Increased Marketing Spend Sees Asos Enjoying Major Sales Boost
Retailer Asos has credited an increased marketing investment for helping to significantly boost sales revenues - their first half-half sales have soared by 34% to £472m, thanks to a rise in customer volume and size of average shopper baskets.
In total, Asos' marketing spend increased by 54% to £31.5m in the six months leading to 28 February (equal to 6.5% of sales). Performance during this period was driven by a 32% rise in UK sales and a 35% rise in international markets (which account for over 60% of sales).
In addition to strengthening its marketing team, including hiring key people in senior positions such as a director of brand and campaigns, the retailer has focussed on enhancing their customer appeal and raising brand awareness through "dedicated marketing initiatives".
Asos is also trialling a new loyalty programme that aims to up the average customer spend by offering shoppers points every time they make purchases.
Nick Robertson, Asos CEO, commented: "Asos is not and has never been about the short-term - the scale of the global opportunity remains as exciting as ever and we are investing for the many opportunities ahead."