Price cuts help UK sales rocket at ASOS

The firm, which has 6.5 million customers, hailed “another strong quarter” as it also reported a 48 per cent leap in international sales over its third quarter to May 31, driving a 45 per cent hike in total retail sales.

Its UK performance marks the best since the third quarter of 2009 and follows efforts to refocus marketing on its core twenty-something customer base and cut price tags, as well as offering free delivery and returns.

ASOS recently announced a tie-up with Primark, which will see the budget high street fashion chain sell clothes on the internet for the first time under a deal to trial menswear and womenswear ranges through the website.

Analysts expect the arrangement, which launched last week, to provide a boost to both firms, driving customers to ASOS while giving Primark a long-awaited digital shopping channel.

ASOS shares continued their recent strong run yesterday, lifting 3.83 per cent to close at 4133.56p. The stock has already soared 151 per cent over the past year. Keith Bowman, equity analyst at Hargreaves Lansdown Stockbrokers, said: “The group’s progress shows no signs of abating, with the significant rise in the group’s share price over the last year remaining justified. For now, whilst the debate between ‘bricks and clicks’ is ongoing, ASOS continues to place significant daylight between it and many of its rivals.”