SlideShare a Scribd company logo

Zara

zara marketing , brand position , strategy , swot analysis , Target, Price and Vision,objective, macro and micro factors , PORTERS 5 FORCE MODEL , projection , sales, production , communication

1 of 19
Download to read offline
Zara is one of the largest international fashion companies. It belongs to
INDITEX, one of the world largest distribution groups.
The customer is at the heart of their unique business model, which
includes design, production, distribution and sales through extensive
retail network.
ZARA MARKETING
ZARA's Target, Price and Vision.
Zara's consumer are young,highly sensitive to latest
fashion trends.
Zara sells apparel , footwear and accessories for
women, men and children.
Zara offers fashion at affordable price by following
the up to date fashion trends.
Vision of Zara : Zara is committed to satisfy the
desire of customer. They pledge to innovate
business to improve experience. Also, they
promise to provide new design made from quality
material which are affordable.
Mission Statement : Through Zara's business
model, one aims to contribute to sustainable
development of society and that of the
environment with which it interacts.
ZARA's Brand Positioning
Zara among others has 3000 store
worldwide.
Zara controls and coordinates all
the process and allows to reduce
the time to minimum. Zara
provides the considerable
number of products which are
more than rival corporations in
the fashion industry.
Zara spends four to five weeks on
the process of designing new
product and getting the finished
products in the stores.
ZARA's Marketing Objective
Overall Objectives: Increase customer equity
1. Increase consumer satisfaction, decrease
dissatisfaction of the plus size consumer.
2. Increase purchase frequency among plus size
customers.
3. Continue to grow by extending the Zara fashion
brand.
4. Increase brand awareness and favourable
attitudes among consumers.
Demographic Target: Aged 18-40, work in big cities/
pursuing higher- level education/ Mid- Range
income.
Psychographic Target: interested in fashion trends /
conscious about the looks / Enjoy Shopping and
socialising / Hectic lifestyle.
STRENGTHS:
• Cost leadership strategy
• Efficient distribution
• Fast delivery of new styles (every
15 days)
• Brand loyalty
• Brand awareness
WEAKNESS
• Dosent spend much money on
advertising
• No online portal to buy products
• Zara only has 1 manufacturing
and distribution centre In the
world
OPPORTUNITY
• Global market penetration
• Online store
• More distribution centres
• Offer the
THREAT
• Global competitors
• Market entry barriers
• Currency fluctuation
rates
SWOT ANALYSIS FOR ZARA
PORTERS 5 FORCE MODEL
1) BARGANING POWER OF SUPPLIERS:
• LOW
• Variety of suppliers competing for the same target group
2) BARGAINING POWER OF THE BUYER:
• High
• Consumers have a wide variety of styles and brands to choose from
3)THREAT OF NEW ENTRANTS:
• Medium
• High fixed costs
• Longer sales cycle
4)THREAT OF SUBSTITUTES:
• Moderate
• Competitors do exist such as H&M, F21, Topshop
5)COMPETITIVE RIVALRY:
• High

Recommended

Ppt on zara
Ppt on zaraPpt on zara
Ppt on zararoyji
 
ZARA 's Business Strategy
ZARA 's Business StrategyZARA 's Business Strategy
ZARA 's Business StrategyMaria Giokarini
 
Zara company profile with history and marketing strategy
Zara company profile with history and marketing strategyZara company profile with history and marketing strategy
Zara company profile with history and marketing strategyTanveer Ahmed
 
Zara Global Strategy
Zara Global StrategyZara Global Strategy
Zara Global StrategySamarth Gupta
 

More Related Content

What's hot

What's hot (20)

ZARA Case Study- PESTLE - SWOT Analysis
ZARA Case Study- PESTLE - SWOT AnalysisZARA Case Study- PESTLE - SWOT Analysis
ZARA Case Study- PESTLE - SWOT Analysis
 
ZARA
ZARAZARA
ZARA
 
Zara presentation 1
Zara presentation 1Zara presentation 1
Zara presentation 1
 
Final Zara Marketing Strategy !!
Final Zara Marketing Strategy !!Final Zara Marketing Strategy !!
Final Zara Marketing Strategy !!
 
Zara case study
Zara case studyZara case study
Zara case study
 
Zara's Fast-Fashion Edge
Zara's Fast-Fashion EdgeZara's Fast-Fashion Edge
Zara's Fast-Fashion Edge
 
STP Analysis of ZARa
STP Analysis of ZARaSTP Analysis of ZARa
STP Analysis of ZARa
 
Zara marketing plan
Zara marketing planZara marketing plan
Zara marketing plan
 
Study on Zara International Strategy
Study on Zara International StrategyStudy on Zara International Strategy
Study on Zara International Strategy
 
Brand management - H&M
Brand management - H&M Brand management - H&M
Brand management - H&M
 
Zara business strategy analysis
Zara business strategy analysisZara business strategy analysis
Zara business strategy analysis
 
Vertical integration and Zara Retailing
Vertical integration and Zara RetailingVertical integration and Zara Retailing
Vertical integration and Zara Retailing
 
Micro and Macroeconomic Outlook of Zara
Micro and Macroeconomic Outlook of Zara Micro and Macroeconomic Outlook of Zara
Micro and Macroeconomic Outlook of Zara
 
Zara Marketing Campaign Design
Zara Marketing Campaign DesignZara Marketing Campaign Design
Zara Marketing Campaign Design
 
Zara case study
Zara case studyZara case study
Zara case study
 
Zara - supply chain & value creation
Zara -  supply chain & value creationZara -  supply chain & value creation
Zara - supply chain & value creation
 
Zara segmentation by
Zara segmentation byZara segmentation by
Zara segmentation by
 
Zara case analysis
Zara case analysisZara case analysis
Zara case analysis
 
Brand Management - Zara Fashion
Brand Management - Zara FashionBrand Management - Zara Fashion
Brand Management - Zara Fashion
 
ZARA
ZARAZARA
ZARA
 

Similar to Zara

Business model of zara
Business model of zaraBusiness model of zara
Business model of zaraKanika Verma
 
Zara_ History, Business Model, Strategies, and Financial Performance.pdf
Zara_ History, Business Model, Strategies, and Financial Performance.pdfZara_ History, Business Model, Strategies, and Financial Performance.pdf
Zara_ History, Business Model, Strategies, and Financial Performance.pdfAmibaKumar
 
Imp zaracompanyprofilewithhistoryandmarketingstrategy 170415065651
Imp  zaracompanyprofilewithhistoryandmarketingstrategy 170415065651Imp  zaracompanyprofilewithhistoryandmarketingstrategy 170415065651
Imp zaracompanyprofilewithhistoryandmarketingstrategy 170415065651Akshay Gaikwad
 
Marketing Presentation.pptx
Marketing Presentation.pptxMarketing Presentation.pptx
Marketing Presentation.pptxchandansahoo82
 
4cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app6891
4cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app68914cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app6891
4cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app6891Akshay Gaikwad
 
Zara Case Study (Value Chain Management)
Zara Case Study (Value Chain Management)Zara Case Study (Value Chain Management)
Zara Case Study (Value Chain Management)Syed Ali Roshaan Raza
 
Business Environment and Ethical practices PRESENTATION (2).pptx
Business Environment and Ethical practices PRESENTATION (2).pptxBusiness Environment and Ethical practices PRESENTATION (2).pptx
Business Environment and Ethical practices PRESENTATION (2).pptxDanishChandra
 
Zara - case study --
Zara - case study --Zara - case study --
Zara - case study --Mansur Rashid
 
Zara supply chain management
Zara supply chain managementZara supply chain management
Zara supply chain managementStudent
 
Group 12a zara scm
Group 12a   zara scmGroup 12a   zara scm
Group 12a zara scmCP default
 
Marketing excellence zara
Marketing excellence   zaraMarketing excellence   zara
Marketing excellence zaraAshutosh Sharma
 
Powerpointpresentationonzarabyjitu 131228043933-phpapp02
Powerpointpresentationonzarabyjitu 131228043933-phpapp02Powerpointpresentationonzarabyjitu 131228043933-phpapp02
Powerpointpresentationonzarabyjitu 131228043933-phpapp02Akshay Gaikwad
 
Microsoft power point zara strategy case
 Microsoft power point zara strategy case Microsoft power point zara strategy case
Microsoft power point zara strategy caseTanya Boichun
 
Zara Information System
Zara Information SystemZara Information System
Zara Information SystemBeth Evans
 

Similar to Zara (20)

Case study on Zara
Case study on ZaraCase study on Zara
Case study on Zara
 
Business model of zara
Business model of zaraBusiness model of zara
Business model of zara
 
Zara_ History, Business Model, Strategies, and Financial Performance.pdf
Zara_ History, Business Model, Strategies, and Financial Performance.pdfZara_ History, Business Model, Strategies, and Financial Performance.pdf
Zara_ History, Business Model, Strategies, and Financial Performance.pdf
 
Zara - Brand Analysis
Zara - Brand AnalysisZara - Brand Analysis
Zara - Brand Analysis
 
Imp zaracompanyprofilewithhistoryandmarketingstrategy 170415065651
Imp  zaracompanyprofilewithhistoryandmarketingstrategy 170415065651Imp  zaracompanyprofilewithhistoryandmarketingstrategy 170415065651
Imp zaracompanyprofilewithhistoryandmarketingstrategy 170415065651
 
Zara cs
Zara csZara cs
Zara cs
 
Marketing Presentation.pptx
Marketing Presentation.pptxMarketing Presentation.pptx
Marketing Presentation.pptx
 
4cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app6891
4cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app68914cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app6891
4cf24d79 eb5c-43de-ae87-25e3cff10b40-150512021951-lva1-app6891
 
Zara Case Study (Value Chain Management)
Zara Case Study (Value Chain Management)Zara Case Study (Value Chain Management)
Zara Case Study (Value Chain Management)
 
Zara mini case
Zara mini caseZara mini case
Zara mini case
 
Business Environment and Ethical practices PRESENTATION (2).pptx
Business Environment and Ethical practices PRESENTATION (2).pptxBusiness Environment and Ethical practices PRESENTATION (2).pptx
Business Environment and Ethical practices PRESENTATION (2).pptx
 
Zara - case study --
Zara - case study --Zara - case study --
Zara - case study --
 
Zara final search
Zara final searchZara final search
Zara final search
 
Zara supply chain management
Zara supply chain managementZara supply chain management
Zara supply chain management
 
Group 12a zara scm
Group 12a   zara scmGroup 12a   zara scm
Group 12a zara scm
 
Marketing excellence zara
Marketing excellence   zaraMarketing excellence   zara
Marketing excellence zara
 
Powerpointpresentationonzarabyjitu 131228043933-phpapp02
Powerpointpresentationonzarabyjitu 131228043933-phpapp02Powerpointpresentationonzarabyjitu 131228043933-phpapp02
Powerpointpresentationonzarabyjitu 131228043933-phpapp02
 
Microsoft power point zara strategy case
 Microsoft power point zara strategy case Microsoft power point zara strategy case
Microsoft power point zara strategy case
 
Zara Information System
Zara Information SystemZara Information System
Zara Information System
 
Zara retail
Zara retailZara retail
Zara retail
 

Recently uploaded

National Garden Bureau-Year-of-PPT-Buddleia-2024.pdf
National Garden Bureau-Year-of-PPT-Buddleia-2024.pdfNational Garden Bureau-Year-of-PPT-Buddleia-2024.pdf
National Garden Bureau-Year-of-PPT-Buddleia-2024.pdfNational Garden Bureau
 
PC © Dawn Studio PT - All Rights Reserved.pptx
PC © Dawn Studio PT - All Rights Reserved.pptxPC © Dawn Studio PT - All Rights Reserved.pptx
PC © Dawn Studio PT - All Rights Reserved.pptxdawnstudiopt
 
Elegance Redefined: The Fashion Odyssey of Kavita Punekar in New Jersey
Elegance Redefined: The Fashion Odyssey of Kavita Punekar in New JerseyElegance Redefined: The Fashion Odyssey of Kavita Punekar in New Jersey
Elegance Redefined: The Fashion Odyssey of Kavita Punekar in New Jerseydsnow9802
 
【文凭定制】赫特福德大学毕业证学历认证
【文凭定制】赫特福德大学毕业证学历认证【文凭定制】赫特福德大学毕业证学历认证
【文凭定制】赫特福德大学毕业证学历认证muvgemo
 
RR © Dawn Studio PT - All Rights Reserved.pptx
RR © Dawn Studio PT - All Rights Reserved.pptxRR © Dawn Studio PT - All Rights Reserved.pptx
RR © Dawn Studio PT - All Rights Reserved.pptxdawnstudiopt
 
Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...
Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...
Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...Printchester
 
VN © Dawn Studio PT - All Rights Reserved.pptx
VN © Dawn Studio PT - All Rights Reserved.pptxVN © Dawn Studio PT - All Rights Reserved.pptx
VN © Dawn Studio PT - All Rights Reserved.pptxdawnstudiopt
 

Recently uploaded (7)

National Garden Bureau-Year-of-PPT-Buddleia-2024.pdf
National Garden Bureau-Year-of-PPT-Buddleia-2024.pdfNational Garden Bureau-Year-of-PPT-Buddleia-2024.pdf
National Garden Bureau-Year-of-PPT-Buddleia-2024.pdf
 
PC © Dawn Studio PT - All Rights Reserved.pptx
PC © Dawn Studio PT - All Rights Reserved.pptxPC © Dawn Studio PT - All Rights Reserved.pptx
PC © Dawn Studio PT - All Rights Reserved.pptx
 
Elegance Redefined: The Fashion Odyssey of Kavita Punekar in New Jersey
Elegance Redefined: The Fashion Odyssey of Kavita Punekar in New JerseyElegance Redefined: The Fashion Odyssey of Kavita Punekar in New Jersey
Elegance Redefined: The Fashion Odyssey of Kavita Punekar in New Jersey
 
【文凭定制】赫特福德大学毕业证学历认证
【文凭定制】赫特福德大学毕业证学历认证【文凭定制】赫特福德大学毕业证学历认证
【文凭定制】赫特福德大学毕业证学历认证
 
RR © Dawn Studio PT - All Rights Reserved.pptx
RR © Dawn Studio PT - All Rights Reserved.pptxRR © Dawn Studio PT - All Rights Reserved.pptx
RR © Dawn Studio PT - All Rights Reserved.pptx
 
Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...
Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...
Printchester Print On Demand Revolution - A Game-Changer in Customized Mercha...
 
VN © Dawn Studio PT - All Rights Reserved.pptx
VN © Dawn Studio PT - All Rights Reserved.pptxVN © Dawn Studio PT - All Rights Reserved.pptx
VN © Dawn Studio PT - All Rights Reserved.pptx
 

Zara

  • 1. Zara is one of the largest international fashion companies. It belongs to INDITEX, one of the world largest distribution groups. The customer is at the heart of their unique business model, which includes design, production, distribution and sales through extensive retail network. ZARA MARKETING
  • 2. ZARA's Target, Price and Vision. Zara's consumer are young,highly sensitive to latest fashion trends. Zara sells apparel , footwear and accessories for women, men and children. Zara offers fashion at affordable price by following the up to date fashion trends. Vision of Zara : Zara is committed to satisfy the desire of customer. They pledge to innovate business to improve experience. Also, they promise to provide new design made from quality material which are affordable. Mission Statement : Through Zara's business model, one aims to contribute to sustainable development of society and that of the environment with which it interacts.
  • 3. ZARA's Brand Positioning Zara among others has 3000 store worldwide. Zara controls and coordinates all the process and allows to reduce the time to minimum. Zara provides the considerable number of products which are more than rival corporations in the fashion industry. Zara spends four to five weeks on the process of designing new product and getting the finished products in the stores.
  • 4. ZARA's Marketing Objective Overall Objectives: Increase customer equity 1. Increase consumer satisfaction, decrease dissatisfaction of the plus size consumer. 2. Increase purchase frequency among plus size customers. 3. Continue to grow by extending the Zara fashion brand. 4. Increase brand awareness and favourable attitudes among consumers. Demographic Target: Aged 18-40, work in big cities/ pursuing higher- level education/ Mid- Range income. Psychographic Target: interested in fashion trends / conscious about the looks / Enjoy Shopping and socialising / Hectic lifestyle.
  • 5. STRENGTHS: • Cost leadership strategy • Efficient distribution • Fast delivery of new styles (every 15 days) • Brand loyalty • Brand awareness WEAKNESS • Dosent spend much money on advertising • No online portal to buy products • Zara only has 1 manufacturing and distribution centre In the world OPPORTUNITY • Global market penetration • Online store • More distribution centres • Offer the THREAT • Global competitors • Market entry barriers • Currency fluctuation rates SWOT ANALYSIS FOR ZARA
  • 6. PORTERS 5 FORCE MODEL 1) BARGANING POWER OF SUPPLIERS: • LOW • Variety of suppliers competing for the same target group 2) BARGAINING POWER OF THE BUYER: • High • Consumers have a wide variety of styles and brands to choose from 3)THREAT OF NEW ENTRANTS: • Medium • High fixed costs • Longer sales cycle 4)THREAT OF SUBSTITUTES: • Moderate • Competitors do exist such as H&M, F21, Topshop 5)COMPETITIVE RIVALRY: • High
  • 7. MACRO ANALYSIS POLITICS •Zara is a big brand that has its own vertical integration, where the company owns its own factories, transport and their own outlets all over the world •So it is very important to keep a track of the political situations worldwide •The management must know the trade system they operate in, import export policies etc •For eg: Zara’s owners had to face fine in brazil for providing poor working conditions ECONOMIC •Zara should be familiar with interest rates, inflation, taxes, exchange rates , as zara is a brand that does not cater to lower income groups. Therefore its important to know weather or not their brand is affordable in the particular market •Also profit margins while managing costs has to be taken care of SOCIETY The social factors that seem to impinge on fashion industry is the spending power of the potential customers In zara’s case, it is very important to to know customer spending pattern and the changing trends. Here, studying about demographics plays an important role
  • 8. TECHNOLOGY • The newer the technology, better the efficiency in an organisation. Technological changes also bring quality control and maintain a type of standard in each product • Zara has a global presence physically but through zara.com and the social media, the organisation can have virtual presence as well. • It can help the company stay connected with the customers and can make them a part of the brand LEGAL • The company has to make sure the coverage of all legal aspects while maintaining operating costs and making profits • Legal formalities can affect a company’s reputation plus costs ENVIRONMENT • Consumers of the present era are all well informed and use products that are socially accepted • Therefore the company needs to focus on how their products are created from environmental friendly material also if any of their product is harming the environment in any way
  • 9. PROJECTION & SALES IDEOLOGY BEHIND ZARA’S FAST FASHION Ortega was famous for his view on clothes as a perishable commodity; that people would love to use them and throw them away, just like yogurt or bread. He produces ‘fresh baked clothes’ that survive the changing street fashion trends for not more than a month or two. You go to the store a week too late and all the clothes would be changed.
  • 10. • Zara needs just one week to develop a new product and get it to stores, compared to the six-month industry average, and launches around 12,000 new designs each year . • More than 92 % of the company overall stores are run and owned by Zara for better operations • Zara can have finished goods in its stores in four to five weeks; it can modify existing items in as little as two weeks. • Shorter product life cycle means greater success. • Zara monitors customers fashion changes and picks very carefully. • Zara has a range of basic designs that are carried over from year to year, but fashion forward designs stay on the shelves less than four weeks, which encourages Zara fans to make repeat visits. • An average high-street store in Spain expects customers to visit three times a year. That goes up to 17 times for Zara.
  • 11. MOST APPAREL RETAILERS commit six months in advance to the designs for 40 to 60 percent of their seasonal lines. By the start of each season, nearly 80 percent of that season’s inventory is committed—meaning a lot of it has already been manufactured. ZARA commits six months in advance to only 15 to 25 percent of a season’s line. And it only 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. For its long-lead items, Zara uses the same foreign factories as everybody else because the costs are cheaper. But for the fast-fashion items Zara produces in-house (mostly everything in SPAIN) instead of world wide suppliers. ZARA DOESN’T NEED TO FORECAST DEMAND. IT CAN RESPOND TO DEMAND AS IT DEVELOPS AND CHANGES. PRODUCTION
  • 12. • Zara ships more often in smaller batches WOMEN 58% KIDS 20% MEN 22% Sales WOMEN KIDS MEN Zara’s clothing for women Zara Women $49.90+ Up Zara Basic $29.90 -$49.90 Zara TRF $4.90 - $29.90 Customer Service & Convenience 1. Alterations 2. Dry Cleaning. 3. Exchanges & Returns 4. Reservations: 5. Methods of Payment 6. Affinity Cards : 7. Gift Cards. 8. Gift receipt Visual Merchandising within the store 1. Fully dressed mannequin inspiration 2. Point-of-Sale areas are located near the purchase counter to engage the customer Zara’s spring collection helped push sales across Inditex up by 15 % in the first five weeks of the financial year that started in February 2016 Sales rose 18% in 2015 Sales in 2013 - $12.6 billion apprx Sales increased by 8% 2014 – $19.7 billion apprx 2013 – Sales grew only 5%
  • 13. • The main marketing factor is the selection of the specific locations for its stores as the company mainly opens its stores in high end retail markets. • Zara does not spend much money on promotion. They prefer investing a percentage of revenues in opening new stores • It spends 0.3 per cent of sales on advertising compared to average of 3.5 per cent of competitors. Zara thinks that the store windows and the content is the most necessary advertising for them. • It can also be analyzed that the company is high on achieving its brand goal of driving high traffic on its retails locations. COMMUNICATION In 2012, Zara was ranked the 18th most liked Facebook company by business insider.
  • 15. Research Plan • Zara’s research teams constantly monitor external developments • by attending as consumers on catwalks, at airports, shopping areas, sport events, movies and other events. • The team, which consists of passionate designers, experienced market specialists and production planners, are able to annually create approximately 40’000 new designs of which about 10’000 are quickly selected and put into production.
  • 16. Digital marketing plan • The company has a goal to achieve $5 million as online revenue. • Zara is focusing on the customer ship to achieve there level maintained by the management • also targeting on the lifestyle and moderation of the customers. • For the change and to be different from others every month company changes the clothes in their stores & website.
  • 18. Brand Plan • The company's Plan involves stocking very little and updating collections often. • Instead of other brands that only update once a season, Zara restocks with new designs twice a week. • That strategy works two ways ; 1. it encourages customers to come back to the store often. 2.It also means that if the shopper wants to buy something, he or she feels that they have to buy it in order to guarantee it won't sell out.