Asos secures three-year Microsoft deal to expand AI use

Online fashion retailer Asos has signed a new three-year agreement with Microsoft in a bid to enhance its operations, efficiency and “data-driven” decision making.

The news comes as Asos has already taken advantage of AI features integrated into Microsoft solutions, including process automation through Power Automate, Teams Premium, and Microsoft Copilot.

According to the group, this latest step marks an ongoing collaboration with Microsoft, which has already incorporated the use of AI services. 

In 2022, Asos signed a new five-year agreement to continue using Microsoft Azure as its preferred cloud platform.

Earlier this year, the group launched customer testing for its AI stylist, an Azure OpenAI-powered experience that “helps customers discover new looks through an easy-to-use, conversational interface”. 

Victoria Arden, director of technology operations at Asos, said: “A core part of our business strategy is driving operational excellence within ASOS: making sure we’re as fast, efficient, and effective as we can be, and investing our time and resources in the projects that matter.

“Under this new agreement, we’re helping Asosers safely experiment with generative AI tools that can remove ‘busy work’ from their day, freeing them up to unlock greater creativity and insights and focus on delighting our customers.”

Olaf Akkerman, general manager of retail and consumer goods industry at Microsoft UK, added: “It’s fantastic to further extend our relationship with Asos after many years of collaboration. Asos has been an early adopter of AI and is using it in many innovative ways, such as delivering personalised shopping experiences through AI fashion stylists. 

“This renewed commitment will bring huge productivity gains, freeing up time so that ASOS employees can focus on new, data-driven ways to better serve customers.”