Sales at Boohoo, an online fashion retailer, doubled on Christmas day as young women flocked to the site for party costumes and gifts.
Based in Manchester, the company also has PrettyLittleThing (PLT) and Nasty Gal online brands, retailers’ sales, the company is winning the traditional street because it is through the mobile phone shopping and get style clues from social media.
Boohoo said group sales rose 100% in the four months to December 31, to 28.22 million pounds, due to brisk sales in November on black Friday sales.
PLT sales are adding hundreds of new products every day to meet the needs of fashion consumers, up 191% from the previous year.
Boohoo’s USP is a cheap fashion for stylish women, with a compact lycra dress costing 10 pounds and a thigh high boots for 30. Its sharp price has allowed street rivals such as Primark to run for their money because it targets young shoppers with limited funds.
Boohoo performance from the British financial situation due to the slow wage growth and rising inflation rate to be squeezed, this dilemma forced them to reduce on the eve of Christmas buying all the other things besides food.
Retailers with strong digital businesses are proving that consumer demand is falling more independently than those with big stores. Earlier this week, the fashion company Ted Baker also announced a rise in Christmas sales, thanks to a surge in online shopping.
Boohoo was founded in 2006 by Mahmud Kamani and his business partner, Carol Kane, who has served high-end rivals such as Primark and New Look. The two share the role of chief executive.
Since listing on the stock exchange in 2014, its share price has soared. When it joined the stock exchange, the company’s shares were valued at 50p and are now worth nearly fourfold.
Charlotte Pearce, a retail analyst at GlobalData, says Boohoo’s brand has attracted unsatisfied consumers rather than New Look, Selfridge and H&M.
“Because of its core shoppers, the trend of the low price products and targeted innate understanding of marketing and social media, the group compared with Missguided and quizzes online competitors is more outstanding.”
According to Pearce, Boohoo relies on a lot of discounts to win customers, offering 30% to 60% of black Friday discounts. “Despite its relentless discounting, boohoo.com’s products and brands have clearly won shoppers between the ages of 16 and 24.
In a joint statement, Kamani and Kane said: “we are pleased to report another set of strong financial and operational results, with sales hitting a record high in four months of all brands.
“Black Friday is the most successful we’ve ever had. PrettyLittleThing continued to deliver outstanding results, and Nasty Gal made excellent progress in the first year.
“Our focus is still on the customer’s proposition: offering the best fashion products at a reasonable price, plus quality customer service.”