2018.)