Asos extends Microsoft deal to bring in new GenAI tools

Fashion giant Asos is extending its relationship with Microsoft as it ramps up use of generative AI tools, in a move designed to free up staff “to unlock greater creativity and insights” for its customers.

The move follows the appointment of The Or as Asos’ creative agency, following a competitive pitch, with a brief to develop a long-term brand platform as part of its core marketing strategy.

In 2022, Asos signed a five-year agreement to use Microsoft Azure as its preferred cloud platform to power its digital platforms and support its focus on speed, efficiency, and data driven decision-making.

The new AI related three-year agreement with Microsoft is aimed at driving operational excellence: making sure the company is “fast, efficient, and effective and invests in the projects that matter”.

Earlier this year, Asos launched customer testing for its AI Stylist: an Azure OpenAI powered experience that helps customers discover new looks through a conversational interface, built using early access to Microsoft’s generative AI tools, that aims to authentically reflect the Asos brand and tone of voice.

Asos director of AI and machine learning Papinder Dosanjh said: “AI and ML are already transforming how we work, whether it’s supporting better demand forecasting, helping with data-driven decision-making, or powering our recommendation system – delivering billions of product recommendations to our customers per day.

“Working with Microsoft, we continue to drive innovation in this area, always aligned to our principles of safe and responsible experimentation and development.”

Asos has been an early adopter of AI, delivering personalised shopping experiences through AI fashion stylists for nearly two years, while in 2020 it launched an augmented reality app to help customers see how garments will fit their body type before they buy.