Online luxury fashion retailer Farfetch has been crowned the UK’s fasted growing retailer, ahead of major industry players such as ASOS, and Harrods.
According to a new retail growth index from OC&C Strategy Consultants, Farfetch, which stocks jewellery designers such as Carolina Bucci, Delfina Delettrez and Rachel Entwhistle, scooped the top spot after ramping up 70% revenue growth in 2016.
With a growth of 23%, luxury department store Harrods landed just outside of the top ten, while the Yoox Net-A-Porter Group also made a cut in the top of the shops with a growth of 12%.
When the list is arranged by value growth, however, Farfetch slips to sixth with retailer Primark topping the list, with a growth of £602m last year. JD comes second with £558m of growth and Harrods is fourth, followed by ASOS and then Farfetch.
Looking at the list of companies based on percentage growth and absolute growth it appears retailers positioned at either the luxury of value end of the market tend to fare best, while retail stores trying to ‘do all things’ are struggling.
“In the UK, the growth outliers have defied pessimistic forecasts by either clarifying their market positioning into value or luxury very clearly or by single-mindedly pursuing online growth,” comments OC&C Strategy Consultants partner and Ted Baker board member Anita Balchandani.
“There does not appear to be a growth premium for multi-channel retailers, but rather it’s the online pure-players or the store-led value formats that are finding the biggest growth.”