Fashion Marketing Assignment

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Zara is a large international fashion retailer known for its fast fashion business model of designing, producing and distributing new styles to stores bi-weekly. Some key aspects of Zara's business include minimal advertising, using technology to quickly design and produce clothing, and focusing on opening new stores globally.

Zara's business model focuses on having the customer at the heart by including design, production, distribution and sales through their extensive retail network. They are known for their unique ability to develop new products very quickly and get them to stores in just 2 weeks compared to the industry average of 6 months.

Zara is claimed to need just two weeks to develop a new product and get it to stores, compared to the typical six month industry average. They launch around 10,000 new designs each year. Zara also resists outsourcing production and prefers to keep it in-house.

Fashion Marketing

Assignment
Brand:- ZARA
Content
SL.NO Content Page. No
1. Introduction
2. Profile
3. History
4. Product
5. Brands
6. Market
7. Pricing
8. Competitors
9. Turnover
10. Current scenario /New launch
11. Summary & Conclusion
12. Reference
INTRODUCTION
Zara (Spanish: [aa]) is a Spanish clothing and
accessories retailer based in Arteixo, Galicia, and
founded in 1975 by Amancio Ortega and Rosala
Mera. It is the flagship chain store of
the Inditex group; the fashion group also owns
brands such as Massimo Dutti, Pull and
Bear, Uterqe,Stradivarius and Bershka.
It is claimed that Zara needs just two weeks
[2]
to
develop a new product and get it to stores,
compared to the six-month industry average, and
launches around 10,000 new designs each year.
Zara has resisted the industry-wide trend towards
transferring fast fashion production to low-cost
countries. Perhaps its most unusual strategy was its
policy of zero advertising; the company preferred to
invest a percentage of revenues in opening new
stores instead. This has increased the idea of Zara
as a "fashion imitator" company and low cost
products. Lack of advertisement is also in contrast
to direct competitors such as Uniqlo and United
Colors of Benetton.
Zara was described by Louis Vuitton Fashion
Director Daniel Piette as "possibly the most
innovative and devastating retailer in the world."
Zara has also been described as a "Spanish success
story" by CNN

PROFILE
Zara is one of the largest
international fashion
companies. It belongs
to Inditex, one of the
worlds largest distribution
groups.

The customer is at the heart
of their unique business
model, which includes
design, production,
distribution and sales
through our extensive retail
network.

Type:- Sociedad Annima
Industry:- Retail
Founded:- Arteixo, Spain (May 24, 1974)
Founder(s):- Amancio Ortega
Rosala Mera
Headquarters:- Arteixo, Spain
Number of locations:- 1,763 stores
[1]
Area served:- Worldwide
Key people:- scar Prez Marcote,
Director-general
Products:- Clothing
Revenue:- 7.071 billion (2009)
Parent:- Industria de Diseo Textil, S.A
Divisions:-Zara Diseo, S.L. Zara Logstica,
S.A
Website;-zara.com
HISTORY
Amancio Ortega opened the first Zara store in 1975 in a central street in downtown A Corua,
Galicia, Spain.Ortega named his store Zorba after watching the classic film Zorba the Greek,
but apparently there was a bar that was called the same, Zorba, two blocks away, and the
owner of the bar came and said, "this is going to confuse things to have two Zorbas." They
had already made the molds for the letters in the sign, so they just rearranged them to see
what they could find, and they found Zara.

The first store featured low-priced lookalike
products of popular, higher-end clothing fashions. The store proved to be a success, and
Ortega began opening more Zara stores throughout Spain. During the 1980s, Ortega started
changing the design, manufacturing, and distribution process to reduce lead times and react to
new trends in a quicker way, in what he called "instant fashions". The company based its
improvements in the use of information technologies and using groups of designers instead of
individuals.
In 1980, the company started its international expansion through Porto, Portugal. In 1989 it
entered the United States and in 1990 France.
This international expansion was increased in the 1990s, with Mexico (1992), Greece (1994),
Belgium and Sweden (1994), etc. until reaching its current presence in over 73 countries.
Zara stores are company-owned, except where local legislation forbids foreigner-owned
businesses; In those cases, Zara franchises the stores.

PRODUCTS
Women:- Blazers, Dresses, Shirts, Trouser, Jeans, Skirts,
Knitwear, T-shirts, Shoes, Handbags, Accessories.
Mens:- Jackets, Blazers, Suits, Trouser, Jeans, Shirts, T-
shirts, Knitwear, Shoes, Bags, Accessories.
Girl:- Coats, Dresses, Cardigans and Sweaters,
Sweatshirts, T-Shirts, Skirts and Shorts, Jeans, Trousers,
Jogging, Shoes, Handbags, Accessories, Underwear,
Pink Collection.
Boy:-Coats, Sweatshirts, Cardigans and Sweaters,
Shirts, T-Shirts, Jeans, Trouser, Shoes, Accessories.
MARKETS
Africa America Asia Europe Middle East
Maroc/Morocc
o
Brasil China Andorra Norge /Norway Bahrain
Colomboia Japan Belgie/Belgique Polska / poland Egypt
Costa Rica Danmark Portugal Jordan
Dominican Deutschland Romania Kuwait
Republic Espana Schweiz/suisse/
svizzera
Lebanon/liban
Guatemala France Suomi/ finland Oman
Mexico Hrvatska Sverige/ sweden Qatar
Panama Ireland Turkiye / turkey Saudi Arabia
United states
of America
Italia United kingdom United Arab
Luxemburg/
Luxembourg
Osterreich Emirates
Malta Greece
Monaco Cyprus
Nederland Russia
PRICING

COMPETITORS
Fierce competition from H&M and The Gap
TURNOVER

NEW LAUNCH
IPHONE
IPAD
ANDROID
BLACKBERRY 10
WINDOWS PHONE
CURRENT SCENARIO/
Interbrand ranks Zara among its top 50 Best Global Green Brands
12.06.2013
Zara is one of the 50 most sustainable brands in the world according
to the Best Global Green Brands report just released by brand
consultancy Interbrand.

2013 is the first year to feature Spanish companies, with Banco Santander
also making the grade. The consultancy highlights the brand as new
entrant alongside Nestl (#14), KIA (#37) and Colgate (#50). The Best
Global Green Brands report examines the gap that exists between a
corporation's environmental practices and consumers' perceptions of
those practices to compile a top 50 ranking of the greenest brands.
According to Interbrand, the report provides companies with the insight
they need to develop robust strategies that have a positive impact on the
environment and communities in which those businesses operate.

SUMMARY & CONCLUSION
Strengths
1. Effective information technology
investments to help reduce costs
2. Fast and responsive communication
within the entire supply chain
3. Minimalinventory, which creates a sense
of exclusivity
4. Inspired,fast, and responsive design
team
5. Up-to-date designs at attractive prices

Weaknesses
1. Resist outsourcing,which creates high
labour costs
2. Minimal advertising
3. Low in-store inventory

Opportunities
1. Fast-growing demand from Asian markets
2. Advantage of Spain joining the EU
3. Outsourcing when necessary to further cut
costs
4. Launch more advertising campaigns

Threats
1. Fierce competition from H&M and The
Gap
2. Increasing labour costs at its own
manufacturing facilities
3. Changesin consumer behaviour
4. Saturation of retailers of the clothing
industry

REFERENCE
http://www.slideshare.net/roula72/zara-
presentation-1
http://www.slideshare.net/gunbal/zara-
7936993
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