Get 20% off StudyMode
Read full document

Zara

Page 1 of 3
Customer-Based Brand Equity (CBBE) (Keller, 2008)

Salience

Zara is a well-known and ranked number one clothing brand in Spain, and it is the brand chain store of the Inditex Group owned which ranked number three in the world (INDITEX Group, 2012). Zara used fast fashion model – limited and variety. Zara resist a trend within the worldwide industrial- product manufacturing in low-cost area. That prove its product has a certain quality. Related to fast fashion, Zara has asserted that it only needs 2 weeks time to design and develop a new product on store shelves. Moreover, the main work like design, production and delivery are proceeding in Spain and via it business model system, Zara can directly know which type of the goods are popular and almost sold out in a short period of time, and the types of the undesirable goods. It can easily to know the buying behaviors of the customers and can control the amount of the product. E.g. colorful cloths are desirable and almost sold out, the designer/factory can use this information to design/produce more types of colorful cloths via the system. Or the colorful cloths are undesirable then the designer/factory may stop to design/produce the similar cloths directly. It lead Zara’s product are low cost, low storage, low price, fast design, variety types and more flexible.

Performance

Refer to resist product manufacturing in low-cost area that the products of Zara must have a certain quality. Although there have many similar competitors such as H&M, Forever 21, etc in the market. Zara insist the mass production processes retain in Spain and Europe (Figure.2) rather than in Asia area, it proves the product is reliability, durability and serviceability. Zara is not easy replace by the competitors due to produce in Europe which is more durable than produce in Asia country (Figure.3). In addition, related to fast fashion, the design is creative, especially and diversified. The price is valuable as a result of...