Fashion Bricks versus Chic Clicks Read the information below and then answer the questions that follow. ASOS is a highly successful online fashion retailer, founded in 2000. Unlike one of its main competitors, Debenhams, which was founded in 1778, ASOS does not have any high street stores. In 2013, 72% of UK adults made a purchase online and 83% of UK households had Internet access. Debenhams has been slow to adapt the place element of its marketing mix to include e-commerce. It was late to develop a website and introduced options such as 'click and collect' after several of its competitors. This failure to move quickly has meant it has lost sales to its rivals. However, Debenhams is now fully committed to e-commerce alongside retail outlets. It regards its high street presence as offering a major competitive advantage over purely online rivals such as ASOS; for example, it offers customers the opportunity to browse in-store before going home to order online or ordering via a mobile phone. Meanwhile, the opportunity to collect from the store provides a service that many customers like. In 2013, 25% of online orders were collected from high street branches of Debenhams. Debenhams is finally becoming a multi-channel retailer. Table 4 Comparison of ASOS and Debenhams ASOS Product range male and female fashionwear Sales (2013) Debenhams womenswear, menswear, childrenswear, lingerie, accessories, health and beauty, home and furniture, sports and leisure 769 million; 100% online 2.3 billion; 16% online Website visits per 23.2 million 20.1 million month (2013) Gross profit 252 million 302.3 million (2012) Market 4.4 billion 1.4 billion capitalisation as at 25/10/2013 Online presence Operates in English, French, German, Italian, Spanish and Russian and accepts payment in 15 currencies. 64% of sales from outside UK High street stores 0 Available online in 70 countries 240 stores in 28 countries 03 1 Analyse why Debenhams may have been slow to adapt to change in the online environment. [9 marks]