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Report on International Brand

Zara

Submitted To
Course Team of Fashion Business
Management

In fulfilment of the
BA (Hons) Degree in Fashion Business
Management

Submitted By: Lavanya Sirohi Roll Number


- UGM

Submitted on: 3rd May 2022


Declaration
I hereby declare that this case study is my own
work and that, to the best of my knowledge and
belief, it reproduces no material previously
published or written, nor material that has been
accepted for the award of any other degree by
any educational institution, except where due
acknowledgement is made in the text.

Name – Lavanya Sirohi


Date – 3rd May 2022
Signature - Lavanya sirohi

Zara brand case study

Table of
Contents

01 | About the brand 02 | Marketing Mix

1.1 | Rationale 2.1 | 4 P's


1.2 | History 2.2 | Store Layout
1.3 | Vission and Mission 2.3 | Logo
1.4 | Unique Selling Point 2.5 | Brand Identity
1.5 | Segmentation, Targeting & 2.5 | Retail strategy
Marketing 2.4 | Brand Image
1.6 | Corporate Social
2.6 | Signage
Responsibility 2.7 | Planogram
1.7 | Business model 2.8 | DILO
1.8 | Step towards sustainability 2.8.1 | Media
1.9 | About the brand touchpoints
1.10 | Emergence in India
2.8.2 | Acquisition and
1.11 | What did the initially start
retention technique
with?
2.9 | RFM
1.12 | SWOT
2.10 | CRM software for
1.13 | Stores in India
Zara
1.14 | Timeline
2.11 |
1.15 | Competition
1.16 | Zara Garment production process
1.17 | Organizational Structure
Zara brand case study

Table of
Contents

03 | Marketing Research 04 | Product development

2.1 | 6 Questions 4.1 | Macro Board


2.2 | Background Research and 4.2 | Mood Board
product ideation 4.3 | Accessories Board
2.3 | Research Objectives
4.4 | Fabric Board
2.4 | Hypothesis Testing
4.5 | Product range
2.5 | Research Methodology
4.6 | Where will it be
2.5.1 | Personal Interview Manufactured?
2.5.2 | Day in a life of 4.6 | Zara Garment production
2.5.3 | Wordcloud process
2.5.4 | Questionnaire
2.6 | Data Representation and 06 | Promotion Strategy
analysis
08 | Financial Decision
05 | Pricing Strategy
Analysis
07 | Sourcing and Buying
09 | International Business
Operations
10 | Conclusion
| About the brand
Rationale

Zara found the need gap in the market that is keeping up with the
changing trends and providing them to their customers with a very
little delay. (MartinRoll,20)

They have started a program towards going Sustainable called


“Closing the loop”. (Inditex)

Their goal is to use 100% sustainable fabrics by 2025. (Scarlett


Conlon,19)

Zara creates Brand Evangelists that is they do not follow push in


marketing rather they pull in the customers. (Pamela N.
Danziger,2018)
History

The story of Inditex goes way back to 1963 when


Amancio Ortega started a business of houseboats
and ropes in La Coruna. He then opened his store
in 1975 which was called Zorba which was derived
from the film “Zorba the Greek”. They then
rearranged the name to Zara because there was a
bar called Zorba near the store. In 1985 the
company Inditex was born. The business model of
the brand is different from the others, It was now a
traditional ready-to-wear fashion company in the
west extent is designed to Countries like china and
India which has cheap labor which is then shipped
back. Now Inditex has multiple brands such as
Zara, Zara Home, Bershka, Massimo dutti, pull and
bear, oysho, stradivarius, and Uterqüe which
followers trendy and decently made but are
inexpensive products sold in high-end local stores.
Inditex now makes 40 million garments a year
(Suzy Hansen,2012) and has a total store count of
around 6,700-6,900. But after its first quarterly loss,
Inditex plans to close nearly 1200 stores worldwide.
(Retail4growth,2020)
Vision and Mission statements

Mission of Zara - Give customers what they want, and get it to


them faster than anyone else.

Vision of Zara - To contribute to the sustainable development of


society and that of the environment with which we interact (John, 20)

Unique Selling Point


Zara owned by Inditex is introducing an augmented
reality experience in its stores. Shoppers can engage
their mobile phones to see models wearing selected
fashions when they click on sensors in the store or
displayed on AR- enabled shop windows. Initially
launched in 120 stores worldwide, such technology is
irresistible digital – honey to draw millennial into the
store and shop. Pull marketing strategy is a significant
strategy because it creates a sense of curiosity within
the customer. With this Augmented Reality application,
Zara succeeds to pull customers unlike its competitors
which remains on pushing its brand.
Brand Philosophy

Zara is the Spanish clothing retailer which was founded


by Amencio Ortega in 1975 who has become one of the
world's most successful and respected fashion retail
moguls, based in Galicia, Spain. It is the flagship chain
store of Inditex group. This fashion group also owns
brands such as Pull&Bear, Massimo Dutti, Berksha, and
Zara Home. They are currently operating over 2220
stores and are present in 88 countries. They have
consistently acted as a pioneer in fast fashion with
highly responsive supply chain. A responsive supply
chain is one of that is sensitive to meeting customer
requirements. By the early 80s, Zara had expanded to
several cities in Spain and in 1988, following the
formation of Inditex, Ortega opened his first store in
Portugal, followed swiftly by New York and Paris. The
group began adding to its retail portfolio with Pull & Bear
in 1991 and by 2000, it was distributing more than five
different clothing chains in over 30 different markets.
The customer is at the heart of a unique business
model, which includes design, production, distribution
and sales through our extensive retail network.
(Business of fashion)
Organisational Structure
Segmentation, Targeting, and
Positioning

Segmentation Positioning Targetting

Zara uses a mix of Zara’s approach is Zara has limited


demographic, usage based stores across the
geographic and positioning strategies globe due to which it
psychographic are used by Zara to uses selective
segmentation highlight its customers targeting strategies
strategies in order to centric approach to to make their
serve the growing satisfy the changing fad products available in
needs of the customer. needs of the customers the market.
(Marketing91, 18) around the globe. Zara (Marketing91, 18)
knows that its customers
want new and updated
trends and accordingly
it targets customers
based exclusively on its
designs. (Marketing91,
18)
4 P's of Zara
1. Product
Zara is known as the Coca-Cola of fashion. A major strength is that the Company is able
to respond very quickly to the changing needs of the customers as the trend comes. The
brand launches a variety of news styles within two weeks, four weeks maximum in their
sales stores. In case a particular product is not selling immediately pull out that particular
product from the stores. Zara is trying to come up with an idea where they’re working to
reach out to the local people by coming up with designs and integrating modernism with
local traditions.

I. Clothing
Women Men Kids

• Formal wear • Althleticz • Girl 6-14 Yrs


• Casual wear • Formal wear • Boy 6-14 Yrs
• Nightwear • Casual wear • Baby Girl/ Boy
• Join Life

I. Accessories
Women Men Kids

• Jewellery • Hats • Capes


• Scarves • Sunglasses
• Belts • Tie and bow ties
• Eyewear • Jewellery
• The alphabet collection
and pet collection
4 P's of Zara

I. Footwear
Women Men Kids

Shoes • Shoes • Sneakers


Heels

I. Fragrances
Women Men Kids

2. Price
The concept that Zara is focusing on is to provide the consumers their product at a
reasonable price. There are two types of stores, one where the customers will find
themselves in a premium store and second where the stores are very much affordable
than the premium one.
4 P's of Zara
2. Price
4 P's of Zara

1. Promotion
Zara has a unique marketing policy of “Zero investment in
marketing”. Its key marketing strategy is based on exclusivity,
experience, differentiation and affordability. They focus on using
the money on new stores. The products target population in age
group 18-40 that live in the cities. (Bhasin,2019)

Instead of advertising, Zara uses its store location which is a


powerful communication tool designed by a specialized team and
store displays as key elements of its marketing strategy. By
choosing to be in the most prominent locations in a city, Zara
ensures very high customer traffic for its stores. (Martin Roll,2021)

2. Place
Zara is very unique and one of the things that make it a stand out
brand is the fact that it is a vertically integrated retailer. It is
present in over 30 different countries including India and its
expansion is ongoing. Therefore, you will soon be seeing more
Zara stores in more countries. 90% of Zara stores are owned by
the company and the rest are joint ventures of franchises. The
stores are spacious, well-lit, modern and predominantly whiter
and walled with mirrors. Zara hires young designers and trains
them to make quick decisions. (Bhasin,2019)
What did they initially start
with?
The first item that they ever sold was a bathrobe line as they
discovered that the women would mostly go for shopping in
robes due to lack of heating in their houses. The owner
started selling these from door to door before opening his
company. He saw an opportunity to sell them a stylish robe,
for a fraction of the cost of other stores. He used to work at
boutique La Maja with Rosalia Mera (who would later
become his wife) and her sister and they created a cheaper
version of a quilted robe that the store sold. (Marie Claire,
17)

Strength Weakness
Opportunities Threats (SWOT)
1. Strength
i. Unique designs-

One of the first and foremost managers of Zara lies in its design abilities. They
come in a lot of variations such as formal wear, casual wear, for kids, men, and
women. Zara consists of designers who know their customers very well.
(Marketing91,19)

ii. Strong presence-

Zara has a strong presence across the globe and they are still expanding till
date. They have 21 stores in India in 11 cities(business-standard,21). Zara
operates in India through the association of its parent Spanish clothing
company into talks with the Tata group from Trent LTD – Inditex Trent Retail
India Private Limited (Businessworld,21). In 2015 they had 2100 stores
worldwide with an average sale of 15.9 billion per annum (marketing91,19).
Strength Weakness
Opportunities Threats (SWOT)

iii. Brand value-

Zara is ranked 53 by Forbes and its brand ranking and is valued at a


whopping $10.7 billion. The consistent quality has given a boost to the
brand in the recent years which has also played a part in excellent
brand equity of Zara. (marketing91,19).

iv. Supply chain-

They get their designs from conception to the stores in two weeks
whereas it takes six weeks or more for their competitors to do the same
which makes Zara the trendiest store in fashion. On an average 450
million items are designed every year by Zara. (marketing91,19).

v. Low cost higher profits-

Due to multiple advantages that the brand consists of such as visuals


that we can see in the stores and the design aspect, they rarely
advertise or market their products. Zara is known to be a brand
evangelist. This is why they have a very low cost of operations but at
the same time have high margins (marketing91, 19).
Strength Weakness
Opportunities Threats (SWOT)

2. Weaknesses

i. Generalised collection -

A customer shifts to a competitor when they are focusing on one thing


but Zara on the other hand does not specialize on anything particular.
Such immediate focus is lacking in Zara and it is good for the day to
day wear or trendy wear. (marketing91,19).

ii. Lack of advertising-

While it may lead to a cost advantage and cost is one of the strengths
of Zara, the lack of advertising is a weakness because the brand can
double its profit and its turnover by advertising its collection. By
advertising it will generate a lot of positive word of mouth for the brand.
(marketing91,19).

iii. Low safety stock-

Low inventory is kept at Zara has a strategy to keep customers walking


into the stores to check out the latest items but this also plays as a
disadvantage to the brand because if a particular design is considered
to be a hit it may or may not reach its potential because there is no
safety stock or buffer for this design. (marketing91,19).

//04
Strength Weakness
Opportunities Threats (SWOT)

3. Opportunities

i. Backing some flagship designs-

Top brands have some designs which are flagship designs for their store
whereas Zara lacks in that aspect and There should be some designs that are
sold from a Zara store which will bring great demand for these designs which will
furthermore better brand identity. (marketing91,19).

ii. Growing market potential-

Since Zara is becoming more and more well known, this results in growing market
potential. If there is a rise in earning potential of consumers results in rise in
demand for status symbol. Zara its self is a status symbol and clothing industry.
Hence Zara needs to capitalize on the growing market potential of existing
markets. (marketing91,19).

iii. Market expansion -

New markets will always give new business and potentially profitable business to
Zara. It needs to keep a constant eye on emerging markets, where the spending
power is rising and where people can spend on a semi premium brand like Zara so
that they can wear better and more stylish clothing. Such market expansion
insures the clothing brand against saturation in developed countries where the
competition is too high. (marketing91,19).
Strength Weakness
Opportunities Threats (SWOT)

4. Threats
i. Low advertising-

Zara needs to ask this question to itself. Looking back, will Zara think that it made
a mistake by not advertising its unique brand proposition from the start? The way
that Zara keeps rotating design, it can rope in a lot more consumers if it advertises
the fact that you will get the latest in designs from Zara. But maybe, if its consumer
base increases tremendously, coming up with new designs and differentiating
itself will become more and more difficult. So, the debate of whether Zara should
advertising or not, will be going on in the management room of Zara itself.
(marketing91,19).

ii. Competition-

Zara is not the only one that is known for its chic design. Vero Moda, H&M, and
Mango are also loved for their design. But the advantage to Zara is that the other
brands are quite costly when compared to Zara whereas Zara gives much better
designs at affordable prices. However, this competition leads to saturation in the
semi-premium segment indirectly affecting the margins. (marketing91,19).

iii. Reach-

Zara needs to increase its reach tremendously. Zara operates exclusively through
its own stores and does not have shop in shop kind of stores or smaller displays
(at least in Asia). This is where the competition gets its tremendous volumes from.
But these volumes are missing in Zara and the only answer to this is that Zara
increase its reach. If it does not, then competitors will eventually affect the brand
equity of Zara because of their sheer power of penetration (marketing91,19).
Corporate social responsibility
1. This is a self-regulating business model which helps in organization
to be socially accountable – itself, public and its stakeholders. By
incorporating this practice (Corporate Social Responsibility),
companies can be more conscious of the kind of impact that they
have on different aspects of society (Fernando, 21).
Inditex has pledged to fully eliminate plastic bags which are a part
of a milestone that has been achieved by Zara, Zara home, Massimo
dutti and Uterque. The plan to fully disassociate with all single use
plastics completely from its customers sale (2020 aim- 100% eco
efficient stores) (Thacker, 19).
Vidya project which was an initiative by Inditex launched in 2009.
This was started after their sustainable team uncovered that work
was outsourced undisclosed to unauthorized contractors, where there
was a high risk of poor working conditions and health and safety
practices .they transformed the working conditions among their
suppliers in Delhi, India. According to their official inspection there
are 24 suppliers with the lowest rating implying that they are
breaching some critical aspect of Zara’s code of conduct for
manufacturers and suppliers. This project ensures the following:
(Inditex)

Employment of workers under the age of 18 cannot be allowed to


work.

To provide safe drinking water in workplaces.

Apply appropriate health and safety standards.

Guarantee prompt and regular payment of a living wage.

Boost production capacity to minimize the risk of unauthorised


outsourcing. (Inditex)
Corporate social responsibility
2. An energy-efficient shopping experience-
All the Zara stores now have systems that control their usage of
water and energy to suit the actual requirements of each store. The
building and renovation standards that govern its stores have also
helped to establish more efficient technologies to manage
consumption. (Tom Swallow, 21)

3. Sustainable Textile Training programs-


As the company commits to the Global Fashion Agenda- a non-profit
organization driving sustainability in the fashion industry, all
designers associated with the company have been trained in the use
of textiles to promote textile recycling. (Tom Swallow, 21)

4. Reusing Fashion-
Zara has been working towers extending the life of its products
through multiple ways such as social and environmental commitments.
The company provides a clothing collection program, of which the
received garments are distributed to non-profit organizations that
allow them to be reused or recycled. (Tom Swallow, 21)

5. In 2020, Zara launched the Join Life label - which shows


consumers that its products are sourced responsibly by classifying
selected garments that are made of substantial material and made
through considerate production processes. As a result of the
campaign, the Join Life label made its way onto 35% of the total
product range which is more than the desired aim/initial aim. (Tom
Swallow, 21)
Business Model

"Zara uses a push based model which means


factories push out product to stores which is
then sold to consumers; there is no
customization or products being made to
order. However, while the model is still the
same on the surface behind the scenes it is
highly integrated - much more so than many
other apparel retailers."
"This integration means that there is a very
tight supply chain from initial design through to
final production," Saunders added, citing two
major benefits. "It keeps lead times shorter,
which leads to the second advantage: that
they do not have to commit to their entire stock
well in advance of each season and, actually,
are still manufacturing during the season.
Obviously this means they can do things like
respond to fashion changes, reduce or
increase production as necessary, introduce
new lines and so forth” (Business Insider,15)
Competitors Brand identity is tangible and
appeals to the senses, fuels recognition and
amplifies differentiation. (Wheeler, 2008)
A step towards Sustainability
As part of the Green to pack programme, we are redesigning all our
packaging, labelling systems and protection for our garments to guarantee
that by 2023 our customers are not offered any single-use plastics. 100%
zero waste. They are collaborating with Lenzing, the manufacturer of
TENCEL™ Lyocell that is transforming our cotton waste into high-quality
sustainable fibers. In this area, Refibra™ Lyocell stands out, a fibre
created from recycled cotton and wood from sustainably managed forests
that Zara sells in its Join Life collection. (Inditex) It is a stable and
sustainable system in which natural resources are renewed and waste
never builds up a closed loop. (Inditex) At Inditex, we want to close the
loop and move towards a circular economy – developing a complete and
efficient life cycle for our products, in which nothing goes to waste. (Inditex)

2020 MILESTONES 2023 MILESTONES

35% Join life collection 100% more sustainable Cellulose


100% In-store clothes collection fibres
100% eco-efficient stores 100% more sustainable cotton
100% training in circular design, 100% Green to pack
global fashion agenda 100% free of single-use plastics for
Canopy style commitment to protect customers
the forest 100% Zero waste
Zero discharge of hazardous
chemicals (ZDHC)
2025 MILESTONES

100% more sustainable linen


100% Recycled polyester
25% Reduces impact on water in our
2022 MILESTONES
supply chain
New plastics economy
50% join life collection
Global commitment by the Ellen
100% renewable electrical energy
MacArthur foundation
in own operations

2040 MILESTONES

0% Net emissions
Emergence of Zara in India
The brand that entered India in 2010 has helped plug the gap for trendy, casual
clothing. "Zara appeals to the country's fashion aspirants and has helped
plugged the supply gap in casual clothing," said Pakhi Saxena, practice head,
retail and CPG, Wazir Advisors. (Mint, 2020)

Inditex (The Company behind Zara) has entered India through a joint
venture with Trent Limited, a Tata Group company. Inditex controls 51
percent of the joint venture, while Trent Limited owns 49 percent.
(Mint,2020).

By 2022, online sales are expected to reach more than 25% of total
sales, Inditex—founded by Amancio Ortega, one of Europe’s
wealthiest men—said on 10 June. The company is transitioning
globally investing over $3 billion over the next three years to digitize
consumer shopping experience as the pandemic accelerates
consumer pivot to e-shopping. The move could see Inditex shut stores
across its brands such as Zara, Pull&Bear, Stradivarius, Massimo
Dutti, and Bershka, among others
Stores in India

Zara has 21 stores in India, in 11 cities


The states are as follows:-
1. Delhi
2. Haryana
3. Maharashtra
4. Gujarat
5. Uttar Pradesh
Haryana
6. Rajasthan
7. Tamil Nadu Delhi

8. Madhya Pradesh
9. Karnataka
10. Andhra Pradesh
Rajasthan Uttar
Pradesh

Madhya
Gujarat
Pradesh

Maharashtra

Andhra
Pradesh

Karnataka

Tamil
Nadu
Timeline

1963- The business begins in A Coruña north-west Spain.


• The company starts life as Confecciones GOA, a modest workshop making
dresses and quilt dressing gowns for distribution. In ten years, the workforce
grows to 500.

1975- The Zara store opens


• After 12 years of making textiles, Amancio Ortega, Founder of Inditex,
opens the business’s first store in A Coruña.

1976- Zara’s approach to fashion is a success.


• Tara‘s business model shrinks the gap between fashion creation and the
customer, bringing customers closer than ever to have products they want,
all they could afford.

1977- Our headquarters are established in Arteixo, Spain


• GOA and Samlor, Zara’s first garment factories are constructed on the
outskirts of Coruña, where our headquarters still are today.

1983- Zara expands across Spain


• The company has nine stores in some of the most prestigious shopping
districts in Spain’s biggest cities.
Timeline
1984- Our first logistics centre opens
• We invest in building a state-of-the-art logistics Centre, spanning 10,000
sq m in Arteixo.

1985- Inditex is officially founded


• Inditex is incorporated to bring all our companies together under one
banner. We establish a distribution system capable of reacting to shifting
market trends extremely quickly.

1988- Zara goes international


·We enter our first new market, opening a Zara store in Porto, Portugal.

2000- New headquarters are built-in Arteixo


·We move to a brand-new building in Arteixo, on the outskirts of A Coruña,
Spain, to accommodate our rapid growth. We also open stores in four
more markets: Andorra, Austria, Denmark and Qatar.

2002- The 'for&from' programme launches for people with disabilities


·Our 'for&from' social inclusion programme begins, providing labour
integration for people with disabilities. We build a new distribution centre in
Zaragoza, Spain, and open our first stores in Finland, Switzerland, El
Salvador, the Dominican Republic and Singapore.
Timeline

2003- Zara Home is created


·The first stores of our home and interiors brand, Zara Home, are opened.
We enter the Slovenian, Slovakian, Russian and Malaysian markets.

2004- We reach the 2,000 store milestone


·Our 2,000th store opens in Hong Kong, bringing our coverage to 56
marketsacross Europe, the Americas, Asia and Africa. We open inaugural
stores in Morocco, Estonia, Latvia, Rumania, Hungary, Lithuania and
Panama.

2006- We develop our Environmental Strategic Plan


·Our 2007-2010 Environmental Strategic Plan formalises our aim to ensure
our business operations are environmentally responsible and sustainable.
Serbia, continental China and Tunisia are newcomers to our global stores
map.

2010- Zara goes online and our 5,000th store opens in Rome
·Zara begins to sell its products online in September and by the end of 2010
the online platform is live in 16 European markets. We mark our 5,000th
store with the opening of an eco-efficient Zara store in Rome, and present
our new Environmental Strategy Plan, called Sustainable Inditex 2011-2015.
Timeline

2016- International recognition of our sustainability work


·We are named as group leader for the retailing industry in the Dow Jones
Sustainability Index and top Greenpeace’s Detox Catwalk, being described
as ‘exemplary’ in our approach to zero discharge of hazardous chemicals
during our production. We strengthen our unique agreement with
IndustriALL Global Union and launch our 2016-2020 Environmental
Strategy Plan. Five new markets get their first Inditex stores and we enter
eight new online markets.

2018- Selling in 202 markets and expansion of our headquarters


·The evolution of our integrated store and online model prompted the
expansion our online presence. Zara launched its global online store
(zara.com/ww) in 106 markets in which it did not have stores. We also
completed the latest expansion of our headquarters in Arteixo, La Coruña
(Spain), incorporating new working areas and new services for employees.

2019- Driving our digital and sustainability transformation


·We kept our digital and sustainability transformation, a priority strategic
target, which is driving renovation of virtually the entire store network and
the introduction of cutting-edge technology in all areas of the business
model. Inditex is selling in 202 markets, with stores in 96 of them and own
online platforms in 66.
Timeline
2020- A year dominated by the pandemic and key to the
transformation of the company
·In a year dominated by the covid-19 pandemic, in which the priority was
the health of its staff and customers at all times, the advance in the digital
transformation strategy initiated in 2012 was underlined, built around the
integrated store and online sales platform (Inditex).

Competion
Analysts considered its three closest
comparable competitors to be The Gap, H&M,
and Benetton. All three had narrower vertical
scope than Zara, which owned much of its
production and most of its stores. The Gap and
H&M, which were the two largest specialist
apparel retailers in the world, ahead of Inditex,
owned most of their stores but outsourced all
production. Benetton, in contrast, had invested
relatively heavily in production, but licensees
ran its stores.(Zhou, 2006). Other International
competitors are Forever 21, Boohoo, Marks &
Spencer, UNIQLO and Mango.
| PRODUCT IDEATION
& CONSUMER
MARKET RESEARCH
Background Research
Chromatic colours are those which undergo a reversible
change in colour. This Phenomenon is induced by various
external stimuli. Thermochromatic chromatic pigment powder
is now entering the sports apparel industry. The thermal
chromatic pigment has somewhere redefined the workout
regimes. The technology is suitable to apply on wearable
and useful tool to measure body temperature. The
mechanism of this heat changing pigment works when the
body temperature changes, further having a change in
apparel’s temperature too.

The need for this product –

The athletes and workout experts are found to confront


physiological changes following their skin temperature during
Rigorous training. So to monitor this, an organic and natural
medium that is thermal chromatic pigment is feasible. This
can assess the physical exertion level of each individual. It
has no impact on skin or exterior/interior body part of the
individual also can be suitably applied on a variety of fabrics
and I learn and other spandex.

Product ideation
Although Zara has recently launched “Zara Athleticz” for
men, we are targeting women and their Athletic wear where
we will be using thermal chromatic pigment which changes
its colour with heat that releases from the body during
activities. (Gaurav Khanna, 2008)

This will reduce the Wardrobe size which will play a major
part in Zara being more sustainable.
6 Questions
Ques1. How big is your potential market?
Ans1. Smart clothing is becoming all the rage, with garments that can do things like light
up or detect the wearer’s pulse. Now, designers are also experimenting with colour
changing clothing ink, and how it can be integrated into smart textiles for a variety of
fashionable and functional results. Thermochromic inks have been in use for decades,
from novelty items such as mood rings, to packaging that indicates when your food or
drink is at the right temperature, to more utilitarian applications such as thermometers
and battery indicators. Color-changing clothing, however, is relatively new and still being
developed.
Researchers and designers around the world are developing techniques and technology
with exciting possibilities. Color-changing textiles are still in their infancy, but knowledge
around them is beginning to spread. As the properties and interactions of these inks with
fabrics become better known and communicated, these techniques will doubtless begin
to make their way into the mainstream textile market, providing countless new design
opportunities.

Ques2. What other products are similar?


Ans2. Photochromic means the ability to change color when exposed to sunlight. These
dyes generate a dynamic reversible color change under the sunlight or ultra violet (UV)
light. When under sunlight, or UV radiation, the molecular structure changes allowing the
photochromic compound to turn into a dark color, and the effect can be reversed when
the light is faded.(Fibre2fashion,09)

Ques3. Who are your competitors?


Ans 3. The industry competitors for women swear Active apparel are Adidas, Nike and
Puma.

Ques4. What market share does your competitors own?


Ans 4. According to Fashion Network (2017) Despite the losses, Puma India remained
the leading player in the fragmented sportswear category in 2016 with a retail value share
of 4%, followed by Adidas India and Nike India with a share of 3% each; according to a
report by research firm Euromonitor.
Research Objectives
Statement 1- consumer perception about thermochromatic
pigment activewear for reducing the wardrobe size

Statement 2- consumer perception about how sustainable is


Zara and what are they doing towards being more sustainable.

Hypothesis
Statement 1: Have they heard about the concept of
thermochromatic activewear? (Thermochromic inks have
the property to change colour with temperature.
Chromatic colours are those which undergo a reversible
change in colour. This Phenomenon is induced by
various external stimuli. The mechanism of this heat
changing pigment works when the body temperature
changes, further having a change in apparel’s
temperature too.)

Statement 2: If Zara were to launch a


thermochromic based active wear, would they be
interested in buying the product?
Research Methodology

Research
Design - Survey

Primary Secondary

Qualitative
Survey on Company’s
questions
product ideation website
and personal
Quantitative
interviews Articles
questions
Research Methodology

Quantitative Qualitative
Research research

Questionnaire
Personal
Responses- 47
interviews
Types of
questions-
MCQ’s and
open ended.
Questionnaire
Questionnaire
Questionnaire
Questionnaire
Questionnaire
Questionnaire and Analysis

1. For the product ideation the TG chosen was from 15-45 years old. 77.9% are from the age
Group of 15 to 25 years, 19.5% belongs to the 25–35 years and 2.7% belongs to the 34–45 years.
This shows that majority or youngsters and these days people I really interested into fitness which
beneficial for Zara if they launch a women’s wear collection of activewear.
3. 66.1% are students, 25.9% are from service sector, and 8% are from the business sector.
Since majority are students we can state that as if Zara launches activewear for women, it will
create a lot sales since youth integrates exercise.
5. 66.4% are college students, 16.8% are graduates and 11.5% are post graduates. As Zara
is trying to achieve full sustainability, young audiences are usually well acquainted with the
importnce of sustainability .

6. 100% are aware about the brand Zara. This shows that even though Zara is a brand
evangelist they have still gained a profitable brand name and assuming if they use different
social media strategies they can manage to build a huge consumer base.
7. 84.1% are consumers of Zara, 8% are not the consumers of Zara and 8% are prospects
of Zara. In the given above chart, we saw that majority of the respondents are youngsters
which also correlates with the fact that Zara being a fast fashion brand Communicate with
its consumers in all aspects by creating varieties for everyone.

8. 51.3% of the respondents are not aware about zara’s sustainability program. This
indicates that Zara is not advertising/marketing there programs about sustainability on a
wider range.
9. 49.6% believes that fast fashion brands can be sustainable in the coming future and
on the other hand 12.4% believes that they cannot. As mentioned on Zara site, they
have milestones for For the coming years which states how they will be replacing and
natural products with natural products.

10. Majority of the respondents will describe Zara as trendy and 40.7% will describe it as
affordable. According to Zara they bring new designs after every two weeks and they
don’t stock up any collection for more than a certain period of time. They change their
designs according to the trends going on which makes it trendy also being a fast fashion
brand it is also affordable at good quality.
11. 33.3% of respondents have said that the shop once a months from Zara which
implicates that since the majority of the respondents are college students and Zara is a
premium fast fashion brand, they provide products for various age groups.

12. 53.6% chose the first option that is a dress and 38.4% chose bottom wear. We
have integrated tops for active it in our new collection as well which is again beneficial
for Zara since they know that 37.2% respondents are already buying and are interested
in this particular product.
13. Majority of the respondents chose off-line stores that is 38.6%. We can assume
that being a fast fashion brand and the fabrics that are used can be challenging when it
comes to buying from online sites.

14. 53.6% which is the majority have chosen the second option that is thousand to
Rs.5000 per visit on an average which indicates that respondents from students might be
spending this amount due to the cost of products which is again comparatively high.
16. Since we are launching activewear for women 89.5% people already
purchasing active wear. This shows that when Zara launches this collection
they will get a good amount of sales for it.
17. 56.3% have heard about the idea of thermal chromatic active wear. Even though
this is a new concept for the brand the respondents are still aware about it. This will
really help the brand to start with this collection.
18. According to sources an article has said that thermo chromatic pigment has a limitation in colours
and according to the survey 53.6% of the respondents prefer mid tones which will help us decide the
colour for the coming articles.
19. 47.7% have voted for leggings and 40.9% have voted for T-shirts. Which is a great fit
for any sports or active wear.
Hypothesis Testing
Q1 at most 30% people know about thermochromatic pigment
H1 (alternative) more than 30% of people know about thermochromatic pigment.
Hence, since P-Val = 0.0014 which is less than of significance at 1% therefore we
reject null.

Q2 At most 50% people prefer to buy this product.


H1 More than 50% people prefer to buy this product
Since P-val = 0.353 Is equal to 0.353 is less than the level of significance at 5% we
reject the null that means more than 50% people prefer to buy this product and are
willing to buy this product from Zara.
Personal Interview
1- Name- Ruchi
Q- What is your profession?
A- I am currently a teacher.
Q- What do you think zara can improve in?
A-Sizing issue, Less trial rooms and Sleepwear more needed. 
Q- Do you often come to zara?
A- No, i don’t. Only when i need formal wear i come here or h&m.

2 Name – Komal
Q- What is your profession?
A-Designer at burgerbae
Q- What do you Zara as a brand can improve?
A-To be more sustainable and actually adhere to it.
Q- Do you often come to Zara?
A-Yes I do. I come at least twice a month.
Q- Where did you graduate from?
I studied Fashion Designing from Nift Ludhiana.

3- Name- Ashi
Q- What is your profession?
A-Content creator at Burger Bae
Q- Where did you graduate from?
A-I studied from - Nift Ludhiana
Q- What can Zara as a brand improve?
A- I believe that zara is my go to place for casual wear and formal wear, it suits my style so
i think it is doing pretty great.

6- Name- Avantika
Q- What is your profession?
A- Doctor 
Q- Where did you graduate from?
A- Studied from- Sms medical college
Q- Do you think that zara can achieve 100% sustainability in the coming years?
A- I believe that there is no reason to recycle in terms of closing the loop and that fast
fashion brands cannot be sustainable no matter what they do because their model is
completely different.
Personal Interview
6- Name- Ananya
Q- What is your profession?
A- I am currently Studying computer science
Q- What do you think zara can improve in?
A- I believe the cost is too much for the material and the fitting.. 
Q- Do you often come to zara?
A- No, I visit the stores twice in three to four months.

7 Name – Arpita
Q- What is your profession?
A-Working at E and Y
Q- What do you think Zara as a brand can improve?
A- I believe they are doing pretty well but maybe if they can work on sizes.
Q- Do you often come to Zara?
A-Yes I do.
Q- Where did you graduate from?
I studied from Delhi University
8 Name – Ashwarya
Q- What is your profession?
A- I am studying Business Management studies from Delhi University
Q- What do you think Zara as a brand can improve?
A- I think they should open more stores because since I'm not in delhi and I don't have
access to retail Zara stores.
Q- Do you often come to Zara?
A- As of now I'mshopping on online basis.
1. Name- Smita
Q- What is your profession?
A-Lee and funk/ Works as a VM
Q- Is zara your go to brand?
A- Go to brand is zara
Q- Do you often come to zara?
A-This is my go to place for formals as i have to go to work so this is where i come 90%
of the times.
Q- What do you think they can improve as a brand?
A-To be more systematic when sales are going on because right now i can’t find any
sales person which can be looked upon. 
Day in a life of (DILO)
1.

8:00- Wakes up
9:00-10:00- breakfast
10:00-10:30- meditation
11:30-1:30 classes
2:00-3:00- lunch
3:40-5:00- Gym
5:30-6:30 - snacks and freshen up
7:00-9:30- study
9:40-10:30 - dinner
10:30-12- reading articles
Around 12:00-12:30- sleeping

2.
8:30 am - wake up
9:00 am - attend online college lectures
11:00 am - Has breakfast
12:00 pm- Start with college assignments and attend lectures
simultaneously.
2:00 pm - Lunch watching Netflix
3:00 pm - Scrolls on social media for an hour
4:00 pm - Work on the laptop for an internship
6:00 pm - goes out with friends
7:00 pm - goes to the gym to workout
9:00 pm- has dinner
10:00 pm - scroll on mobile, complete college assignment
12:00 am - sleep around 12-12:30 pm
Wordcloud

sustainability
unique
High different than black and
fashion others white

join lifeZara classic


products
clever Classy individualism
beautiful confident trendy
| Fashion Forecasting
& Product
Development
Manufacturing for product
development

Incorporated in the year 1991, in Delhi (India), we, “Krishna Trading Company” are a
prominent trader and supplier of premium quality Indian Spices, Cardamom, Ayurvedic
Drugs, and Ayurvedic Herbs. The offered range comprises Turmeric Finger, Red Chilli,
Dry Ginger, Nuts Meg, Black Pepper, Celery Seed, Coriander Seed, Cumin Seed, Dill
Seed, Fennel Seed, Green Cardamom, Cardamom Large, Small Cardamom, Himalayan
Herbs, Indian Herbs. The offered range of products is appreciated for purity, non-toxicity,
effectiveness, freshness, and long shelf life. All of their products are procured from the
most reputed names in the industry who process these products in compliance with the
international quality standards. They also ensure that products that reach the market are
of set industry standards. Each product is strictly tested on the ground of quality
parameters by our experts. They also lay emphasis on packaging & delivery of products.
(IndiaMart)

Nature of Business Exporter and Wholesale Trader

Additional Business • Manufacturer


• Exporter
• Wholesaler
• Trader
• Importer
• Supplier

Company CEO Fateh Chand Bansal

Registered Address 2199, 5th Floor, Gali Hinga Beg, Giriraj MarketKhari Baoli,
New Delhi - 110006, Delhi, India
Total Number of Employees 11 to 25 People

Year of Establishment 1991

Legal Status of Firm Individual - Proprietor

Annual Turnover Rs. 1 - 2 Crore


Macro trend

The common thread in these ideas is that design will be less about the product or
experience in itself, and more about how it serves humanity, whether it’s a smart-tech
jacket, new materials offering enhanced comfort and protection, or a virtual therapy
app providing reassurance.
The result is a highly versatile trend of juxtapositions and seemingly opposing ideas –
digital tools to recreate natural or even spiritual experiences.

About the colour palette


The Connected palette is emotive and mood-boosting, with a mix of energising and
calming tones. Use Mango Sorbet, Fiery Orange and Turquoise Tonic as accent
updates to promote wellness and vitality, and soothing hues of Aloe Gel, Iris Flower
and Pink Amethyst to offer a soft and reassuring quality.(WGSN, 21)
Mood Board
Accessories Board
Fabric Board
Product Range
Product Range
Product Range
Garment production process of
Zara
The manufacturing process begins in the heart of Zara‘s
headquarters, Which consists of a 300 person design
team that studies through trend forecasting books which
helps them in the making of mood board for the next
collection.

After the design is created, a team of pattern cutters I given those


designs which then turns into the first prototype. Once the total
time has been created testing is done on models which are also
working there as full time in the text employees in other
department of fashion. There are in total of 10 models on which
the testing is done for various collections of men and women.

After the prototype has been signed off a digitalised


pattern is sent to one of its factories. They have a
8,60,000 ft.² campus which has 10 different factories for
the manufacturing process of Zara‘s most fashion-forward
items of clothing. They are connected to the distribution
centre through a network of secret underground tunnels
that is transported on electric hanging rails. The
manufactured items are then returned to one of its
distribution centre to be sent out to stores. (Anon,18)
Garment production process of
Zara

The first of the processes to set the patterns of the fabric, an Indian tech spokesperson
even compared the process to a game of Tetris, which is to fit as many pieces as possible
into one piece of material, to be more economical with the fabric.

The pattern layout is then sent to a machine that prints a life-


size copy, using the relevant information about what part of the
garment each piece is.

The fabric is laid out under large cutting machines, and the
paper is placed on top.

Both materials are held in place with a tight plastic sheet. The
machine slices through the material, cutting out the individual
pieces of fabric. On thinner fabrics, 200 layers can be cut at one
time.(Anon,18)
Garment production process of
Zara

Once they have been cut, the paper and fabric pieces are
boxed up together. The paper has all the details for the
factory workers to see where these pieces need to be sent
next, and which part of the garment they will make up.

These pieces are sent to external factories to be sewn


together, along with a prototype of the item so that the
factories can copy the exact design. A spokesperson for
inditex said that Zara

Once the item is sewn together, it returns to Zara's


headquarters. Zara's more expensive items and its key
products are sent back to the factory for individual quality
checks.(Anon,18)
Garment production process of
Zara

Pressing machines are used to flatten out the material.


Sleeves are blasted with hot air to shape the fabric and
stretch the stitching.

The clothing is then checked piece by piece to ensure


there are no faulty stitches. Items that pass the checks
are given a security tag.

If any issues are spotted in this process, the clothing is


put to one side and any small faults are fixed on sewing
machines.

Next, we headed to the distribution center. It is the largest of four in


Spain and ships products to Zara's 2,238 stores. Any items that have
been created in external factories and are not considered to be
"fashion-forward" but more straightforward designs are sent directly
to the distribution center.(Anon,18)
Garment production process of
Zara

Boxes with newly sewn-together clothing are unpacked from


trucks and immediately passed through a sensor machine.This
machine is a crucial part of the operation. It is responsible for
giving each item its Radio-Frequency Identification (RFID) tag.
The machine will pick up how many items there are in the box
and assign each one an electronic identity, which is stored in the
security tag.

The boxes are placed on a conveyor belt and stacked in


groups. These can be stored for several days in the
distribution center before being shipped out.

Items that are ready for shipment are removed from the
boxes and distributed between the specific stores.(Anon,18)
Garment production process of
Zara

The full boxes are then placed on another conveyer belt


to be sent out for delivery. All European boxes are
delivered by rail. The rest of the world is sent via plane.

In a separate corner of the distribution center,


hanging garments that have passed the separate
quality-control process are also waiting to be shipped.
Within 36 hours, delivery boxes reach the furthest
points of Europe. In 48 hours, they reach the rest of
the world. (Anon,18)
Sourcing, Buying and
Merchandising for
International markets
Style Sheet and Construction
sheet
Measurement Sheet
Costing
Purchasing Order Time and
Action
Brands Promotion
and PR and Events
Logo

The Zara logo embodies the accessibility of luxury goods


and luxury wardrobe items.This is why it contains only
1975-2008
contains only the name— simple, compact,
understandable to all lovers of trending things. Such a
marketing technique has made branding popular in all
countries of the world, including fashion trendsetters.
2008-2019
Currently, Zara flaunts on the sign of not only Spanish
but also French fashion boutiques, attracting the
attention of buyers. Over 200 designers are working on
its prestige.

2019- Present

Zara’s Brand Identity


The Inditex group has created a brand identity for Zara


which represents the differentiation from the competitors
and the promises made by the brand to their
consumers.Zara shows a physical feature of highly
activeness, responsiveness, flexibility and market--
oriented.
They want to evoke Zara’s name in people’s mind.
These features are created through “2 weeks collections”
and “ in-store feedback collection”, fast response to
consumer needs. (Inditex group, Kaufmann, & Tungate
2015)
Zara’s Brand Image

The brand reflects style, individualism, and assurance. This


refers to the reflection of consumers of which the brand is a
source of identification while Zara’s self-image is confident
trendy and unique. This is the way consumers should think
about the brand. (Inditex Group, Tungate et Al.,2015)
The brand personality is confident beautiful and pretentious
and stylish. These traits can be seen in collections, the way
stores are decorated, store windows, and where the stores
are located. (Inditex Group, Tungate et Al., 2015)
Promotion Strategy

PR Event by Zara

We cordially invite you to our Promotion Dinner party for our new collection called as
“Thermochrom by Zara” on 23rd December 2021 at 8:00 PM.
Our Collection consists of very exciting designs and concepts which we will be
showcasing.

As per our survey, majority of the people are between the age group of 15-25 which
are also extremely active on social media. We will have merchandise with
thermochromatic pattern on it with our hashtag printed on it – “#thermochrombyZARA”
and photo booth where our spotify playlist would be visible. So all they have to do it
scan that spotify QR and hashtag on top of it. For online promotions we will have 3-D
models for showcasing our collections by giving a 260 degree view online on all social
media handles.
Promotion Strategy

Press release

Sponsors for the event-


A landmark in itself, ITC Maurya has been acknowledged as the preferred residence
of visiting heads of state and global icons for over 40 years and epitomizes the
luxury hotel experience in New Delhi. This luxury hotel welcomes guests to 412
rooms & 25 suites each of which is a triumph of stunning aesthetics. With the iconic
Bukhara & celebrated Dum Pukht, the hotel has an enviable collection of culinary
destinations, alongside magnificent conference and banquet venues & unmatched
wellness facilities. ITC Maurya is one of the most coveted addresses in the country.

Maison Joseph Drouhin is a French wine producer based in Burgundy that was
founded in 1880. The estate owns vineyards in Chablis, the Côte de Nuits, Côte de
Beaune and Côte Chalonnaise, as well as in the Willamette Valleyin Oregon.
Drouhin is also one of the major négociants of Burgundy and produces wines made
from purchased grapes grown in different parts of Burgundy. Today both Maison
Joseph Drouhin and Domaine Drouhin Oregon are owned and operated by the
great-grandchildren of Joseph Drouhin.

We will be delighted in the presence of actress and entrepreneur Katrina Kaif,


actress Shraddha Kapoor and Mira Rajput Kapoor as the style and the way they
carry themselves is what Zara delivers to its customers and they have been seen
styling Zara products in their outfits.

As for financial sponsors we will be collaborating with Paytm and Google pay.

Vogue, is an influential American fashion and lifestyle magazine. It was founded in


1892 as a weekly high-society journal, created by Arthur Baldwin Turnure for New
York City’s social elite and covering news of the local social scene, traditions of high
society, and social etiquette; it also reviewed books, plays, and music. Condé
Montrose Nast, the founder of Condé Nast Publications, bought Vogue in 1909 and
transformed it into a women’s fashion magazine focused on beauty, composure,
and etiquette.
Promotion Strategy

Visual display

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, from the sleek
decor and light-bulb color to the music being played and the exact positioning of
clothing. These two teams have a 3D canvas on which to test out their visions in the
form of several mock Zara stores across all of its categories: women's, men's, TRF,
and home. These so-called "pilot stores" are hidden in the depths of Zara's
sprawling headquarters in northern Spain and are completely off-limits to the public.
They display upcoming collections that have never been seen publicly before and
therefore harbor some of the secrets that allow Zara to keep up in the fast-fashion
arms race. There is a pilot store for each of Zara's categories: women's, men's,
home, and TRF. These locations serve as the prototype stores for all Zara locations
around the world. Here i have added some of the beautiful pieces from the new
collection. Since the concept is very much close to science I added the
thermochromatic pattern in the background and kept a very minimalistic look which
Zara is known for.
Promotion Strategy

Planogram
Promotion Strategy

These are from the selected articles for the thermochroma


by Zara collection. The official definition of a planogram is a
schematic drawing or plan for displaying merchandise so
as to maximize sales. It can be a diagram or model that
indicates the placement of retail products on shelves, as
well as the layout for the entire store. Big box stores and
larger retailers typically hire visual merchandising
specialists to assist in developing planograms or they may
have their own in-house planograms. Due to the hefty price
tag of most planogram software packages, small and
independent retailers often resort to using word processors
or paper and pen to optimize shelf layout.
As competition increases, we're seeing vendors and
distributors becoming more aware of the importance of
correctly merchandising their products. That awareness is
leading to better point-of-sale displays, planograms, and
other marketing aids provided to retailers directly from the
suppliers at no cost. (Hudson,19)
Pricing strategy

According to the results published in the newspaper El


Confidencial, with Spain serving as a base with a score of 100,
and taking into account the exchange rate at the time of the study,
Zara’s clothing was priced between 22% and 24% higher in
France, Italy and Germany, an increase that rises to 50% in
Mexico and Britain.

The market with the highest prices was South Korea (96% more
expensive than in Spain) followed by the USA (92%) and China
(78%). Given these results, it’s not surprising that Asia recorded
the largest sales in 2014 for Inditex, accounting for 21.1% of the
company’s total turnover as compared to 20.4% during the
previous year.

Spain accounted for 19%, as compared to 19.7% in 2013, while


the rest of Europe accounted for 46%, as compared to 45.9% one
year earlier. Latin America, meanwhile, generated 7.9% of sales.

It thus appears that beyond following a pricing strategy tailored to


the characteristics of each market, Inditex is attentive to what
consumers are willing to pay based on their income.

Amancio Ortega’s company thus responds to client’s demands


and meets the particular needs of a fast fashion industry that
requires flexibility and innovation at affordable prices.( Francelia
Rodriguez Ceballos,15)
Retail Store
Operations
Store Layout

Zara consists of a straight store layout. The


straight store layout is efficient, simple to
plan, and capable of creating individual
spaces for the customer. Plus, a basic
straight design helps pull customers
towards featured merchandise in the back
of the store. Merchandise displays and
signage is used to keep customers moving
and interested. (Smart Sheet,17) Zara has
an identical aesthetic and an almost
identical layout. 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, from the sleek decor and light-bulb
color to the music being played and the
exact positioning of clothing. These "pilot
stores" are hidden in the depths of Zara's
sprawling headquarters in northern Spain
and are completely off-limits to the public.
(Business Insider, 18)
Visual Display

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, from the
sleek decor and light-bulb color to the music being
played and the exact positioning of clothing.
These two teams have a 3D canvas on which to test out
their visions in the form of several mock Zara stores
across all of its categories: women's, men's, TRF, and
home.
These so-called "pilot stores" are hidden in the depths of
Zara's sprawling headquarters in northern Spain and are
completely off-limits to the public.
They display upcoming collections that have never been
seen publicly before and therefore harbor some of the
secrets that allow Zara to keep up in the fast-fashion
arms race.
From the outside, the pilot stores do not look too
dissimilar to a typical Zara store you might find in a mall.
But don't be fooled — these secret locations are
completely off-limits to the public. (Mary Hanbury,2018)
Planogram
Planogram is a virtual diagram or drawing
that provides details on the placement of
every product in a retail store these Kamat
is not only present a flowchart for the
particular merchandise department within
a store layout but also which I will and on
what sat on item is located.
(Hudson,2019)

Signage

Retail stores signage is a visual store graphic which


displays information regarding the products and the
business for the customers and to guide them in the
right direction. Zara consists of Outdoor, Informational
and accessibility signage. Outdoor signage are often the
first thing a potential customer sees. The sign should be
sufficiently bright and conspicuous to attract attention
(without being garish) and sufficiently informative to let
prospective customers know what's sold there.
(Anon,19)
Zara- Omni Channel

What is Omni-channel ?
An omnichannel strategy is a method that helps
you create a seamless experience for customers
across all the channels through which you sell. It
encompasses the online and offline touchpoints
of your brand, from a point-of-sale system to an
Instagram shoppable post, and it’s not just for
retailers anymore. (Jordan,2021)

Zara perfectly showcases the extent to which a business can develop


its omni-channel strategy. While some retail and wholesale businesses
are going completely online, Zara stands out by encouraging its
customers to shop from both its online and brick-and-mortar stores.
They offer several in-house sales channels in an attempt to bring the
functions of the online store into the physical store

Zara’s omni-channel strategy allows them to give their customers a


seamless experience across all channels, increase customer retention,
improve the quality of their sales transactions, and more. Zara’s
strategy is as seamless as it is only because they put in the time and
money to experiment with different channels and figured out which ones
would work together well. (Natranjan, 2019)
Customer Profile

Age - 19

Location - Delhi

Hobbies - Playing
guitar and clicking
pictures

Purchses from
Zara twice a month

Goals - To be a buiness owner


and to travel to unique places
Day in a life of

9:00 Wakes up

9:30 - 10:30 Freshens up and have breakfast

9:30 - 10:30 Sits in the sun and scrolls through Instagram


and Snapchat

10:30 - 12:30 Goes to college via metro or cab

12:30 - 1:30 Lunch and watches TV

1:30 - 3:00 Takes a nap

3:00 - 6:00 Does homework while listening to music


Day in a life of

6:00 - 7:00 Goes to the gym

7:00 - 8:00 Goes out with friends via car

8:00 - 9:00 Orders food online

9:00 - 10:00 Watches Netflix or Hotstar and


spends time with family

10:00 - 11:00 Takes a bath

11:00 - 11:30 Gets ready for bed

11:30 Sleeps
Media Touchpoints

Social Media

Instagram Snapchat

Television
Advertisement on food ordering platforms
Radio
Hoardings
Metro

Audio Pictoral

Acquisition and Retention


Techniques
Acquisition technique

Social media marketing ads on Instagram, Facebook, and Snapchat.

Referral marketing as it is based on recommendations or word of mouth to grow the


consumer base of an organization or a company. Since Zara is a brand evangelist
marketing should be done.

Email marketing

Online seminar in colleges and offices


RFM Analysis

S. No Recency Frequency Monetary

3 times a
1. 2 Months Rs. 15,000
year
4 times a
2. 1 Month Rs. 25,000
year
2 times a
3. 6 Months Rs. 8,000
year
3 times a
4. 3 Months Rs. 9,000
year

]
Consumers who purchases
above the monetary value of
Premium 1,000 to 10,000

]
Consumers who purchases
above the monetary value of
Gold
10,000 to 20,000

Silver
] Consumers who purchases
below the monetary value of
1,000 to 10,000.

Retention Techniques:

Platinum- If a consumer shops Gold- If a consumer Silver- If a consumer


for Rs. 15,000 or more than shops for Rs. 10,00 or shops for Rs. 5,000 or
Rs. 15,000 worth of one or more than Rs. 10,000 more than Rs. 5,000
more items then they can buy worth of one or more worth of one or more
any merchandise of worth items then they can buy items then they get 30%
6,000 for free. accessories of worth off on selected
2,000 for free. merchandise.

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