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In other news... Asos, Mothercare and Burberry

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Asos is improving delivery times in Birmingham
Asos is improving delivery times in Birmingham

We report on the latest from IRUK Top500 retailers Asos, Mothercare and Burberry.

Asos improves delivery options

Asos, a Top50 retailer in IRUK Top500 research, has extended its same-day delivery service to Birmingham. This is a fourth city for the service, which is operated in partnership with On the dot.

 

“We’re excited to be extending the reach of Asos Instant to Birmingham following its successful launch in other UK cities,” said Matt Rogers, delivery solutions and returns director at Asos. “It shows our commitment to exploring delivery options that provide convenience and choice for Asos customers.”

 

Customers using the service select the delivery time that works for them using a service powered by On the dot’s machine-learning algorithms, fleet of 5,000 couriers and its open API generating available timeslots.

 

Mothercare set for restructuring announcement

Top50 retailer Mothercare is expected this week to announce details of the “comprehensive restructuring and refinancing package” that it is putting into place as it looks to “put the business on a stable and sustainable financial footing”. The announcement is expected to come when it reports year-end results on Thursday, May 17.

 

Burberry takes supplier in-house

Top250 fashion retailer Burberry is buying a luxury leather-goods business from its longstanding Italian partner CF&P. The business, including a team of expert craftsmen who have worked with the business for more than a decade, will transfer to Burberry when the deal completes, expected to later this year. The operations are to remain at their current site, in Scandicci, Italy

 

Burberry chief executive Marco Gobbetti said: “This acquisition is a major milestone for us and a statement of our ambition in this strategically important category. It will create a centre of excellence for Burberry’s leather goods, covering all activities from prototyping, product innovation, engineering and the coordination of production. This will give us greater control over quality, cost, delivery and sustainability of our leather goods.”

 

Commenting, Ian Tomlinson, chief executive of retail technology firm Cybertill said: “Burberry look to be following in the steps of luxury peers Louis Vuitton and Hermes in gaining more control over the manufacturing of goods. Striking a deal with one of its luxury leather goods suppliers in Florence, Italy, this move highlights the importance of control over the supply chain to maintaining profitability in the volatile retail sector. Having visibility of the manufacturing process is vital to luxury brands, and proof of provenance is increasingly important to customers.

 

"Burberry already manufacture its trademark trench coats in the UK, and with Brexit looming, a move to bring more manufacturing ‘in-house’ will give them more control over costs and lead times.”

Image courtesy of Asos.

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