ASOS enters the luxury resale sector

ASOS, the fast-growing online fashion retailer, said it had invested in a firm that buys and sells pre-owned designer clothing as it seeks to extend its reach to the luxury resale market.

ASOS said yesterday it had made “a significant minority investment” in Covetique, appointed a senior representative board member and will help the firm’s management grow the business over the next few years.

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Covetique’s website buys and sells clothing, shoes, handbags and accessories from labels such as Burberry, Mulberry, Alexander McQueen and Christian Louboutin that are pre-owned but in pristine condition.

The firm offers free courier collection, quality-checking, authentication, pricing, photo production, editorial and shipping.

ASOS, which has bucked the gloomy trend in the UK retail sector with a 40 per cent jump in year profit, targets young women looking to emulate the designer looks of celebrities such as Nicole Scherzinger, Tulisa Contostavlos and Pixie Lott.