Zara Case Study
Zara Case Analysis
Zara’s Marketing Strategy
• Produce a product that can adjust and fit multiple trends and can adapt quickly to new style.
• Pride itself on its location (usually on the best street in big cities) as opposed to spending money on public advertisements.
• Target a youthful and vibrant culture.
• Have current and efficient technology in their stores.
Target Market
• Young, fashion- conscious city dwellers.
• Rapidly changing style that needed to cater to people who were not easily influenced and had a rapidly changing style.
• Targeted consumers that could be influenced to buy their product through marketing and advertising campaigns.
• Coming from the middle to upper socio-economical class
Marketing Mix
• Zara focused on location and in store décor rather than advertising publicly.
• Zara only placed ads to announce its new stores and two promote it’s twice a year sales. As a result they only spent .03% of their revenue.
• Store layouts were completely altered every four to five year.
• Layouts must be designed and tested on a 1500 sq. ft. pilot store before being revealed around the entire world.
• Prices established for the Spanish market in the Euro currency.
• Other countries prices were set at a fixed percentage of the Spanish market baseline.
• Zara always takes into account cost and market conditions when pricing their product.
• Does not try to produce clothes that they think will always be in style. Rather, Zara wanted to have clothes that had a quick “in store” and at home life span.
• Customers knew that if they saw something they liked then they should buy it because there is a good chance it would not be there the next time.
• All products were produced in Spain an Northern Portugal at factories and small local workshops
Marketing Position
• Rely heavily on in store managers and employees to keep style current.
• Position themselves in the market so the consumer see’s their product as the newest and latest
Zara’s Marketing Strategy
• Produce a product that can adjust and fit multiple trends and can adapt quickly to new style.
• Pride itself on its location (usually on the best street in big cities) as opposed to spending money on public advertisements.
• Target a youthful and vibrant culture.
• Have current and efficient technology in their stores.
Target Market
• Young, fashion- conscious city dwellers.
• Rapidly changing style that needed to cater to people who were not easily influenced and had a rapidly changing style.
• Targeted consumers that could be influenced to buy their product through marketing and advertising campaigns.
• Coming from the middle to upper socio-economical class
Marketing Mix
• Zara focused on location and in store décor rather than advertising publicly.
• Zara only placed ads to announce its new stores and two promote it’s twice a year sales. As a result they only spent .03% of their revenue.
• Store layouts were completely altered every four to five year.
• Layouts must be designed and tested on a 1500 sq. ft. pilot store before being revealed around the entire world.
• Prices established for the Spanish market in the Euro currency.
• Other countries prices were set at a fixed percentage of the Spanish market baseline.
• Zara always takes into account cost and market conditions when pricing their product.
• Does not try to produce clothes that they think will always be in style. Rather, Zara wanted to have clothes that had a quick “in store” and at home life span.
• Customers knew that if they saw something they liked then they should buy it because there is a good chance it would not be there the next time.
• All products were produced in Spain an Northern Portugal at factories and small local workshops
Marketing Position
• Rely heavily on in store managers and employees to keep style current.
• Position themselves in the market so the consumer see’s their product as the newest and latest