PRESENTED BY:

1)Sakshi
2)Kajal
3)Saloni
4)Divya
5)Ayushi
CONTENTS
• Introduction
• Mission & Vision
• Products
• Supply chain analysis
• Marketing Mix
• SWOT Analysis
• ZARA branding Strategy
• Revenue share and competitors
• Secret of Zara's Success
• Interesting facts
 ZARA Brand

• Global apparel brand and retail chain.

• Founded by INDITEX group in 1975.
• Zara’s original name was ZORBA.
• Total of 2692 ZARA stores worldwide.
• Launched online shops in US and Asia in 2011.
 HISTORY AND FOUNDERS

• The company was founded in 1975 by Amancio

Ortega and Rosalía Mera
• Ortega initially named the store Zorba after the
classic film Zorba the Greek
• Zorba was started as a small store in La Coruña,
Spain with a budget of meagre 30 euros.
 HEADQUARTERS

• ZARA’S headquarter – La Coruña, Spain.

• Known to be one of the most eco friendly
companies.
• Uses solar panels and wind turbines in
headquarters.
• Produces 100% toxic free clothing.
MISSION
• Zara’s business model aims to
contribute to the sustainable
development of society and the
environment
VISION AND MISSION
VISION
• Committed to satisfying the
desires of its customer’s.
• Pledge to innovate business to
improve customer experience.
• Promises to provide new designs
made from quality material that
are affordable.
 ZARA’S LONG TERM GOALS

• SUSTAINING competitive advantage as “fast

fashion”.
-using incremental innovative strategy by utilizing
information technology e.g.-RFID tags.
• Invest more in IT and mobile technology.
ZARA’S STRATEGIC OBJECTIVES

• Supply chain integration.

• Manufacturing responsible products.
• Responsible use of water in the supply chain.
• Efficient use of resources throughout the business
model.
• Ongoing development of team’s motivation.
• Strengthening customer service .
• Improving community welfare.
PRODUCT CATALOGUE

• Zara stores have men’s clothing and

women’s clothing
• 50%of the products Zara sells are
manufactured in Spain,26% in the rest of
Europe, and 24% in Asian and African
countries and the rest of the world.
• Zara can offer considerably more
products than similar companies. It
produces about 11000 distinct items
annually compared with 2000 to 4000
items for its key competitors.
WHAT MAKES ZARA STAND OUT
• The worlds largest apparel
retailer based out of Spain
• It is the flagship store of the
Inditex group
• There are a total of 1770
Zara stores in 41 countries
and 166 Kiddy’s class stores
• The producer of most
variety of clothing range and
even in the shortest
production cycle
 DESIGN AND PLANNING

• Design starts one year in advance of the season

• In-house design team of 200 designers at Zara HQ
• Experimenting new designs with a commercial orientation
• To successfully react to consumer demands, design
decisions are delayed as long as possible
• Approximately 40000 new designs annually from which
10000 are selected from production
• Feedback from store managers
PRODUCTION PROCESS
 WAREHOUSING

• Stores are electronically linked to the company's

headquarters
• Logistics system is based on two core concepts- speed
and flexibility
• Currently building a new state of the art warehouse
and facility complex in Zaragoza, Spain
SUPPLY CHAIN
 STATISTICS ON ZARA’S SUPPLY
CHAIN
• 15 days from designs to products VS industry
average of 6-9 months
• 12000designs per year
• 30000 stock keeping units per year
• Unsold items account for 10% of stock VS industry
average 17%-20%
• Commits 50%-60%of production in advance of the
season VS. 80%-90%for other
 TRANSPORTATION

• Effective and efficient transportation

• Fast delivery time
• Coordination with all aspects of logistics
• Quick response in supply chain
• Ability to distribute merchandise within 2 weeks
• Promotes service quality
 PRODUCT
Offers products for men,
women and children.
Believes in sustainable
development and is
committed to reduce the
production of waste.
Uses ecological fabrics
like organic cotton in the
production of some of
their items.
 PRICE

Products are high on

fashion and low on prices.
Follows low pricing
strategy. It can afford to do
that as it doesn’t spend
enormous amount of
money on advertisements
and raw material
 PLACE

Enormous reach with stores in

88 countries, with over 6500
outlets.
Also sells through its online
store. All these cover the
marketing mix place &
distribution strategy of the
brand.
Uses its unique business
model to bring new products
and fashion to the market in
shortest time possible.
 PROMOTION

Barely spends any money on advertising. It is famous for

being press shy. Even its owner never gives any press
interviews.
 Zara’s advertisements are not visible on television.
Social media reach is quite exceptional. It has 26 million
followers on Facebook and 29.6 million followers on
Instagram.
Doesn’t put its logo on their products.
 STRENGTHS
• Unique design
• Strong presence
• Low cost higher profits
• Superb supply chain
• Design advantage

OPPORTUNITIES WEAKNESSES
• Online e-commerce • Generalized collection
• Backing some flagship designs • Lack of advertising
• Growing market potential • Low safety stock
• Market expansion

THREATS
• Low advertising
• Competition
• Reach
BUSINESS MODEL

Supply chain
Time To Market
 Marketing
 Design Teams
 product life span
 Sale Forecast
 IT spending
 They have about
The lead Time 200 ZARA Spend
for Final professionals , 0.3% on
production is less 12000 for marketing and
than 7 days. different model advertising
sale in its store.
Short life span 0.9% due to in
but more house
product
launched Avg.
application
11k yearly developed
 COMPETITORS

1. H&M
7. Mango 2.Louis
Vuitton 
6. Gucci
3. Hermes
5. Prada 4. GAP
REVENUE SHARE
Secret Of ZARA’s Success
Super efficient supply
chain

Customer co- creation

More styles

Brand Communication
Strategy

Sustainability at the core

of ZARA’s operations
Interesting Facts About Zara

1. Zara launches 12,000 new designs every year

2. Zara’s founder is the 2nd richest man in Europe and
5th richest in the world
.
 Half of the Zara’s products are still made in the brand’s
3. home country of Spain
.
4. Zara was originally called Zorba .
 Zara is committed to getting rid of toxic chemicals from its
5. supply chain and products .
6. Zara’s warehouse is 9 times bigger than Amazon .
 It takes only 15 days for a Zara garment to go from design .
7. stage to hanging in the store
8. You’re unlikely to see a Zara advert on TV .
 Zara's parent company, Inditex, is the world's largest
9. apparel retailer.
.
THANK
YOU