Farfetch enjoys market-leading levels of growth
12 October 2017 - 10:54 by Mike Price
With an annual growth rate of 70 per cent, premium fashion site Farfetch has been named the nation’s fastest-growing retailer, according to Drapers.
Stats collated by OC&C put this high end outlet ahead of the competition, outpacing other better known brands, including ASOS and Harrods.
This level of revenue growth is certainly impressive, although in terms of raw value it was not possible for Farfetch to beat some of its bigger rivals. The top rated firm in this respect was Primark, which grew its revenues by £602 million last year.
What is clear from this report is that brands associated with luxury are faring especially well in the current climate, managing to add a lot of value at a time when market uncertainty is having a negative impact on other sites that offer safe shopping online.
Report spokesperson, Anita Balchandani, said that while some predictions about the state of play in the UK’s retail sector had hinted at problems to come, many retailers had subverted expectations and achieved impressive growth. She also said that outlets which operate only via safe shopping online are in a better position to achieve growth than multichannel rivals.
Similarly, the brands which are chiefly focused on selling high volumes of affordable items from bricks and mortar outlets, namely Primark, are also succeeding where more diversified competitors are struggling.
This seems to go against the advice of many industry experts which suggests that retailers need to broaden their horizons and pursue a solid presence both on the high street and in the digital realm.
Certainly for pure place online retailers, like Farfetch, there is a lot to be gained from optimising the shopping experience for mobile users and catering to niche tastes with high end products, since this seems to be insulated against the economic fluctuations that are occurring at the moment.