Successes of Asos
This case study report identifies what drives successes at the retailer ASOS with a focus on marketing, consumer research and knowledge, and stakeholder relationships.ASOS recognizes the importance of marketing and building a positive brand image in its customer audiences. The 16-34-year-old market group is one which is not burdened, largely, with complicated lifestyle obligations such as the high mortgage payment, therefore this group often has more disposable income than others. From the very basic levels of strategic planning, ASOS recognizes the demographic and psychographic trends of its best, potential client group and then seeks fashion offerings that fit these lifestyle trends. Rodoplu (2008) describes psychographic segmentation as the process of identifying with specific lifestyle needs of buyers in order to gain a marketing connection with customers. The 16-34-year-old target group is drawn by more visual elements and celebrity endorsement, therefore the images used on the company’s website are of trendy, youthful-looking models and actors which appeals to this lifestyle need in the youth group. At the strategic level, ASOS recognizes the importance of fully understanding the lifestyle priorities of youth buyers and attempts to highlight all of its online fashion merchandise with flair, vanity, and another youth-oriented appeal. Other retailers that do not understand their clients at the lifestyle level, through psychographic research and segmentation, are trailing behind ASOS because strategic knowledge about buyer groups is not being achieved or fulfilled.ASOS also recognizes that this youth group is drawn to social networking sites, brought on by the rise of PC ownership both in the UK and abroad and the lure of social connection for this market group. ASOS is on Facebook, Twitter, MySpace.com and Bebo, with this presence clearly advertised on the company’s home page (asos.com, 2009).