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Online Distribution Strategies: A Mix of Globalization and Diversification in the Fashion Market
Abstract
The growing importance of online channels, social media, and mobile commerce (m-commerce) has given rise to new retail formats, that use only channel used and which have enabled many new consumers to access certain establishments despite geographical barriers. The fashion sector may be one of the most heavily affected by these developments, due to the highly seasonal nature of the products, keen competitive rivalry, widespread reliance on outsourcing, high brand power variety of pricing policies, and strong emotional implications for consumers, who identify with specific brands. This chapter aims at analyzing the main strategies that retail operators are currently following in the industry in order to differentiate from other retailers. A special interest will be placed on the role of the brand, examining how retailers in the industry use private labels as a differentiation resource. The authors also review the case of ASOS, a global retailer which has proven able to adapt to every market, with a view to determining how it has dealt with the myriad challenges involved
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