Steve Hawkes
Attend a special evening hosted by Mike Atherton
ASOS, the online clothing retailer, today reported sales growth of 95 per cent for the past three months in the clearest sign yet that shoppers are deserting the high street for the internet.
Nick Robertson, ASOS chief executive, said the group - originally named As Seen on Screen - had been immune to the consumer slowdown buffeting clothing chains across the retail sector.
Pre-tax profits in the year to March 31 more than doubled to £7.3 million on sales of £81 million, up 90 per cent.
Sales since the beginning of April are up 95 per cent on the same period a year ago.
The figures are bolstered by the huge growth in the number of product lines sold by the business, from just over 4,000 in May 2007 to nearly 11,000 different lines.
However on average customers are spending £53 each time they buy on ASOS, against £43 a year ago.
Mr Robertson said the group was now far more than a business that sampled celebrity fashion, such as clothing worn by the likes of Kate Moss and Sienna Miller, to draw in customers.
He added that ASOS would be stepping up its expansion later this year through the launch of ASOS Red, a branded clearance sector for end of season stock. It will also offer same day delivery within the M25 region from October.
“Whilst the macro economic conditions appear to be deteriorating, I believe we have, and will continue to benefit from the significant migration to online shopping, especially amongst our core customer base,” he said.
The figures follow a series of disappointing trading updates across the high street as established chains such as Marks & Spencer and Next battle both the consumer downturn and changeable weather.
The internet is expected to account for up to 15 per cent or £45 billion of retail sales by 2012. The amount spent with internet retailers rose 35 per cent to £14.7 billion in 2007, ten times the growth rate across the retail market as a whole.
David Jeary, analyst at Investec, said: “ASOS has delivered a hat-trick of good news, stronger than expected pre-tax profits, an acceleration in current sales growth for the first quarter, and confirmation of the launch of ASOS red.
“We would expect upgrades to current year consensus of £12 million.”
Industry sectors news at a glance. Interactive heatmap, video and podcast
Everything the Business Traveller needs to know to make a better trip
Get ready for the winter sports season, with our resort guides and snow reports
We are backing British business, what is the confidence of the nation and what businesses are succeeding?
Growing demand for energy, oil that is harder to reach and the rise of carbon dioxide emissions. We examine the energy challenge
With rail travel in Europe on the rise, we review the benefits of travelling by train
In this special section we explore new food trends to help improve your dinner party and impress guests
Enjoy further reading from Travel to Fashion, Business to Sport, discover more
1998
£47,955
12 months for the price of 11 and a 5% discount.
Offer ends 31/11/09
Check your free Experian credit report before applying
Car Insurance
£353 per day
Phonepay Plus
London
PwC’s Consulting practice helps businesses of all shapes and sizes work smarter and grow faster
PwC
£37,000
Department for Culture, Media and Sport
London
Currently £36,285
Department for Culture, Media and Sport
London
Moments from Battersea Park.
For sale with Winkworth
Find out about shared ownership.
See your free Experian credit report beforehand
Accommodation, flights, tickets to the race and a KL city tour for only £999pp
PremierHolidays.co.uk
For your ultimate tailor-made ski holiday, click here
Get covered on your travels with a superb range of policies at great prices. Visit InsureandGo.com
World Class Golf, Spa and preferential Beach Club. Private estate overlooking West Coast
Villas from £275 per night inclusive of Golf
Contact our advertising team for advertising and sponsorship in Times Online, The Times and The Sunday Times, or place your advertisement.
Times Online Services: Dating | Jobs | Property Search | Used Cars | Holidays | Births, Marriages, Deaths | Subscriptions | E-paper
News International associated websites: Globrix Property Search | Milkround
Copyright 2009 Times Newspapers Ltd.
This service is provided on Times Newspapers' standard Terms and Conditions. Please read our Privacy Policy.To inquire about a licence to reproduce material from Times Online, The Times or The Sunday Times, click here.This website is published by a member of the News International Group. News International Limited, 1 Virginia St, London E98 1XY, is the holding company for the News International group and is registered in England No 81701. VAT number GB 243 8054 69.