ASSESSMENT 1
ASSESSMENT TITLE: ASSESSMENT 1 – INDIVIDUAL DIGITAL REPORT
MODULE TITLE: DIGITAL BUSINESS MANAGEMENT AND EMERGING TECHNOLOGY
MODULE CODE: MN4057QA
Student Name: Albert Gyamfi
Student ID: 10402497
Table of Contents
2.0 Identification of the e-business model that the website pursues and commenting on specific strengths and weaknesses of the chosen website3
3.0 Identification of competitive strategy and digital business strategy the company has followed and justified recommendations4
4.0 Identification of their digital marketing strategies and options and justifying recommendations5
5.0 Discuss the customer traffic data and provide recommendations for improvement and justification8
6.0 Identification of the company’s e-CRM and social network channels linked with the website and provide recommendations for improvement and justification11
7.0 Identification of cyber security measures that the company website has in place and discussion on whether the company website complies with e-business ethics and justifying recommendations12
The assessment has therefore chosen 'ASOS', i.e., a British online fast-fashion and cosmetic retail brand, dealing in the above approach where they lend importance to the online process including the initiation of competitive strategies which bloom their digital presence altogether. The report will try to understand in phases how they use their e-business models as well as reaping potential stances in terms of consumer reach. This will also implement academic theories and models for shaping the ideas, and feature the use of scholarly authors and commercial articles wherever needed.
2.0 Identification of the e-business model that the website pursues and commenting on specific strengths and weaknesses of the chosen website
ASOS's website follows a 'merchant model' in terms of their e-business consideration. The wholesalers or small to medium-time retailers are also allowed to input their private labels, including signature attributes posted by designers (Vukovic et al., 2023). Therefore, ASOS agrees to a listed price cataloguing of products which is supported by the former’s services. ASOS even allows for an easy inventory collection process under its merchant model multiple products representing sizes, colours, and other forms dimensions occupy the inventory slots and await swift dispatch and delivery (Syahnur, 2024). These factors are managed entirely without any unwarranted hindrances by ASOS.
Strengths
Firstly, ASOS is able to manage the entire inventory pertaining products and their representative brands received from merchants. For instance, despite problems with inventory, the leaner inventory model allows them to reduce the lead time by 2-3 weeks and thereby making products more easily available from the website (Johnson, 2024).
Secondly, the sales process is managed under the supervision of ASOS management, which also allows the company to offer seamless discount rates, shopping experiences of a varied magnitude, and a vested interest based on which customers can create a customisable shopping list (Carroll, 2024). ASOS makes 60% better earnings through discounts and promotions alone (Carroll, 2024).
Thirdly, the merchant model enables ASOS to build and promote their own private labels, alongside recognised brands and other reputed products of varied categories. For instance, the average basket value within the ASOS website did go up based on its own value contributing to an increased sales engagement. It went up by 3% (Carroll, 2024).
Weaknesses
Firstly, there are certain situations when the company experiences problems with overstocking and understocking. For instance, due to the stocking issue, ASOS suffered a £32 million pre-tax loss from a £177 million profit accumulated in the year (Butler, 2022).
Secondly, ASOS tends to hold onto their formula of establishing relationships with merchant brands and its products. Rivals like Shein have developed their website better than the former, causing ASOS to lose 18.1% of their revenue share (Husband, 2024).
Thirdly, the merchant retailer like ASOS can be hard to deal with as they concern themselves with sustainable alternatives and ethical practices among brands; since 2020, ASOS has been serious about their circular fashion collection requirements, which reviews 29 trend styles in accordance to requirements (ASOS plc, 2024).
3.0 Identification of competitive strategy and digital business strategy the company has followed and provided recommendations with justification
ASOS has integrated digital technologies and devices, such as mobile phones, computers, tablets, and others (Dastane, 2020). The competitive strategy could be better understood after deploying Michael Porter's generic strategies framework, which tries to determine if the company in question is profitable in terms of above-average statistics obtained from the industry, and if they have been persistent enough to keep the momentum of such a statistic (Olson et al., 2021). There are a few factors within the framework among which ASOS has decided to go with the below strategy.
Cost leadership strategy: In terms of this strategy, ASOS intends to become a low-cost producer by emphasising smaller-handed devices like mobile phones. A mobile-first approach allows the company to not only create 69% of traffic which comes through the website alone but in ensure that overall investment for building a mobile-friendly platform is comparatively less than desktop access (Digital Marketing Institute, 2019). ASOS also closely works with only those product brands that have maintained an ethical trading stance, sustainable sourcing, and animal welfare necessities. Thereby, 34% of the fibres used in the products are sourced from sustainable means only (Digital Marketing Institute, 2019). This further reduces the costs which might creep into the product portfolio set up by the company among their inventory.
Firstly, at times ASOS becomes too reliant on discounting which hurts their profitability. Therefore, a company might be better to rely on a brand’s reputation for accruing better earnings and profits. For instance, the company has believed in marketing transformation stances of certain brands like Adidas, Puma, and others as well, rather than discounts which prevented their losses beyond 16% and steadied some profits (Innes, 2024).
Secondly, the fashion retailer could focus on highly demanding products and budget their finances in acquiring them for listing and selling. For instance, body products and casual garments have attained 8% beyond the target eyed by the company in terms of sales, which garnered better returns for the company in the past (Gbaf, 2021). This can further reduce cost burdens.
Thirdly, ASOS might share the cost burden through joint venture agreements. Similar to how they managed to make a split with Topshop and Topman brands with a 75:25 arrangement, allowing ASOS to retain 25% of its shares from the brand and gain an additional 5% interest worth £9 million (Abdulla, 2024).
Therefore, these findings establish the Digital Marketing Strategy of ASOS on the basis of Market Penetration (Ade et al., 2024). Through price positioning, ASOS gains the agility to sell its products in different segments while remaining price-accessible.
4.0 Identification of their digital marketing strategies and options and providing recommendations with justification
Normally, ASOS might accept any digital marketing strategy and its deployment, but they also believe in improving its reach to promote improvisations and leave scope for further innovation. This allows them to embed certain factorial strategies which simply nurture the digital marketing strategy all over (Caliskan et al., 2020). It can be explained by the incorporation of the ‘marketing mix’ tactics (Kingsnorth, 2022, p 245).
Price: the online fashion retailer has stuck to seasonal pricing offers about different articles, which is also supported by a demanding phenomenon that brings attention from both Generation Z (18-24 individuals) and millennials (25-35) (Searles, 2023). Therefore, the company's prices online fluctuate from 7%-13% every month, but it ultimately secures 10%-15% of sales targets from articles like clothing, footwear, and other similar products (Searles, 2023).
Product: ASOS tries to extensively focus on product features and ensures that its usage capacities can be visible to interested customers (Fadhil, 2020). That means focusing on them within the website with certain preferred colour palettes, fonts, and multi-dimensional pictures. However, it mainly accounts for both menswear and womenswear clothing items (Fadhil, 2020).
Promotion: This fashion retailer excels in channeling content generated through its social media handles like Facebook and Instagram (Fadhil, 2020).
Raise ideas through blog posts and other random content generated via “ASOS Insiders” which collaborates with its main webpage. This grants impetus on SEO (search engine optimisation) based content circulation For instance; customers can be interested to know trendy 20s style clothing that is currently popular by perusing informative articles (Fadhil, 2020).
Place: Based on their web traffic, the company management looks to center their attention and remove any hitches which might creep from specific nations where they accrue a larger profit. For instance, the current ASOS ecommerce platform is trending in the UK, with 27.34% traffic compared to other nations like the US and France who trail by 20.93% and 7.24% respectively (Chevalier, 2023).
Figure 1: ASOS web traffic differentiation within countries
(Source: Chevalier, 2023)
People: ASOS believes in constantly building better online relationships between customers and employees, ever since 2020 (Vizard, 2020). This allows them to focus mainly on the representative chat programs, where a 16% active customer group are able to interact freely with their needs in the website (Chevalier, 2023).
Process: A customer-focused approach generates better tractions from almost 9 million people (McCulloch, 2024). For instance, for customised clothing customers look forward to a swift buying process from ASOS (McCulloch, 2024).
Physical Evidence: The retailer has stuck with their sustainable practice with regards to packaging and labelling products before final dispatch (ASOS, 2019). For instance, the organisation registered itself within the ‘Ellen McArthur foundation’s’ new economy plastics commitment programme, which might allow them to endorse online buying by customers using 25% to 100% recycled items for packaging (ASOS, 2019).
Firstly, ASOS needs to accelerate their affiliation with newer brands to ensure the digital strategy can be broadened. For instance, recently the company decided to tie up with Reliance Digital for its home brands within their website for sale (ASOS plc, 2024).
Secondly, ASOS needs to increase their SEO post-related links from 6 times to at least 12 times every week on diverse platforms of Facebook, Instagram, and Twitter (Jauregui, 2018).
Thirdly, the fashion retailer must upskill employees to diversify and engage in customer-facing roles to address their problems more effectively (ASOS plc, 2024).
5.0 Discuss the customer traffic data and provide recommendations for improvement and justification
Figure 2: Web traffic analysis of ASOS
(Source: https://pro.similarweb.com/#/activation/home/896b7c24-0223-4c8b-b506-4b1cb66edc09/999/Total?timeGranularity=Weekly)
Total Visits: ASOS received an 8.7 million visit from individuals finding an interest towards the retailer. However, the WoW factor has been down by 1%, demonstrating the ecommerce runner has failed to fulfill user expectations in the last few months compared to both Boohoo and Zara (Similarweb.com, 2025).
Traffic Sources: The ASOS website was accessed primarily by desktop users with 2.97 million, 8.9 million mobile users, and others. The visit duration also accounted for a total of 3 minutes and 60 seconds (Similarweb.com, 2025).
Referral Searches: There have been many unique visitors who regularly peruse ASOS website, especially due to referrals which accommodates over 24.81 million visitors (Asos Plc, 2021). That is minimal in comparison to Zara, but more than Boohoo.
Social and Display Advertising: The advertising and social expressions processed by ASOS in their website, allowed them to enhance page per visit to around 7.58%. That went up by 3% in the last few months (Similarweb.com, 2025). For instance, ASOS deployed a multi-territory advertising campaign using VOD and social programmatic channels for UK, France, and other US territories. That enhanced the web traffic.
Audience Interests: The overall audience interest might be regulated under the year-on-year entry of the masses. This has relatively gone down by -2.55pp due to disinterest shown by audiences based on the content and offers shared by ASOS (Similarweb.com, 2025). It is here that Boohoo and Zara have gone ahead of the former in this case (Asos Plc, 2021).
A framework like the funnel model which uses a multiple-stage process for guiding customers from their initial awareness phase to the ultimate purchase phase can be used in this context for better understanding the above statistics.
Awareness: This stage indicates how customers become aware of potential brands that ASOS promotes using frequent website visits. It is indicative through the web traffic which consists of 11.87 million daily viewers who seek something new (Similarweb.com, 2025).
Consideration: Under this stage, the consumers compare between Zara, Boohoo, and ASOS, before they decide on the preferable group who can better accommodate their needs. The same is indicated within Figure 2, where Zara leads among the three with 59.82% interest circulation and realisation among consumers.
Conversion: This stage allows the customers to convert their interests into purchase decisions. In the case of ASOS, it is simply around 34.94% among 37.26% consumers who capitalise on their expectations from certain brands. That is better than Boohoo, but Zara has better with a 67.70% capitalisation factor (Similarweb.com, 2025).
Loyalty: It allows the company to ensure that the purchasing customer persists with further future purchases. Similarly, ASOS would prefer to hold onto its customers for a longer run. The Figure 2 statistics show that the bounce rate hovers around 32%, which indicates that the least number of customers have been coming back to visit the ASOS website compared to its competitors.
Advocacy: If a customer is pleased with a brand endorsed by ASOS, they are likely to stick around for future promotion of the brands. However, a declining year-on-year growth indicates that not too many customers can spread positive words about the brand through word of mouth.
Firstly, ASOS might tune into social media campaigns to pull in better consumer attention through their websites. For instance, ASOS has been undergoing consumer surveys with a reception of 200 answers from varied parties (Moth, 2013).
Secondly, ASOS can provide innovative features for customers randomly engaging with their website. For instance, the company might run AI-embedded automation to allow swift navigation for its new customers (Moth, 2013).
Thirdly, the fashion retailer might circulate awareness about their websites using advertisement campaigns which look to promote the sustainable policies of brands, and how they intend to improve the lifestyle of customers. For instance, ASOS could run more of their sustainable fashion drives featuring over 90000 different products and its features (ASOS, 2021).
6.0 Identification of the company’s e-CRM and social network channels linked with the website and provide recommendations for improvement and justification
The RACE framework covers the social media and digital CRM presence of ASOS, and recommendations are best evaluated after identifying the same through the four stages of the RACE model (Chaffey, 2023).
Reach: ASOS has an active presence on popular social media channels like Instagram, Facebook, Twitter, TikTok, and YouTube and uses them for promotion as well as for interacting with its customers. It also invests in SEO, Google Ads, influencer partnerships, and remarketing ads in order to capture traffic to its website. To further enhance its reach, ASOS could incorporate AI-driven personalisation in advertisements, ensuring that customers receive tailored product suggestions (Gao et al., 2023).
Act: Once users arrive on the ASOS website, the company employs various strategies to keep them engaged. Targeted product suggestions through browsing history and interests assist in building a more personalised shopping experience. ASOS also promotes interaction through user-generated content such as ‘AsSeenOnMe’, as customers post their reviews and photos of products bought (Coppock, 2022). Social media campaigns and influencer collaborations also promote engagement by highlighting the current trends and special offers. This indicates the use of Content Marketing by generating marketing content through the individual customers on social media i.e. user-generated content (Santos, 2021).
Convert: ASOS makes it possible to purchase by providing alternative payment methods such as Klarna, through which customers can buy now and pay later (Mills, 2023). The firm streamlines checkout by offering a guest checkout option, minimising friction in the purchasing process. Free and fast delivery options also encourage customers to make their purchases. ASOS can enhance its conversion rates by using AI-powered abandoned cart recovery emails, reminding customers of the products remaining in their cart and providing limited-time discounts (Singh and Singh, 2024). Moreover, customised discount promotions on browsing history might get holdouts to complete their shopping.
Engage: Customer loyalty is one area where ASOS is focused on, and it ensures ongoing involvement after a buy. ASOS Premier, with unlimited next-day delivery, spurs repeat shopping at £9.95 per year (Blackburne, 2024). Automated email marketing communicates offers and fresh stock to shoppers, while giveaways on social media and influencer collaborations keep brand awareness up. To build customer loyalty, ASOS may roll out a multi-tiered loyalty program that benefits repeat customers with special privileges.
7.0 Identification of cyber security measures that the company website has in place and discussion on whether the company website complies with e-business ethics and providing recommendations with justification
Identifying Threats: ASOS, being a large e-commerce retailer, has several cybersecurity threats that may expose customer information and business operations. One of the greatest threats is phishing attacks, whereby cybercriminals try to acquire login credentials or payment information via fake emails and websites (Alkhalil et al., 2021). Another prevalent threat is data breaches, which may leak sensitive customer data like payment information, addresses, and passwords. Distributed Denial of Service (DDoS) attacks are also a threat, which may impact ASOS's website and keep customers away from services (de Neira et al., 2023).
Counter Measures: In order to avoid these risks, ASOS follows different cybersecurity measures. Firewalls and intrusion detection systems are used to scan network traffic and prevent unauthorised access. To mitigate against DDoS attacks, ASOS uses traffic filtering systems like Wiz that identify and counter malicious activity before its impact on website performance (Wiz, 2025).
Tools and Systems: ASOS uses sophisticated security tools and systems to safeguard its virtual infrastructure. The firm employs Secure Sockets Layer (SSL) encryption to lock transactions and secure customer information on online purchases (ASOS, 2025). Multi-factor authentication (MFA) is adopted to increase security on login to ensure that the user authenticates before accessing their account.
Privacy Protection: ASOS is dedicated to keeping customers' privacy intact and is compliant with data protection directives like the General Data Protection Regulation 2016, and the UK's compatible Data Protection Act 2018 (ASOS, 2024). The business has transparent privacy policies, which explain to users how their information is harvested, saved, and used. Users are in control of their details, and there are options for maintaining cookie consent, excluding marketing emails, and deleting data (ASOS, 2023). ASOS also employs anonymisation methods to secure data from users in the event of a security breach (ASOS, 2023). To further advance privacy protection, ASOS can use blockchain technology to offer a secure and open way of dealing with customer information. Enhancing privacy controls and giving customers finer control over data-sharing options would also support trust and adherence to changing digital privacy norms.
ASOS has a strong emphasis on customer interaction as well as cyber security, making the shopping experience smooth and secure while protecting customer information. With its social media marketing and e-CRM efforts, ASOS attracts, engages, and retains customers effectively by leveraging AI-based personalisation, social media marketing, and loyalty programs. GDPR compliance strengthens transparency and trust, although further privacy controls and blockchain-based security offerings would further safeguard customer data. Through ongoingsharpening of digital strategy and security measures, ASOS can remain a prominent online retailer while further improving both customer experience and cybersecurity strength.
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