ZARA Presentation (Zara is a large Spanish multinational clothing retailer).pptx

ZARA Presentation (Zara is a large Spanish multinational clothing retailer known for its fast fashion model. It produces over 450 million items per year.) It sells affordable, high quality men's, women's and children's clothing and Zara has a targeting strategy focused on following fashion trends closely and updating stores twice weekly. Its target market includes young, price-conscious ...

1. THE ZARA CASE A retailer group moving very fast RIJVI AHMED RAJU ID: 212910401114 present

2. ZARA’S GLOBAL EXPANSION PLAN Europe United States Asia Switzerland and Sweden. First store in Milan. Zara Home was established in London in 2003. decided to open a store everyday anywhere in the world and increase its stores’ strength to 4000 by 2009 Intentioned to expand in China and in the rest of Asia. Hong Kong was an important part of the expansion strategy: 1) Shop window that shows European’s style; 2) Most efficient port in the world; 3) Offers very stable environment for growth. Was established a store in the biggest shopping destination in China, in Shangai. Between 2009 to 2011 plans to open six new stores in Japan. Stores opened in Orlando, Philadelphia, Miami, Las Vegas, Costa Meca, Puerto Rico, San Francisco. By the year 2009 Zara intends to establish a chain of 50 new stores.

3. INTERNAL RESOURCES STRATEGIES CUSTOMER STRATEGIES PRODUCTION STRATEGIES COMMUNICATION STRATEGIES

4. INTERNAL RESOURCES STRATEGIES Bringing out a number of different collections each season instead of the usual two each year. One logistic center in Arteixo (Spain): 1) Direct distribution to each shop; 2) No need to have central offices in the new countries’ location. Strategic location for each store: 1) The best; 2) The most expensive.

5. CUSTOMER STRATEGIES New trends every 30 days. Limitation of the production of each style: 1) Fresh apparel every week; 2) The consumer buys following the strategy of “now or never”; 3) Giving the chance to the costumer to be a little bit exclusive. Clearing up the styles disliked by consumers. Listening to customers’ requests through the head office. A wide range target in reference to age and price.

6. SWOT S W O T - Designing, production and distribution rapidity about 14 days for the launch of a new collection and styles; - Production is mostly made by Zara-owned companies and then there are less costs in general; - Large target and low prices; - Wide choice of price; - Zero advertising strategy permits saving. - Large quantitative of products and global expansion determinate: 1) Large quantitative to export; 2) A little edge of error; - Only one base in Spain; - Zero advertising leads to less visibility. - A big global expansion leads to a market expansion; - Strategic zone for the stores location; - Good relationship with costumers, whose choices and needs always come first. - If another retailer company reaches Zara’s expansion and quantity of production maintaining a lower costs/prices.

7. + better then Zara - worst then Zara = equal to Zara Legend:

8. In the end Zara, born as a clothing shop in 1975, has become the major fashion retailer in the world, with stores located in more than 60 nations, and an example followed by the others retailer groups. Its strategy led Zara to a global expansion because of its ability to find and create new solutions for the market like: - One logistic center; - Production and reassortment rapidity; - Give an appeal of exclusivity to something that it’s for the mass market; - The attention for the customers. All of these following a vision: “Give the public what it wants, at the lowest possible price, in the shortest time possible” According to our analysis, Zara’s expansion has grown rapidly from 2000, thus it doesn’t have to be seen as something negative if the brand will maintain the same standard in production and exploitation.