Asos boss Nick Beighton has vowed not to raise prices for the foreseeable future despite the rising cost of sourcing products from overseas.
Beighton told Retail Week today: “My intention is to hold pricing for our customers while giving a fair deal to our suppliers at the same time.”
He said prices would be held “based on what I’m seeing right now”.
It came as Asos revealed an 18% jump in UK retail sales in the four months to December 31 and raised its full-year sales forecast.
Like many fashion retailers, Asos has seen the collapse in sterling drive up the cost of buying products in dollars from outside the UK.
UK product offering to increase
However, Beighton said the etailer would aim to increase the amount of product it sources from the UK from 4% to 9% over the next couple of years.
Asos has benefited from 60% of sales coming from outside the UK. International sales jumped 52% in the four months to December 31, the etailer revealed. US sales leapt 66% in the period, while sales in the EU increased 46%.
During Black Friday and Cyber Week trading, Asos said sales rose 45% and visits climbed 35% year-on-year.
Beighton said sales and traffic over the Black Friday period were higher than Christmas.
“That’s how the nature of the consumers has changed over the last three years,” he said.
Parliamentary inquiry update
Meanwhile, regarding the allegations of harsh working practices at its Barnsley warehouse, Beighton said he had been in “regular dialogue” with local and other “interested” MPs.
MP Iain Wright, who led inquiries into Sport Direct and BHS, has threatened to include Asos in a parliamentary inquiry into the gig economy.
But Beighton said: “As of now I have not been called to appear before a select committee in relation to Barnsley.”