Brandmanagementzarapresentation 161111201045
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Zara is a Spanish clothing and accessories retailer founded in 1975 that is known for its fast fashion model. It quickly designs and manufactures clothing in response to the latest trends. Zara expanded internationally starting in the late 1980s and is now present in over 88 countries. While some of Zara's designs have faced controversy for resembling Nazi uniforms, it remains popular due to its ability to offer affordable, on-trend clothing around the world through a vertically integrated supply chain and thousands of stores.
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Brandmanagementzarapresentation 161111201045
- 1. ZARA Affordable Fashion • Seerat Khanka • Atul Lohani • Aviraj Gupta • Prosenjit Sarkar
- 2. Objectives • By the end of this session, you’ll learn: • What is Zara? • Its history • The concept behind it, and • Zara’s expansion and growth plans
- 3. What is ZARA? • Founded in 1975 by Amancio Ortega and Rosalía Mera • Zara is a Spanish clothing and accessories retailer based in Arteixo, Galicia • It is the flagship chain store of the Inditex group, the world's largest apparel retailer
- 4. HISTORY • Amancio Ortega opened the first Zara store in 1975 in a central street in downtown A Coruña, Galicia, Spain • Ortega named his store Zorba after watching the classic film Zorba the Greek • But apparently, there was a bar with the same name just two blocks away, and the owner of the bar came and said, "this is going to confuse things, to have two Zorbas” • Finally, Amancio ended up naming the brand ZARA.
- 5. S.T.P Segment Clothes for people with a combined attitude of work and play Target Group People with medium to high purchasing power who love to look glamorous at all times Positioning Fashionable look alike merchandise which is still extremely innovative.
- 6. CONCEPT • The first store featured low-priced look-alike products of popular, higher-end fashion clothing. • The store proved to be a success, and Ortega began opening more Zara stores throughout Spain. • During the 1980s, he started changing the design, manufacturing, and distribution process to reduce lead times • Reacted to new trends in a quicker way - called "instant fashion" • The company based its improvements in the use of information technology and using groups of designers instead of individuals.
- 7. EXPANSION • 1988 - Zara started its international expansion through Porto, Portugal • 1989 - entered the USA • 1990 – France • International expansion increased in the 1990s Mexico (1992) Greece (1994) Belgium Sweden (1994) • current presence in over 88 countries. • Zara stores are company-owned, except where local legislation forbids foreigner-owned businesses; In those cases, Zara franchises the stores
- 8. PRODUCTS • As of 2007, Zara stores have men's clothing and women's clothing in the following categories: Lower Garment Upper Garment Shoes Cosmetics and Complements Children's clothing (Zara Kids)
- 9. GROWTH • Zara Flagship brand Encompasses many different styles, from daily clothes, more informal, to the more serious or formal, through dresses and suits for festival events Fashion for women, men and children. • Zara Kids Kids Clothing from 0 to 14 years old. • Zara Home Domestic merchandise
- 10. CONTROVERSY In 2014, Zara had to remove a striped baby shirt with a sewed-on badge identical to the Star of David, after shoppers were outraged by its similarities to a Nazi death camp uniform.
- 11. CONTROVERSY In 2007, a bag embroidered with Nazi-style swastikas was withdrawn by Zara, after a rush of complaints.
- 12. WHY ZARA? • Even though this brand has been associated with controversies it is still one of the most preferred brands all over the world in this price segment. • How about advertising? Well, Zara doesn't do it. There is no ad budget. Instead, the company spends ungodly amounts of money buying storefronts next to luxury brands to own the label of affordable luxury. • After all who doesn’t like to save some money, right?
- 13. Why ZARA? Contd • Zara was described by Louis Vuitton Fashion Director Daniel Piette as "possibly the most innovative and devastating retailer in the world." • Zara is also known to be one of the most eco-friendly companies. It uses solar panels and wind turbines at the headquarters in La Coruna. • Zara is also known to be one of the few clothing brands that produces 100 % toxic-free clothing, but not until after the uproar that was caused on how it was using the cancer-inducing azo dyes in its clothing.
- 15. Thank You