The Reason behind Zara's success-Marketing strategy of Zara.

Have you ever noticed that Zara doesn't advertises its products either on TV or newspaper, then how does it gets a huge customer base?

Ever wondered that then, what is its marketing strategy?

 Never mind we have found an answer for you!!

Then what are we doing lets get ahead.......

lets first learn a little bit about Zara:

 About Zara:

Zara SA is a Spanish apparel retailer based in Arteixo , in Galicia. The company specializes in fast fashion, and products include clothing, accessories, shoes, swimwear, beauty, and perfumes.It is the largest company in the Inditex group,the world's largest apparel retailer. Zara as of 2017 manages up to 20 clothing collections a year.

Zara stores have men's and women's clothing as well as children's clothing (Zara Kids). Zara Home designs are located in European stores. Zara's products are supplied based on consumer trends. Its highly responsive supply chain ships new products to stores twice a week.

 After products are designed, they take ten to fifteen days to reach the stores. All of the clothing is processed through the distribution center in Spain. New items are inspected, sorted, tagged, and loaded into trucks. In most cases, the clothing is delivered within 48 hours. Zara produces over 450 million items per year.

Zara stores have men's and women's clothing as well as children's clothing (Zara Kids). Zara Home designs are located in European stores. Zara's products are supplied based on consumer trends. Its highly responsive supply chain ships new products to stores twice a week. 

After products are designed, they take ten to fifteen days to reach the stores. All of the clothing is processed through the distribution center in Spain. New items are inspected, sorted, tagged, and loaded into trucks. In most cases, the clothing is delivered within 48 hours. Zara produces over 450 million items per year.you would also love my this post on How Zoomcar uses digital marketing in its business?

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Marketing strategy of Zara:

Zara, the worlds largest clothing retailer uses 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.

which was initially introduced in its 120 stores world wide, such technology  is just irresistible digital-honey to draw millennial into the store and shop.interested in finding marketing strategies then you should give a try to Contagious: Why Things Catch On.

Die of success? Give me a break! We’ve only just started!

-Amancio Ortega Gaona click to tweet.

 

They uses the most powerful pull marketing strategy which creates curiosity among its consumers.

with this new AR application and in so many other ways, Zara excels by pulling customers into the brand.

Zara has evolved to the new 4E's of marketing strategy- Experience replaces product, Exchange is new price, Evangelism is now promotion, and every place is new place- that puts the customer at the  center around which the company and brand revolve.

Zara treats its customer as king.

1.Experience replaces product:

Earlier products used to matter the most, but in today's world Experience matters more than product in the shopper which Zara has understands very well.

2.Exchange is new price:

Zara masters the concept of exchange as it is not the cheapest in the fast-fashion arena, but it consistently delivers branded value of trend-right product at appealing prices.trying to attract customers but unable to do so then give a try to this you will love to read it..Building a StoryBrand: Clarify Your Message So Customers Will Listen

3.Evangelism is now promotion:

Zara masters the concept of exchange as it is not the cheapest in the fast-fashion arena, but it consistently delivers branded value of trend-right product at appealing prices.

4.Every place is new place:

Personal commerce is the every place where the customers are, rather than only in the physical place the brand is present. This is the new distribution model for retailers today: Delivering the brand experience and products when and where the customer demands it. Zara does that for them.

Further, Zara focuses on its own people with corporate initiatives on diversity, respect, equal opportunity, work-life balance and professional development. Zara fosters a highly-engaged workforce that translates into highly-engaged interactions with customers. Additionally, over 60% of the Inditex workforce is 30 or younger thus aligning with the target market of the brand.

“The result is the customer and the company work cooperatively together so that the Zara customer becomes the Chief Customer Officer providing feedback on all aspects of the business,” Kohan concludes. 

This is a fundamentally different alignment than brands using the 4Ps approach to marketing operate. Today the customer, not the company, calls the shots. Zara involves the customer interactively in the decision-making process. That is the Zara difference.

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5.Faster customer service:

how does zara provides its customers experience as king?

Rather than setting fashion trends, Zara rides the wave of what’s currently hot and established to provide affordable copycat versions of high-end brands. And to appease its teen and 20something demographic, the store prides itself on getting new designs in stores within 2 weeks.

love to read marketing books then give it a try...This Is Marketing: You Can't Be Seen Until You Learn to See

But does this strategy really work? You be the judge. The brand has grown overall sales by around 50% in five years to $17.5 billion. 

6.Customer feedback plays a vital role:

Asking for customer feedback is more than lip service at Zara. When a customer says she loves (or hates) an article, this gets reported back to headquarters, and communicated to in-house designers, who apply the feedback to future work.

Related:

*How Walmart continues to earn profits even at the times of recession..........walmarts marketing strategy!!!

*How was Paytm able to earn even after giving huge cashbacks and discounts............case study on paytm!!!

*Success story of Bajaj group of industries....!!!

*Strategy behind Patanjali success....the reason behind such popularity and ever increasing demand of Patanjali.

7.Building Brand loyalty:

And its store managers are far from minimum wage employees.They’re experts in fashion and observation, and are taught how to pay attention to what customers are saying and doing to reflect what moves the brand needs to make next. Try doing that with armloads of statistical data generated on a computer.

By including customers in the design and improvement process, Zara builds massive brand loyalty.

8.Zara uses anti marketing strategy:

Zara uses only negligible % of sales on advertising,

But what appeals to customers is its exclusivity and the fact that the brand isn't plastered on every billboard. shoppers feel like if they buy a shirt at Zara, 5 other people wont will not be having the same shirt at work or school. the fact that the store stocks little inventory helps with that exclusivity factor. 

there's the sense of being in a cool kids club when the brand stays underground in terms of advertising.

9.Zara's  place strategy:

Zara identifies high street retail areas in major metropolises. Zara will be more likely near higher-end fashion retailers.

  

key takeaways:

*customer is king.

*placement of your store at right place matters...!!!

*advertising is not always necessary.

*brand loyalty is most important, loyal customers accounts to your 80% sales.