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Assignment 1 - Zara

Zara uses a unique fast fashion business model that allows it to replenish stores with new designs twice a week. It commits to only 15-25% of designs for a season in advance, locking in 50-60% by the start of the season. This allows Zara to react quickly to trends and design new styles while trends are still popular. Zara keeps 85% of production in-house to facilitate quick in-season adjustments. It focuses on high-quality fashion at affordable prices and relies on word-of-mouth promotion over traditional advertising.

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100% found this document useful (1 vote)
4K views28 pages

Assignment 1 - Zara

Zara uses a unique fast fashion business model that allows it to replenish stores with new designs twice a week. It commits to only 15-25% of designs for a season in advance, locking in 50-60% by the start of the season. This allows Zara to react quickly to trends and design new styles while trends are still popular. Zara keeps 85% of production in-house to facilitate quick in-season adjustments. It focuses on high-quality fashion at affordable prices and relies on word-of-mouth promotion over traditional advertising.

Uploaded by

Sarika Rana
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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VISUAL MERCHANDISING ASSIGNMENT 1

ZARA

SWATI RAVAL ZEBA FATIMA

SARIKA RANA VIDHI PARIKH


1975 • First Store open in Spain
INTRODUCTION
1988 • Goes international, Portugal

It has introduced the concept of “fast fashion”. • NYC


T
I
1989

First store was opened in La Coruña by Amancio Ortega • France


M
1990
Gaona in 1975.
• Greek
E
1992
It offers a wide range of clothing for men, women, young
adults’ and children. • Belgium & Sweden
1994
L
Zara made an entry into the Indian market in 2010 and • Malta
opened its first store in Delhi.
1995
I
• Enter the crypto market
Four keywords that define all stores and online platforms:
1996
N
beauty, clarity, functionality and sustainability. • Norway & Israel
1997
E
Designers respond instinctively to their changing needs, 2004 • Reaches 2000 milestone
reacting to the latest trends and constant feedback
received across its Woman, Man and Kids collections, to
2010 • Online ; India & Rome
deliver new ideas in the right place and at the right
moment.
2015 • 6000 to 7000 milestone
ZARA’S STORE
REPLENISHMENT
STRATEGIES
Zara, commits six months in advance to only 15 to 25 percent
of a season’s line. Zara ship more often and in smaller
batches.

Locks in 50 to 60 percent of its line by the start of the season,


meaning that up to 50 percent of its clothes are designed
and manufactured smack in the middle of the season.

Zara reacts quickly, designs new styles, and gets them into
stores while the trend is still peaking.

It keeps a significant amount of its production in-house and


makes sure that its own factories reserve 85 percent of their
capacity for in-season adjustments.

Zara doesn’t need to forecast demand. It can respond to


demand as it develops and changes.
MARKETING MIX
PRODUCT
It offers products for men, women and
children like jeans, trousers, tops, skirts,
knitwear, T-shirts, shoes, bags and
accessories.

It is a one stop solution for everyone


whether you want to buy formals or
casuals.

Focuses on high-end fashionistas as well


as the masses.

The taste of the target market influences


the availability of products line.

Zara also teams up with local talent to


provide best fashion trends especially for
indian customers.
PRICE
Follows low pricing strategy as
products are high on fashion

It has an overall low cost structure


compared to its competitors. Its
prices are country specific.

Zara sets market-based pricing


strategy which sets the target price
consumer is willing to pay.

The brand uses various schemes as a


way of sales promotion. Zara has low
level of discounting around the year
and discount sales of 50% or more
twice in a year, for which the
consumers eagerly wait.
PLACE

It has enormous reach with stores


in 88 countries, with over 7000
outlets. apart from its stores, it
also sells online.

Most of the stores are owned by


the company, not a franchise. this
helps in keeping the shopping
experience at zara intact and
constant be it london or paris or
new delhi.

the stores are located in posh


locations and are spacious and
modern in look with walled
mirrors and excellent lightings.
PROMOTION
They barely spends any money on advertising. It is famous for
being press shy.

Unlike its competitors, Zara doesn’t engage in any flashy


campaigns. This is the reason why Zara’s advertisements are
not visible on television.

It relies on word of mouth promotion and social media rather


than expensive marketing tools.

Zara’s social media reach is quite exceptional. It has 2.5


million followers on Facebook and 15 million followers on
Instagram.

The brand spends money on expensive real estate for its


stores and on its décor. They believe that its show windows
are suffice for advertisements and they do not need
anything else to sell their products.
PLANOGRAM
Zara’s product merchandising policies emphasized broad, rapidly changing
product lines. The company’s merchandising strategy heavily relies on colour
presentationworkers are constantly replenishing the floor and uses the idea-
oriented presentation method.

Customers are able to get entire outfit ideas from the fully dressed
mannequins and more inspiration from the way that the merchandise is
displayed. Mixed fixtures and rounder right by the check-out counters to “guide”
the lines and attract interest from customers during the final purchase.

Use frontal presentation on one side of the display to present an entire outfit
along with shoes, and then maximize the space beside it by using a straight
rack to keep all the available sizes of each article using only wooden hangers
for all of their clothing as well as placing mirrors everywhere possible that
reach from ceiling to floor.
Point-of-Sale areas are located near the purchase counter at the back of the store. These areas are
where small accessories such as earrings, necklaces, bracelets, sunglasses, etc., can be found
Overall, the planogram represents organization in respect to color spectrum and similar
items. The caged appearance is a simple chic look with minimal appeal, to draw more
attention to the clothing.
STORE LAYOUT
Zara use the typical Free-Form (Boutique) Layout, making the customer feel more at home.

Bright lighting is used in Zara stores to highlight all the vivid colours, fabrics, and designs used on the merchandise.

Zara places its bestselling merchandise, which is Zara Women, within right side wall combines to maximize the use of
the wall is that they illuminate the entire section to draw customers to that particular area

Interior store layout:

Zara Women section to the right of the entrance

Zara Basic section to the left continuing on to


the middle of the store, and then the Zara TRF
section located in the back as well as the fitting
rooms.

horizontal and vertical alignments of their


products, but also they have pyramid alignments
Window display
Window Display

These are the information link to the potential customers there are less
than 11 sec for the window to attract customers so display needs to be really very attractive, customers
get bored looking at the same display over and over so it should be changed more often good themes
should be added, display should be in harmony of the surroundings considering the whole

Zara recognizes that the brand seems a fashion magazine because provides a complete look for his
clients through the walls in store. The brand creates a friendly relation with the client and a position of
trust, reinforcing its role as image consulting and excellence.

Store atmosphere Zara generates loyalty. They are perceived as a boutique, related to
discreet, elegance, sobriety –neutral colors-, minimal but warm
The windows within the store are box-type,
closed back top lit, while windows at the
façade of the store are open back and
bottom lit.

These windows typically have themes while


doing displays and mostly lifestyle
merchandise is used to do the displays.

WINDOW
Indoor Lighting
OUTDOOR LIGHTING
At Zara, General lighting in most of its stores
is a combination of white and creamy yellow
which accentuates merchandise and focal
points and enhances visibility of the same.
LIGHTING

Lighting is essential in the stores to divert customers’ attention towards merchandise.


A shopper’s eye is automatically diverted towards the brightest area. The degree and type or lighting
needed depend on the merchandise to be presented.

Spotlights emphasise key promotion, displays; lights of varying intensity draw shoppers to particular
areas. In fitting rooms and mirrored selling areas, lighting must be designed to flatter customers. Special
lighting like focus lights are used specially in windows for displays

There are four types of lights used in Zara store’s illumination:

• Primary Lighting: Overall Level of Illumination.


• Secondary Lighting: Illumination for Designated display Area.
• Atmosphere Lighting: Play light against shadow to create distinctive effect on specific display.
• Harmony: It is the agreement in the feeling and consistency in the mood. The three forms of
harmony are functional, structural, and decorative.
SIGNAGES
Graphics and signage communicate your store image. They
can be used to educate customers’ store.

Graphics and signage should present a uniform level of


quality.

Signage vary according to different categories of products and


formats as well.

At Zara, signages are mostly varying according to the category it


represents. For example in case of Hi-Tech is of size A-5, on Bins
is A-6, in case of Fashion is of A-4, etc.

There are also shelf talkers on shelf strips and wobblers are
placed to highlight offers and new merchandise in most stores.
BANNERS
Zara uses banners to display the exclusive offers of the
store. Zara believes in changing the banners more often
considering it will have a positive impact on the customers
and that will tempt them to come.

MARQUEES
These special type of signs at Zara are used to
displays name of the store and also gives an
opportunity to display special and seasonal
offers(like Christmas, Festive season, EOSS
offers).
MANNEQUIN
Zara mostly uses abstract mannequins and places the
garments in the most simplistic manner. They combine
outfits to give customers an idea as to what pair could
look good.

Shop mannequins are intended to help one imagine


how you’d put together an outfit, but often the
results are more unsettling than inspiring. So Zara
has decided to shake up the display game, by
launching a new in store experience.
FACADE
A facade or façade is generally one side of the
exterior of a building, especially the front, but also
sometimes the sides and rear. The word comes from
the French language, literally meaning “frontage”
or “face”.

Zara first positioning is through the spectacular and


spacious buildings, small entrance, heavier doors of
design, important facades and use of historic buildings
DISPLAY THEME
Store Display Settings
There is a full-time team of architects and visual-
merchandising experts whose sole job at Zara HQ
is to design and curate every aspect of the store.

These two teams have a 3-D canvas on which to set


out their visions in the form of several mock Zara
store across all of its categories.

“Pilot stores” are hidden in the depths of Zara’s


Positive Version (001) headquarters in Spain.
DISPLAY FIXTURES
Display fixtures include racks, stands, tables, shelves, and
other devices for physically presenting merchandise.

FOCAL POINT
Zara makes Merchandise the Focal Point. The main
goal of display is to showcase the products within the
overall display area. Customers give three to five
seconds of their attention to window display.
SHOP THE LOOK
• Temporarily ditched traditional mannequins and window displays for an
augmented reality fashion show
• Encourages shoppers to download the Zara app available on iOS and Android to
view the experience.
• One can simply point your phones at the window display or special podiums set
up throughout the store to activate an augmented reality fashion show
experience.
SHOP THE LOOK
If one likes what one sees, shoppers
can purchase the outfits as a whole
or item-by-item with the touch of a
button in the app or within the store.
ZARA

THANK
YOU

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