Over the past few years, Boohoo Group, an online fashion retailer headquartered in the United Kingdom, has undergone a major transformation.
The company is now prioritising customer needs over immediate returns on investment (ROIs), as it expands into new territories and acquires additional brands into its fold.
Customer behaviour has changed and people are more careful with money, so the shift in mindset is in line with this. The article explores Boohoo Group’s focus on placing the customer at the forefront of its strategy, and how this approach is propelling the company’s ongoing expansion initiatives.
Boohoo’s Customer Focus and Marketing
Boohoo Group’s customer-centric approach is evident in their choice to enhance their marketing strategy and increase their investment in influencer marketing. The company has been collaborating with social media personalities to advertise its products for many years, even before it became a common practice.
Boohoo has expanded its reach further, to a broader audience interested in its products, by collaborating with influencers and individuals who have a significant following in the fashion and beauty industry.
The company’s successful approach has led them to create a separate division called ‘Boohoo Influence‘, which is solely responsible for managing influencer partnerships.
Expanding and Adapting Their Business Enterprise
Boohoo Group has had to modify its influencer strategy to fit the US market’s preferences, since it has now recently entered this market. The company has recognized that in the United States, micro-influencers are more relatable and trustworthy to American customers; thus, they have become crucial within their ever adapting strategy.
Boohoo has also worked on expanding its social media presence, by investing in platforms like TikTok and Snapchat, that are more popular in the United States than the United Kingdom. Boohoo’s adjustments show that they are dedicated to customising their marketing strategies to suit each market they operate in, rather than using a universal approach.
Neutral staples for spring are HERE 🤍 Shop our looks onsite now and get 20% OFF when you use our app 📲— boohoo (@boohoo) April 12, 2023
(📸 bethgeorgeclark) pic.twitter.com/AGtFLxT04f
What is the company’s acquisition strategy?
Boohoo Group has shaped and adapted its acquisition strategy based on its aim to improve customer service and better meet their needs. Boohoo has been able to provide shoppers with more options for styles and prices by obtaining companies like PrettyLittleThing and Nasty Gal, which additionally complement its current range.
The company has also incorporated new technologies like ‘augmented reality filters’ to improve the online shopping experience in a timely manner. Boohoo now offers virtual try-on features and the ability to view items on different body types, which helps to address the obstacles that customers may have previously had when buying clothes online.
What are some of the challenges that have been faced?
Boohoo has faced some difficulties along the way as they strive to become more customer focused. The reputation of the company has been jeopardised due to various controversies related to workers’ rights and sustainability concerns.
However, Boohoo has promptly addressed the concerns and taken necessary actions. The company initiated an independent investigation of its supply chain and committed to promptly rectifying any deficiencies.
Boohoo is showing that it values its customers and is dedicated to enhancing its standards, by taking accountability for its actions and pledging to make any improvements that may be needed.
In today’s retail landscape, Boohoo’s recently implemented customer-focused strategy is a clever decision. Prioritising the customer can help the company cultivate devoted and interactive audiences who are willing to make long-term investments in the brand.
The company’s investments in influencer marketing and acquisition of complementary brands indicate that they have a good understanding of the desires and requirements of their customers.
It will be interesting to observe how Boohoo maintains its customer-centric approach and creates a beneficial impact on the industry as it enters new markets.