New Delhi: British e-tailer Asos joining forces with Reliance Retail will boost its own-brand proposition in India and allow it to better cater to the preferences and styles of local consumers, due to Reliance’s extensive expertise in the Indian market, industry expert said.
“Asos will also be able to lean on the retailer’s strong awareness and perceptions among Indian consumers to bolster its own visibility,” Pippa Stephens, Senior Apparel Analyst at GlobalData.
British e-tailer Asos entering the Indian market through a new long-term partnership with Reliance Retail will give a new impetus to shoppers.
Reliance Retail will introduce Asos’ portfolio of brand labels to the market via exclusive brand stores, multi-brand store expressions and digital commerce platforms.
“Our purpose is to give fashion lovers around the world the confidence to be whoever they want to be through access to the latest and best trends,” José Antonio Ramos, CEO of Asos, said.
Reliance has been securing similar deals with other companies of Asos’ calibre, including Superdry, which is also seeking to boost its growth in the region.
Stephens said that India is a lucrative market for fashion retailers to tap into, with Next also announcing expansion in the country through a franchise agreement with Myntra in April 2024.
“India’s growing economy and rising middle-class means consumers have higher discretionary incomes to spend on apparel, and it is also becoming increasingly urbanised, with city shoppers more inclined to keep up with the latest fashion trends,” she said.
Moreover, she said that Asos’ deal with Reliance includes the introduction of exclusive brand stores, which will be its first foray into permanent standalone locations.
“This is a sensible move given India’s online market is less developed than in Western countries, only accounting for 24 per cent of apparel sales in 2023, however the digital channel is growing fast, so it is wise that the deal also includes ecommerce platforms.”
Providing Indian shoppers with the opportunity to see and try-on items in person, she said will also give them greater confidence while they become more familiar with the Asos brands.
However, she said that stores will undoubtedly be restricted to a smaller product range than ASOS’ own website, so this must be carefully curated to ensure the strongest and most relevant products are available.
