ASOS is a British retail cosmetics and fast-fashion e-commerce platform and company. Deborah Thorpe, Quentin Griffiths, Andrew Regan, and Nick Robertson founded the retail online store and e-commerce platform in 2000. Today, we’ll discuss the SWOT analysis of ASOS; it outlines strengths and weaknesses; opportunities and threats that the company has to face; as a business strategy analysis example company.
The products and services portfolio of ASOS
- Beauty products
- Fashion accessories
- Shoes and footwear
- Clothing and apparel
Subsidiaries of ASOS
- Miss Selfridge
- Topman
- Topshop
- ASOS.com
Statistical facts and figures of ASOS
- Annual revenue: 3538 million British Pounds (2023)
- Employees: 3352
- Net income: 223.1million British Pounds (2023)
- Delivery service: 195 countries
Competitors of ASOS
- Farfetch
- Topshop
- Zara
- Missguided
- Pretty Little Things
- AllSaints
- New Look
- BooHoo
The SWOT analysis of ASOS would analyze the internal strengths and weaknesses of the company; and external opportunities and threats that the brand has to face. Here’s ASOS SWOT analysis as business strategy analysis Example Company as follows;
Strengths of ASOS
Some of the main internal strengths in the ASOS SWOT analysis example company as business strategy analysis are as follows;
Large Network
ASOS has established a very large business market network. The retail fashion brand is an e-commerce platform and it provides online shopping and delivery service in roundabout 195 countries across the world. The global market network amplifies the customer market reach, influence, and market share of the sportswear brand.
Diversified Portfolio
ASOS has a very large and diversified product portfolio. According to an estimate, the retail chain fashion brand offers the fashion and beauty products of approximately 850 brands. The diversified brand product portfolio helps the company to target various segments of the customer market.
Marketing
ASOS is highly proactive in running various types of marketing and advertisement campaigns on social and digital media platforms like Facebook, X, Instagram, YouTube, and others. The e-commerce platform also collaborates with various fashion influencers and makeup artists, it gives significant brand exposure and approaches new customers.
Recognized Brand
ASOS is a large retail fashion brand in the UK and the company has been operating its business in the beauty e-commerce market for the past 24 years. These factors improve the brand influence of the sportswear brand and help the company earn the trust and confidence of the customer market.
Strong Finances
ASOS has a strong financial position comprising of having an annual revenue of 3.5 billion British pounds in 2023. Solid financial backing helps the company to handle any form of market disruption and economic downturn.
Weaknesses of ASOS
Some of the main internal weaknesses in the ASOS SWOT analysis example company as business strategy analysis are as follows;
High Reliance on Few Markets
There is no doubt that ASOS is operating its online fashion business worldwide. However, the retail fashion brand is heavily relying on the UK and a few other markets as its main sources of revenue and profitability. However, high reliance on a few markets is not a good business and marketing strategy.
No Brick-and-Mortar Stores
ASOS has no brick-and-mortar store and the retail fashion brand is heavily relying on the e-commerce platform and the online for the sale of its products. Any type of tech glitch and schedule maintenance would jeopardize the entire fashion operations of the company.
Opportunities for ASOS
Some of the main available opportunities in the ASOS SWOT analysis example company as business strategy analysis are as follows;
Market Expansion
ASOS should expand its retail fashion business into new markets, countries, and regions across the world. The company should expand its business into small markets and non-growing areas; it would help the company to increase revenue, sales, network, and profitability.
Portfolio Expansion
Along with market expansion, ASOS should also expand its brand product portfolio by including new brands in its platforms. It allows the company to increase the brand variety on its platforms and target new segments of customers with diverse needs and requirements.
Physical Stores
ASOS should consider launching brick-and-mortar stores along with a solid online presence. It allows the company to directly connect with the end-consumers. They have the opportunity to physically visit and check out the fashion products before buying them.
Strategic Alliance
ASOS should develop strategic alliances and partnerships with other retail fashion brands. The joint venture and sharing of resources would help the company to develop something new for the customers.
Threats to ASOS
Some of the main potential threats in the ASOS SWOT analysis example company as business strategy analysis are as follows;
Tough Competition
ASOS is facing tough competition from competitive brands like Zara, Pretty Little Things, Farfetch, and others. These all fashion brands have established a strong market share and a loyal database of customers. Their market presence is negatively impacting the company’s market share, revenue, and profitability.
Economic Recession
Luxury fashion products and accessories aren’t the necessary products and goods; human beings could survive without them. The global market is going through the recession phase due to international political conflicts and crises; they have increased the unemployment and inflation rate. When people have limited resources, they won’t spend it on luxury items.
Conclusion: ASOS SWOT Analysis Example Company |SWOT Analysis of ASOS |Business Strategy Analysis
After an in-depth study of the swot analysis of ASOS; we have realized that ASOS is the world’s leading British e-commerce fashion retail brand. If you are learning about the ASOS SWOT analysis example company; then you should keep in mind the abovementioned internal strengths and weaknesses; external opportunities and threats as brand strategy analysis.
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Ahsan Ali Shaw is an accomplished Business Writer, Analyst, and Public Speaker. Other than that, he’s a fun loving person.
