ASOS trialled sales of the fashion brand Primark and sales have been impressive enough for ASOS to now look at doubling the number of Primark products it sells. Currently the number of Primark products stocked by ASOS is 70 however this will increase to 140 in a short amount of time. This still remains a small number of products compared to the number of products stocked by ASOS which is upwards of 60,000.
Primark is a surprise choice for ASOS to be selling. In the UK where Primark is based, the brand is known for great value, low priced products which are usually staples.
ASOS has been looking for areas of expansion to maintain a blistering pace of profit growth. In May, the company reported a rise in sales of nearly 50 percent for the quarter. This is an amazing profit growth considering the bleak picture of retail at the moment.
In the UK the company has achieved a strong growth compared to previous quarters as ASOS has now started to refocus on their local market after years of expansion overseas. Growth domestically has nearly matched that of overseas markets.