ZARAPRESENTED BY: SUDEEP BEHERA AND ANJENEYULU NAMPALLI

ABOUT ZARA

• Inditex (Industria de Diseño Textil) of Spain, the owner of Zara and five other apparel retailing chains, continued a trajectory of rapid, profitable growth by posting net income of €€ 340 million on revenues of €€ 3,250 million in its fiscal year 2001.

• ZARA is a Spanish clothing and accessories retailer based in Arteixo, Galicia.• Founded in 24 May ,1975 by Amancio Ortega and Rosalía Mera.• Zara needs just two weeks to develop a new product and get it to stores,

compared to the six-month industry average, and launches around 10,000 new designs each year.

• Zara was described by Louis Vuitton Fashion Director Daniel Piette as "possibly the most innovative and devastating retailer in the world.

• 1763 stores , 78 countries worldwide.• Zara has continually maintain its mission to provide fast and affordable

fashionable items . • Zara welcomes shoppers in 86 countries to its network of 1.763 stores in upscale

locations in the world's largest cities.• Zara's approach to design is closely linked to their customers.

ZARA’S VISION AND VALUES

Vision“ZARA is committed to satisfying the desires of our customers.  As a result we pledge to continuously innovate our business to improve your experience.  We promise to provide new designs made from quality materials that are affordable”

Mission Statement “Through Zara’s business model, we aim to contribute to the sustainable development of society and that of the environment with which we interacts.”

NO. OF STORES IN SOUTH

We have one in Chennai in phoenix mall.One in Hyderabad.And two in Bangalore.

ZARA CHENNAI

Zara Chennai has 3 departments 1) men 2)women 3)kidsStore size : The total size of the store is 24,000 sq feetKids- 700 sq feet.Mens- 600 sq feet.Womens-1000 sq feet.Rest are the stock room.

Product Zara stores have men's clothing and women's clothing, each of these subdivided in Lower Garment, Upper Garment, Shoes, Cosmetics and Complements, as well as children's clothing (Zara Kids). For women’s OUTERWEAR, JACKETS, DRESSES, TOPS, TROUSERS, JEANS, SKIRTS, KNITWEAR, T-SHIRTS, SWEATSHIRTS, SHOES, BAGS, ACCESSORIES, JOIN LIFE NEW ,CASHMERE, MONDAY TO FRIDAY. For men’sOUTERWEAR, JACKETS, BOMBERS, BLAZERS, SUITS, TROUSERS, JEANS, SHIRTS, T-SHIRTS, POLOS, SWEATSHIRTS, SWEATERS AND CARDIGANS, SHOES, BAGS, ACCESSORIES. For kid’s GIRL 4-14 years, BOY 4-14 years, BABY GIRL 3 months - 4 years, BABY BOY 3 months - 4 years, MINI 10-12 months, ACCESSORIES

Competitors of inditex

Gap, H&M and Benetton are considered Inditex's three closest comparable international competitors.  Zara, is relatively perceived as more fashionable than all the other three and prices less than Benetton and Gap but higher than H&M.In these four competitors, Benetton and Gap place at relatively less fashionable and higher price, while Zara and H&M is more fashionable and price lower.

Key success factors of Zara

Short Lead Time = More fashionable clothesLower quantities = Scarce supplyMore styles = More choice, and more chances of hitting it.

ZARA RETAIL STORE’S VALUES…

• 1. To adapt quickly to fashion which the public demands.

•

• 2. To improve quality.

• 3. To sell a modern design which the public needs with quality at an affordable price.

• 4. To have a perfect distribution system, just in time.

ZARA RETAIL STORE’S VALUES AND SUCCESS (CONT’D)…

*Business values of Zara is based on:

• 1) Professional ethics

• 2) Commitment

• 3) Confidence

• 4) Loyalty

• 5) Creativity

• More styles: More choice, and more chances of hitting it.,

*Key success factors of Zara:

1) Short lead time: More fashionable clothes

2) Lower quantities: Scarce Supply

Women ‘sZara produced a range with better fabrics and more "womanly" cuts, Zara Basic essential fashion-fix pieces and fashion for younger women. Lightness to the garments, with looser silhouettes seen on flowy dresses, sarong pants, pleated culottes, softly-constructed blazers and silky tops. Zara discover delicate cherry blossom prints on green silk dresses , kimono-inspired shapes at Zara Basic and Oriental watercolor prints on slim pants and chiffon tops.

Men’sZara produced a range of lightweight cotton tops and paisley-print shirts, paired with comfortable cotton twill shorts, cropped linen pants and linen blazers. The collection features hints of ethnic Asian touches like robes, beads and string tie belts that provide hippie-bohemian detailing.

Zara KidsZara kids clothing offers a whole new lifestyle for children, which serve to be tomorrow's fashionistas. Indeed they can be a bit more expensive as compared with adult clothing, but the brand's collections are truly worth

Zara Target &.price

Zara’s consumers 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 most up to date fashion trends .

Monthly targets are : 2.5 crore for the total store that includes For women 90 lakhs, for kids 50 lakhs and for men it is 1.10 crore

The stores sales are as follows :Weekends more than 4000 to 5000 pieces in all the 3 departments.Weekdays more than 1500 to 2000 pieces in all the 3 departments.

MIS (MANAGEMNT INFORMATION

SYSTEM)

MARKETING OBJECTIVES

PRODUCTION

DESIGN

Strategies

Marketing strategy• Zara has developed a highly responsive supply chain that enables delivery

of new fashions as soon as a trend emerges. • Zara delivers new products twice each week to its 1,763 stores around the

world.• Rather than subcontracting manufacturing to Asia, Zara built 14 highly

automated Spanish factories, where robots work around the clock cutting and dyeing fabrics and creating unfinished “gray goods,” the foundations of their final products.

• Zara has also created a partner network of more than 300 small shops in Portugal and Galacia to handle the finishing work where, the gray goods are transformed into dresses and suits.

• Launched approximately 11,000 new items per year, Compare to 2,000 – 4,000 for H&M and GAP. Zara always focus on reducing time. Zara holds 6 days worth of inventory, while H&M holds 52 days, and Spanish Retailer holds 94 days of inventory .

Marketing strategy

Zara controls and coordinates perfectly all the process and allows reducing the times to minimums.

Zara provided a considerable number of products, which were more than rival corporations in the fashion industry.

It produced approximately 11,000 different products per year, while its major rivals only produce 2,000 to 4,000.

Zara spent four to five weeks on the process of designing a new product and getting finished products in its stores .

So, Zara already was the leading brand in `fast fashion’. Zara could redesign existing products in no more than two weeks.

CONCLUSION

1. Zara has an unordinary supply chain, which gives them a highly competitive advantage. 2. Zara has successfully introduced a new, unique business model into the apparel manufacturing and retail industry. 3. zara choose to handle design, production, and distribution in-house and concentrate the whole production close to their headquarters in Spain. 4. By entire process, Zara can react much faster than its competitors do to both the ephemeral trends in the world of fashion and the capricious tastes of its customers.5. Zara have achieved their success by thinking out of the box.6. Their success is directly related to their ability to understand their customers most innate needs and desires and tie these to successful innovation strategies, which ultimately lead to these new and unique approaches to their business.