Supplier Dissatisfaction With Website Discount ASOS Threatened Exit

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Xiaobian of the network to introduce to you is supplier dissatisfaction website discount ASOS encounter exit threat.

Recently, the British fashion website ASOS has been heavily complained by many British suppliers because of its discounts.

The retailers said that the serious discount on the website would seriously affect the brand image. In the long run, they may quit ASOS and no longer supply products to the website.

Subsequently, ASOS released four quarter earnings and profit warning in the current fiscal year.

ASOS announced that it would continue to take price cuts in the international market in order to reverse its weak quarterly sales in the international market.

Although no retailers have actually quit the ASOS yet, these fashion retailers only allow ASOS to sell their products in the British market rather than allow the site to be sold in the international market.

A retailer executive said that if ASOS continues to discount, many retailers will turn to another website and catalog in Britain for mail order.

- Next.

As for suppliers' complaints, ASOS did not give too much response.

Because the website has always relied on other retailers.

Many analysts expressed concern about their future development.

Some analysts believe that the pattern of online retail market has changed radically, and more and more brands are starting to operate their own e-commerce. ASOS, a multi brand third party distributor, will bear more and more pressure on business and profitability. Especially its competitors, N Brown and Boohoo.com, all have their own brands, and the industry will have a weak view of ASOS.

This year can be described as the year when the ASOS bubble burst, and the share price of ASOS has fallen by nearly 68%. However, the brand's own strategy problems, warehouse fires, and founder's divorce and other "natural and man-made calamities" have accelerated the ASOS to the abyss.