Zara Customer Survey Analysis Report

1627 words - 7 pages

-------------------------------------------------
-------------------------------------------------
ZARA: FAST – FASHION CUSTOMER SATISFACTION ANALYSIS USING IBM SPSS
-------------------------------------------------
ZARA: FAST – FASHION CUSTOMER SATISFACTION ANALYSIS USING IBM SPSS
MARKETING MANAGEMENT COMPANY PROJECT

BY GROUP 8
ABHISHEK GUPTA

BY GROUP 8
ABHISHEK GUPTA

ABOUT INDITEX

INDITEX is a Spanish multinational clothing company headquartered in Arteixo, Galicia, Spain. It is made up of almost a hundred companies dealing in activities related to textile design, production and distribution. Amancio Ortega, Spain's richest man, and the world's third richest man, is ...view middle of the document...

Perhaps it’s most unusual strategy was its policy of zero advertising; the company preferred to invest a percentage of revenues in opening new stores instead. This has increased the idea of Zara as a "fashion imitator" company and low cost products. Lack of advertisement is also in contrast to direct competitors such as H&M and United Colors of Benetton.
Zara was described by Louis Vuitton Fashion Director Daniel Piette as "possibly the most innovative and devastating retailer in the world."

ZARA INVENTORY MANAGEMENT

* Zara develops a business model that incorporates moderate prices with new clothing styles faster than its competitors.
* It maintains design, production and distribution processes well to respond to the quick shifts in consumer demands.
* They are flexible enough to produce 12000 new items annually.
* The company can design a new product and have finished goods in its stores in four to five weeks.
* They believe in shortening the product life cycle =greater success in meeting customer preferences
* They have a design team of 200 people, which produce 12000 new styles a year.
* They keep a close watch on new trends and buying behavior through market research.

VALUE CHAIN OF ZARA

* Zara is an example of a company which exploited the value chain to get competitive advantage. The company aims to achieve the customer satisfaction by introducing variety of fashionable products
* One distinctive feature of the value chain system of Zara is its agility. In other words, flexibility and quick response to the market demand.
* Zara excels by targeting technology investment at the points in its value chain where it will have the most significant impact, making sure that every penny spent on technology adds value.

ABOUT H&M (COMPETITOR)

H & M Hennes & Mauritz AB (H&M) is a Swedish multinational retail-clothing company, known for its fast-fashion clothing for men, women, teenagers and children.
H&M exists in 43 countries and as of 2011 employed around 94,000 people. The first store was opened on the high street of Västerås, Sweden in 1947. It had 2,325 stores at end of 2011 and 2,629 stores at end of August 2012. It is ranked the second largest global clothing retailer, just behind Spain-based Inditex (parent company of ZARA), and leads over third largest global clothing retailer, United States based GAP Inc.

The design team in the company’s Sweden office controls the steps of production, from merchandise planning to establishing specifications, and production is outsourced to approximately 800 factories in Europe and Asia. These facilities are used for horizontal division of labor, rather than being integrated.

ZARA COMPETITIVE EDGE

* Zara, unlike its competitors DOES NOT use outsourcing
* Zara’s competitors face a lack of flexibility in changing orders based on current trends.
* Inventory costs are higher for competitors because orders are...

Other Papers Like Zara Customer Survey Analysis Report

ZARA: Fast Fashion Essay

4518 words - 19 pages segment using a flexible business model that could be expanded on an international scale. As the parent company, Inditex focuses on providing the corporate services to its respectable chains so that they could accomplish their goals.In this report, we used SWOT, Porter's 5 forces, PESTEL and 4P's analyses to figure out the clues that Zara could follow to address the international expansion issues, which is the major problem it has to face

Pestle Analysis of Zara

1902 words - 8 pages face traditional retailers in the apparel industry. So, now our group will analysis the PESTLE of Zara Company. (Lopez & Fan, 2009) Overview Zara is one of the largest international fashion companies and belongs to Inditex, which is one of the largest fashion retailers worldwide. Inditex operates in textile design, distribution and manufacturing. (Inditex, 2011 b) Zara operates in 78 countries worldwide with 1557 stores in the world’s

Business Model Analysis in the Fast Fashion Industry

4714 words - 19 pages industry characteristics and undergoes those emerging environmental forces, business model analysis via referring to a few firms could help identify how firms are capturing business opportunities in the form of inventing or reinventing their business model (Voelpel et al, 2004). This report will present an analysis of business model of two dominant fast fashion companies, Zara and H&M. It will start with an identification of industry environment of

Zara & H&M

2271 words - 10 pages Table of Content 1. Executive Summary 2. Introduction & History of Zara 3. Introduction & History of H&M 4. Products Offered By Zara & H&M 5. Marketing and Communication Strategy of Zara 6. Marketing and Communication Strategy of H& M 7. SWOT Analysis: Zara 8. SWOT Analysis: H&M 9. Conclusion Executive Summary This report will examine and make comparison of the communication

The Analysis of Zara

4708 words - 19 pages | | | |Party animal | | | Figure 1: Competitors’ analysis (Adopted from Luder, 2013) 2.2 The importance of Marketing mix for ZARA 2.2.1 Product ZARA manufactures a wide range of customer-focused merchandise, such as shoes, clothes, jeans, sportswear, accessories and cosmetics for men

Zara- Business Perspective And Global Analysis

4434 words - 18 pages countries. So, technology is still primitive in these regions. However, India, the South Asian country has already moved forward in technological advancement. Arabic countries in West Asia are highly advance in terms of technology. Technology is playing key role in the robustness of their economy. 5. SWOT ANALYSIS 5.1 Strength: 1. High Brand Value: Zara is also known as popular clothing brand. 2. Vertical integration: Zara

Zara; S Fashion

3611 words - 15 pages integration, Zara has more flexibility than its rivals in terms of moving products from the designing   5   stage to the store shelf (The Economist, 2001). In order to respond to local customer preference changes, Zara transmits customer feedback directly to its massive design team in Arteixo in Spain, facilitated by information technology (Hume, 2011). According to researchers Sorescu et al. (2011), “the three elements that comprise a Retail

Comparative Analysis of Zara and Topshop

544 words - 3 pages Study Proposal A comparative case analysis of Zara and Topshop Company I. Rationale As of the present, fashion industry market is growing and booming with the presence of low cost fashion companies such as Zara and Topshop. These kinds of companies have the possibility to dominate the industry of today and in the future and the situation for competition in the fashion industry can be set on high demand on such products and services

Zara Case Final

3007 words - 13 pages has been become one of the most valuable fields in the clothing industry, and carrying out fast fashion business has become an ideal choice for clothing enterprises to develop rapidly and create performance (Hayes & Jones, 2006). In this paper, it chose an international fast fashion clothing brand--ZARA of Spain, which is characterized on marketing and has won widely recognized worldwide, as the research object. Through the analysis of the

Zara Business Assessment

4360 words - 18 pages -depth analysis of external and internal factors affecting performance of world leading retailer Zara. First of all, the brief background on Zara is provided in order to familiarise reader with the business model they implement. Secondly, the PESTEL framework is utilised as the base for analysis of external environment and its potential effects on company’s performance. Further, the Porter’s 5 forces are identified in order to assess where the

Zara It Fashion

1834 words - 8 pages whether nearby store had a particular SKU in stock or not. Finally, a good solution is that PDA and POS can share the inventory information being within same network. All above mentioned criteria will make sure that Zara will have a new upgraded computing infrastructure. Analysis: Zara’s half of its production is in-house. Its competitor’s like H&M, Gap or Benetton all are more involved in outsourcing. Instead of focusing on economy

Related Essays

Marketing Strategy Essay

2215 words - 9 pages . Basically, it sells most of the thing you need to wear. The customer is able to purchase from Zara from every Zara flagship store or they can simply surf the internet at home and enjoy the online shopping service. (www.zara.com) SWOT Analysis Before developing a suitable marketing strategy for Zara, a SWOT analysis is needed to figure out the current situation of the organization. Strength Firstly, Zara is using a cost leadership strategy to

The Strategy Of Zara Essay

2144 words - 9 pages in the retail industry. 2.0 Procedure and Findings 2.1 SWOT ANALYSIS Strength One of notable strength for Zara is its rapid response in customer trends in fashion. Although Zara only spend less than 0.5% of total revenue on information technology, it works well. In addition, Zara utilizes human intelligence and IT in order to have a hybrid model for information flow from stores to

Zara, Success Story Essay

908 words - 4 pages stores. Such strategy means catching up a trend when it is in vogue in the fashion circles. On the other hand H M company needs about two months to do the same job. It is this difference which makes Zara unique from others. Zara has teams in the international arena, who observe the latest fashion trends and report leads to head office. The mangers are also involved in tracking customer demands through sales analysis; this process enables Zara

Zara Case Report

1774 words - 8 pages | |Zara: IT for Fast Fashion | |Case report | | | | | |6/19/2013 | | Executive summary To address the current issues of upgrading/not upgrading of the Point of terminal (POS) in the ZARA’s stores all over the world, I will propose in the upcoming company budget to allocate €14 million for the upgrade of current obsolete operating system that we use. A Pilot project will be implemented in one of Zara’s store in Spain to