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Boohoo SWOT & PESTLE Analysis

ID : 52693153| Mar 2021| 14 pages


Business Sector :Fashion and Lifestyle

Operating Geography :United Kingdom, Europe

About Boohoo :

Boohoo operates as an online fashion retailer, offering apparels such as trendy dresses, quirky tops to its targeted customers. Boohoo engages in the provision of its products intentionally, catering to customers from almost every country. Its headquarters are stationed at Dale Street, Manchester, United Kingdom and it was founded in 2006 by Mahmud Kamani and Carol Kane, who now predominantly function as the face of the company. Boohoo generates almost $1.11 billion in sales and has secured the jobs of around 2600 employees at its corresponding locations. The company subsequently owns prestigious clothing brands such as PrettyLittleThing, Nasty Gal, MissPap, Karen Millen and Coast brands. These brands, similarly design, manufacture, retail and sell clothing and other accessories to target young consumers.

Boohoo has been confirmed to bloom as Primark’s sales plummet at the advent of the 2020 pandemic. The pandemic has started to “pay off” for the brand as Boohoo implements strategies on their website that has sparked a new wave of success for the company. According to sources, Boohoo has introduced and brought its loungewear to the forefront of its websites as other companies plummet with their archaic summer trends. Due to the lockdown, Boohoo has highly profited from this endeavor, raising its profit margins drastically. Boohoo’s CEOS have secured a place in fashion retail as the most powerful people for 2019 according to Draper’s annual list.

Boohoo’s unique selling proposition or USP lies in being a leading online fashion retail group, specializing in own-brand fashion clothing. Its mission statement reads “To lead the fashion e-commerce market globally, in a way that delivers for our customers, people, suppliers, and stakeholders.” Boohoo’s vision is to be leading the e-commerce fashion market for 16 to 30-year olds, which we will drive through our strategic priorities: Insight, Investment, Innovation and Integration.

Boohoo Revenue :

GBP 1,234.9 million – FY ending 29th February 2020 (y-o-y growth of 44%)
GBP 856.9 million – FY ending 28th February 2019

Competitive Analysis of Boohoo

The SWOT analysis for Boohoo is presented below in a table followed by the detailed analysis report.
1. Robust growth in the company’s financial performance
2. Highly effective and automated distribution centres
3. Successful in implementing “fashion-for-all" approach
4. Diverse portfolio of brands along with a strong global presence
1. Brand reputation getting tarnished from the surrounding controversies
2. Lack of diversity in body-positivity movement
1. Collaboration with known personalities like rapper Quavo and Jon Jones to increase visibility
2. Online retail on the growth momentum amidst “social distancing” measures in Covid-19 era
3. Using digital fit technology to enhance shopping experience
1. Impact of UK’s exit from UK on the consumer confidence
2. Fast changing consumer preferences in fashion
3. Increasing competition in fashion retail
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Detailed SWOT Analysis of Boohoo


1. Robust growth in the company’s financial performance: With the entire fashion and retail industry sales turnover getting hit severely by the Covid–19 pandemic, Boohoo has remained unperturbed and showed significant results for FY2020 in line with similar trajectory the company has been following since inception. Announcing the results for the financial year ended 29 February 2020, the company performed outstandingly with a 44% increase in the revenues accounting to £1.235 billion, across the group, with exceptional growth across all operating geographies with 39% increase in the UK and international turnover up by 51%. Currently, the revenues obtained from the international segment attributes to 45% of total as compared to 43% in 2019. In terms of the company’s performance of its allied brands, Boohoo’s revenue saw an increase of 38% to £600.7 million and down 30bps, upon 52.6% gross margin. Furthermore, the brands PrettyLittleThing and Nasty Gal projected revenue increase of 38% and 106%, to hit £516.3 million and £98.8 million on a gross margin of 55.6% and 54.2%, down 100bps and 250bps respectively.

2. Highly effective and automated distribution centres: Boohoo attributed a significant chunk of its expenses towards the development of efficient distribution centres, with the goal of creating a £3 billion-net global sales-generating distribution network. The extension for Burnley distribution centre was built with the automation going live in April 2019, intended to pick-up the efficiency along with reducing costs greatly for the upcoming financial year 2020 & beyond. In addition to this, the company provided bus service for all nearby towns to the distribution centre as well as new welfare facilities for the Burnley employees. Also, the relocation of PrettyLittleThing’s distribution centre was completed successfully, with an expenditure of £6.7 million and minimal operational disruptions. Alongside, Boohoo increased its sales capacity, underpinned the brand’s infrastructural needs and added to the Group’s operational flexibility, by adding the Sheffield facility.

3. Successful in implementing “fashion-for-all" approach: Even though the highly established, famous street fashion names like Topshop, New Look and Monsoon are retreating into near oblivion, Boohoo has been projecting significant surges in all the financial parameters. For the fiscal year 2019 and 2020, the company projected annual revenue growths of 48% and 44% respectively. A major reason for this significant growth can be attributed to the “fashion-for-all" approach that Boohoo adopted by embracing plus-sized models. This online fashion group started the sales of 26-sized, latest bodycon dresses, miniskirts and swimsuits, post which the sales numbers sky-rocketed. According to the co-founder of the group, Carol Kane, the company’s “fashion for all” approach implemented using the “PrettyLittleThing” brand, fuelled this growth. By adopting diversity, the company has reached out to the young online shoppers, who resort to social media influencers instead of Vogue and Grazia.

The remaining section of “Strength” is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.

Major Competitors :

  • Pink Boutique
  • iKrush
  • The Modist
  • Missguided
  • Missy Empire
  • Atterley
  • In The Style
  • Trendyol
  • H&M
  • Topshop Topman
  • ASOS
  • Matches Fashion
  • Net-a-porter
  • TOBI

Major Brands :

  • Boohoo
  • Karen Millen
  • Nasty Gal
  • PrettyLittleThing
  • Coast, Misspap
SWOT & PESTLE (combined)
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Check Out Analysis of Other Relevant Companies

References used in Boohoo Analysis Report

1. Boohoo sales soar after taking 'fashion for all' approach -
2. Boohoo and Missguided ads banned for being "socially irresponsible" and "objectifying women" -
3. The Boohoo Group is well placed to face Covid - 19 -
4. Drop in U.K. Pound Boosts Online Fashion Retailer Boohoo -
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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SWOT & (2021). Boohoo SWOT & PESTLE Analysis - SWOT & [online] Available at: [Accessed 08 Mar, 2021].

In-text: (SWOT &, 2021)

Copyrights and Disclaimer

Boohoo SWOT and PESTLE analysis has been conducted by Anindya Anindita and reviewed by senior analysts from Barakaat Consulting.

Copyright of Boohoo SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

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