Asos: focus on convenience

A strong delivery promise equals strong sales for Asos

Asos [IRDX RASO] sees delivery as key both to its financial success and to its aspiration to become, in the words of Asos chief executive Nick Beighton, the “world number one destination for fashion-loving 20-somethings”. The fashion retailer, which stands out in this performance Dimension for the range and choice of its delivery promise, said that its 26% growth in sales in the year to August 31 2016 had been “driven by strong product, delivery improvements and price investments across our major markets.”

In half-year results, to 28 February 2017, it said that, “Continually enhancing the range of delivery and returns options enables us to move towards our goal of providing a best-in-class customer proposition.” In that six months, it counted more than 100 improvements, including improving the standard delivery time to three days, down from four days previously.

In recent years, pureplay Asos has focused on working closely with delivery businesses in order to ensure it delivers a competitive service to its UK customers.

It was a launch customer for DPD’s [IRDX VDPD] ‘Precise’ delivery service, which enables customers to change their delivery time and place until the last minute. More recently it has used On the dot [IRDX VCSP], part of the CitySprint group, to give its London customers a same-day delivery service, Asos Instant. That service operates across all 122 London postcodes to deliver orders placed by 10am between 6pm and 10pm that day, at a cost of £12.95 per parcel.

“This move from Asos is a recognition of the huge role that convenient delivery plays in acquiring and retaining customers, who expect to be able to shop on their own terms,” said Patrick Gallagher, chief executive of CitySprint, parent company of On the dot, on the occasion of the service launch.

Standard delivery, by contrast, is free for orders worth more than £20, and £3 under that threshold. In the UK, it offers a four-hour estimated delivery window for standard delivery, while its range of next-day services include click and collect and delivery, both free for orders worth £100 or more, as well as precise delivery, that enables shoppers to choose their day and time of delivery, and next evening delivery.

For a £9.95 flat fee, shoppers can also opt to sign up to Asos Premier Delivery UK and get unlimited next-day or nominated day delivery on all of their orders.

Returns are free in many markets around the world. In the UK, these are via a wide range of third-party locations, including InPost lockers, the Pass my Parcel newsagent-based service, toyou at Asda [IRDX RASD], Collect Plus [IRDX VCPL], Doddle [IRDX VDOD] and Hermes [IRDX VHPA] stores. Asos also offers free returns via a Hermes courier and via the post, through Royal Mail [IRDX VRYM].

 

Mentioned in this piece…

ASOS

ASOS

IRDX: RASO

ASOS is a global online fashion retailer offering both branded and own label product lines across womenswear, menswear, footwear, accessories, jewellery and cosmetics. (more…)

DPD

DPD

IRDX: VDPD

DPD is one of the UK’s leading time critical services carriers and can satisfy all your distribution needs whether your consignments are for the UK or elsewhere in the world. Integrating our own extensive UK network with our unrivalled ground based service to Europe and Air Express service to the rest of the world, we are well placed to satisfy all your distribution and logistics needs. (more…)

On the dot

On the dot

IRDX: VCSP

CitySprint is the UK’s leading same day distribution network helping you deliver your business promises, whatever they might be. (more…)

ASDA

ASDA

IRDX: RASD

Asda is a British supermarket chain which retails food, clothing, general merchandise, toys and financial services. (more…)

CollectPlus

CollectPlus

IRDX: VCPL

Collect+ is an innovative parcel delivery and returns service that offers consumers greater freedom and convenience when shopping online. We are the trusted partner of over 100 Retail Brands and are growing fast – in 2011 we doubled our volumes taking us to over 4 million returns and deliveries a year. (more…)

Doddle

Doddle

IRDX: VDOD
Hermes

Hermes

IRDX: VHPA

Hermes is the UK’s leading consumer delivery specialist handling more than 200 million parcels each year. Hermes provides a range of flexible and affordable delivery options to home, work, neighbour, safe place or ParcelShop that are convenient for the consumer and fit within their increasingly busy lifestyles. (more…)

Royal Mail

Royal Mail

IRDX: VRYM

Royal Mail is the postal service in the United Kingdom of Great Britain and Northern Ireland. Royal Mail Holdings plc owns Royal Mail Group Limited, which in turn operates the brands Royal Mail and Parcelforce Worldwide. (more…)