It is no longer big news to hear reminders of the issues facing our High Streets and the battle for the retailers. Rising rates and falling footfall, coupled with over supply of products, all competing for the same markets has made retailing a poisoned chalice. The attraction, therefore, of an online model would seem to make sense in keeping overheads low. ASOS was the darling of the stock market due to their enormous growth in turnover, subsequent profits and customer satisfaction levels. So, it was a huge shock this week for the retail sector to see ASOS shares tumble by as much as 40% and knocking over a £billion off their worth.
How then you ask, did this happen when ASOS, until November, had been experiencing healthy sales for 2018?
Well, the run up to Christmas and the temptation to discount has been prevalent, thus leading to the inevitable crash. Sales like the Black Friday sale now seem to carry on to the following Monday and Tuesday, losing its names worth. The consumers are smartening up to retail tactics, and are prepared to wait for the inevitable discounting as Christmas looms ever closer and competition between brands becomes ruthless, and consequently worthless.
We have blogged before on sustainability and throw away fashion and this week’s news highlights a worrying trend. The consumer is not being taught the true worth of a product and retailers are not showing confidence in their own product to hold their nerves on price.
Fifty One Apparel has firmly believed that the selling price of the garment should represent
a) realistic and attainable price point
b) fair payments to suppliers
c) quality of make up
d) quality of fabric
e) classic styling to maximise the end uses
e) something unique.
We do not believe in discounting as we see our product as a true and fair price for all reasons set out. and we hope you will agree.
Should there be any disquiet, please do contact us and share your case for a lower priced product from our Fifty One Apparel range, we are always ready to listen.