Online fashion retailer ASOS’s goal of “offering our 20-something customer an amazing, edited choice of great fashion at great prices” involves pitching to its audience over social media — and increasingly over Snapchat.
The retailer on Tuesday told investors that: “Snapchat is an increasingly important channel for our customers: during London Fashion Week, ASOS content featured in their ‘Fashion Week Stories’ series which was viewed more than 20m times in the UK, France, Germany and Australia.”
That’s perhaps unsurprising given ASOS’ typical demographic — students are “core customers” — and the fact that browsing and shopping is so mobile dominated for the company. ASOS says 60% of traffic comes from mobile and 50% of purchases came through mobile in February. Its app was downloaded 3.2 million times in the first half of the year.
ASOS revealed the stat in its half-year results, which so good growth across the board. Here are the key numbers covering the six months to 29 February 2016:
- Group revenue up 21% to £667.3 million;
- UK sales up 25% to £289.5 million and international sales up 18% to £359.1 million;
- 17% growth in active customers to 10.9 million;
- Pre-tax profit up 18% to £21.2 million;
- Cash and cash equivalents up 109% to £135.9 million.
ASOS is particularly proud of its jump in active customers, defined as having shopped on the site in the last year, and say social is a lot to do with it. ASOS has 17 million followers across its various platforms and its “ASOS Insider” brand ambassadors have a combined 1 million followers between them.
The company says: “Our emphasis on customer engagement through a constant stream of fresh, stimulating content is an ASOS differentiator that we are putting increasing resource behind.”
ASOS, which recently announced it’s closing its Chinese operation, says it is “confident of delivering in line with market expectations for the financial year.”
CEO Nick Beighton says in today’s results statement:
We’ve had a good start to the year and I’m pleased with progress on a number of fronts. These results demonstrate improving momentum in the business with group sales up 21% (25% in constant currency). Our UK sales remain strong, up 25%, and our international customers have responded well to our continuing price investments with sales up 18% (24% in constant currency).
ASOS, which stands for “As Seen on Screen”, started out in 2000 as a website to help people buy clothes worn by celebrities. It has since evolved into a youth-focused online department store, stocking hundreds of brands as well as own label products. ASOS says it has over 80,000 products and launches 3,500 new styles each week.
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