GlobalData, a leading data and analytics company, sees ASOS’s new partnership with Reliance Retail as a strategic move to capture a growing share of the Indian fashion market.
“By joining forces with Reliance Retail to strengthen its own brand proposition in India, ASOS will be able to better respond to the preferences and styles of local consumers, thanks to Reliance’s extensive expertise in the Indian market,” said Pippa Stephens, senior apparel analyst at GlobalData. .
“ASOS will also be able to lean on the retailer’s strong awareness and perceptions among Indian consumers to increase its own visibility.”
According to GlobalData, the Indian fashion market will experience a compound annual growth rate (CAGR) of 5.2% between 2023 and 2028.
This growth is fueled by an emerging middle class with greater disposable income and a growing urban population that is increasingly interested in keeping up with fashion trends.
The partnership is groundbreaking for ASOS and marks the first step towards permanent physical stores through exclusive brand stores operated by Reliance.
This strategy recognizes the current state of the Indian retail landscape, where online sales represented only 24% of apparel purchases in 2023.
However, the deal also includes e-commerce platforms, recognizing the rapid growth of the digital channel.
“Allowing Indian shoppers to view and try on items in person will also help them feel more confident, while becoming more familiar with ASOS brands,” said Stephens.
However, she warned that “stores will undoubtedly be limited to a smaller range than ASOS’ own website, so this will need to be carefully curated to ensure the strongest and most relevant products are available.”
This partnership positions ASOS to capitalize on the significant potential of the Indian fashion market, combining its online expertise with Reliance’s established retail network to reach a broader audience.
“ASOS Targets Booming Indian Fashion Market with Reliance Retail Partnership” was originally created and published by Retail Insight Network, a brand owned by GlobalData.
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