£31m warehouse for US expansion

ONLINE fashion upstart Asos is ramping up its expansion into America by setting up a £31m warehouse in the region.

The company, which saw its US sales rocket last year, said the new facility near Atlanta, Georgia marks a ‘significant progression’ in its strategy.

The warehouse is 550,000 sq ft – roughly the size of nine football pitches – and can stock 10m items. It is due to open in Autumn next year and will enable Asos to provide faster, cheaper and more flexible delivery options.

It is the retailer’s latest push into the US and comes after its sales in the country rocketed 39pc in the first half of its financial year, following sales of £179m in the year to the end of August.

Like Boohoo, Asos has managed to tap into the growing number of twentysomethings turning to online shopping in America. Growth is so rapid that the region is now Boohoo’s second-largest market, after sales grew 145pc last year.

Nick Beighton, chief executive of Asos, said: ‘This agreement is a major step forward for Asos in the US and demonstrates the opportunity we believe lies ahead in this key market.’