Product:Products are the goods or service that the business is providing to attract their customers. Businesses will have to ensure that they can provide a wide choice to there customers. There are also other factors that the business will have to think about like branding, packaging, quality and many other things.
At ASOS they sell a wide range of branded products which are similar to what has been seen on celebrities. They sell clothes for men and women and this includes items like footwear, coats, shirts and several others. They have also recently introduced a new line of children clothes which is known as little ASOS and also sell branded beauty products like Bourjois. Although ASOS as operating from online they sell similar products to what can be found in high street stores however they still sell high quality products at low affordable prices. Some of the brands that are sold at ASOS include Calvin Klein, Karen Millen, Nike, People tree and many more. Below is a print screen to show the sorts of products that are sold at ASOS:
Price:Price is the amount of money that a customer will have to pay to the business for the service and products they have received. Businesses will have to ensure that the price they charge their customers is a reasonable prices so both the customers and the businesses are happy.
At ASOS they have a reasonable pricing strategy, however some of their products are expensive. The price depends on what sort of product that the customer is purchasing. Most of the products are sold are products which are similar to what celebrities have worn but sold at cheaper, affordable prices. The main difference between the high street stores and ASOS is that there is a delivery charge. Currently 7% of the users make a purchase with an average basket size of £39.32 to £48.80. At ASOS they have regular sales when the products are reduced by 50% or more and these products are sold in the ASOS outlet section of the website. Below is a print screen of the outlet section of the website:
Place: Place is where & how the customers can use the service that is provided by the business. The business will have to ensure that they are in the right location & will have to consider things like distribution channels, they will have to ensure that a wide range of customers have easy access to the business, market coverage & many other things.
ASOS are a click this means that they provide the goods through the internet only. This means that there will be no stores for the customers to visit and they will have to log onto the website to look at the products and to purchase them. The business will have a warehouse or some other facilities where the products will be kept and the products will be sent from here. ASOS.com delivers their products to customers all over the UK and there is a delivery charge for this, however in some occasions the delivery charge is not applied. When ASOS first entered the business market which was five years ago, they had a small warehouse where they used to operate from it was approximately 550 square metres which is equivalent to a football pitch. But now they have a huge warehouse which is 32,500 square metres which is the same size as 5 football pitches. This shows that over a 5 year period ASOS have expanded and are attracting a lot of customers which means that they need a bigger warehouse where they can operate from.
They have a head office which is located:
Greater London House
Promotion:Promotion is the way that a business promotes itself to make the customers aware about what products and services they are providing. There are many methods of promotion these include, advertising, promotion, public relations, personal selling and many more.
ASOS.com attract customers by always having a range of promotions like discount codes. They also advertise by promoting the business may sending registered customers with emails regularly with information about new products and sales. Also once a customer has purchased from the website they recieve leaflets and booklets in the post and ASOS also advertise in magazine. The main method of promotion is their website. It includes information and images of the products. There are fashion blogs which include information about the latest fashion trends and news about celebrities, and cat walk model videos of products that are being sold on the website. ASOS also advertise on social networking websites as well like Face book and Twitter. On these websites, ASOS have created an account which customers are able to join and by doing this they will be regularly updated about new products and fashion trends. Below are images which show some of the promotion methods that are used by ASOS:
People:People are the employees that work for the business, without the employees the business will find it difficult to operate as they complete the day to day running tasks. The employees represent the business and must ensure that they provide good customer service as it will help to promote and the sell the product or service. Therefore the employees will have to ensure that they are knowledgeable, friendly and are dressed appropriately.Click businesses have fewer employees in comparison to brick and hybrid businesses this is because all the business transaction takes place online and only a few employees are needed to deal with the customer service area of the business for example dealing with customer's enquiry. This is an advantage for businesses as it is an reduction in their expenditure.
At ASOS the way that the employees provide customer service is different to what is provided in stores. This is because it is not face to face it will either be through the phone or email. These employees will have different skills and they will be required to deal with any problems that the customers has and may also be required to work in the warehouse and make sure that the right goods are sent out. ASOS will also have employees that have good web designing and marketing skills they will be in charge of monitoring and controlling the website. At first they started they only had 47 employees and now they are employing 250 people. This also shows that the business is growing and therefore more employees are needed. The employees are needed for the human and physical resources department as ASOS have had a 90% sale increase over a 12 month period. Some of the board of directors that work there are Chairman-Lord Waheed Alli, Chief Executive- Nick Robertson, Non- Executive Director- Karen Jones.
Process: Process is the procedure that takes place when the customer is interested in a product or service to when the customer completes a transaction. A business must consider the following things in their process: procedures, controls, accessibility, information flows, payments, booking, speed and time of delivery.
At ASOS the shopping process is different in comparison to shopping at an high street store. This is because the customers are not able to feel or try on the product, they are only able to view the images that have been placed on the website. The products that they wish to purchase will be kept in an basket and then the customer will have to pay by using credit card and this will go through secure technology like gateways. Then the customer will have to wait to recieve their goods via post.The customers will not recieve face to face customer service and if they need help they can leave feedback or look at the FAQ section of the website, this is therefore a different process to what would take place in stores. However the customers are able to view the products in many ways for example they can zoom into the product and they can also view the product on models. At ASOS customers are also able to create an account which will include information of all the transaction that have taken place and will also save the customers time as they will not be required to re-enter their information each time they make a purchase on the website. Also by registering it makes the customers a member of ASOS and they will recieve regular updates via email and post about the new products and promotions. Below show is an print screen showing how customers can set up an account:
Physical evidence:Physical evidence is the image of the service and product provided to the customers. When customers purchase a product or service they must have physical evidence that the transaction has taken place for example receipts. The physical evidence will also include things that represent the business like facilities e.g. building and layout.
ASOS are a click business which means that the operate from the internet and there is no store for the customers to visit, therefore there is no physical evidence. The physical evidence that the customers will have is the reciept that they recieve with the products that they ordered. At ASOS there main concern will be the apperance of the website, they will want to ensure that it is easy and convenient to use and it is regularly updated. Below is a print screen of the ASOS website and their website is: http://www.asos.com/. At ASOS they regularly update their website with new products and promotions. The website is also easy and simple to use for customers, this is because the areas for men and women are divided up and there is also a drop down menu which allows customers to view the different sections they are able to view on the website. Also ASOS have a wide range of multimedia resources on their website which help attract more customers this includes banners on the top of the website and also video's of the products on models which gives customers a similar shopping experience to what they would get if they was high street shopping. Below is a print screen of the ASOS website: