What is zara?

Brand name: ZARA (Chinese name -Sala) Country/region: Spanish founding date: 1975 Founder: amancio ortega Gahona Agency: Chief designer of Inditex Group: john galliano product category: women's wear, men's wear, shoes and boots Bulgarian rose perfume.

Hat and scarf. Inditex ranks first in Spain, surpassing GAP in the United States and H & in Sweden in recent years. M has become the number one clothing retail group in the world. In 2005, its global sales reached 6.7465438 billion euros, with sales of 429 million pieces and net profit of 803 million euros. As of June 2006, it has opened 2,899 specialty stores in 64 countries and regions around the world, and its * * * owns 8 clothing retail brands, including ZARA, Pull and Bear, Kiddy‘s Class, Massimo Dutti, Bershka, Stradivarius, Oysho and ZARA Home, among which ZARA is the most famous brand. ZARA was founded in 1975, and currently has 1757 stores in 72 countries around the world (90% are self-operated stores, and the rest are joint ventures and franchises). Although ZARA brand stores account for only one-third of all branches of Inditex, their sales account for about 70% of the total sales.

Brand history

1975, the apprentice amancio ortega opened a clothing store named ZA zara 1 in a remote town in the northwest of Spain.

RA's little clothing store. Today, ZARA, which was not well-known in the past, has grown into a global leading fashion brand, covering more than 70 countries and regions around the world and having more than 2,000 stores. The practice of Zara brand can be said to be an alternative in the fashion clothing industry, creating a fast fashion model between traditional top fashion brands and mass clothing. With fast fashion becoming the mainstream format of fashion industry, zara brand is also highly respected. Some people call it "the Dell computer of fashion", while others call it "the swatch watch of fashion". In 2005, zara ranked 77th among the global 100 most valuable brands. Harvard Business School rated zara as the most valuable brand in Europe, while Wharton Business School regarded ZARA as a model for studying the future manufacturing industry. ZARA, as a company leading the future trend, has become the benchmark of fashion industry. Zara brand is shrouded in too many auras, but it is by no means a hollow reputation. The beautiful financial figure behind it is zara Clothing 2.

The best annotation. In 2005, ZARA's global operating income reached 4.4 billion euros, and its pre-tax profit was 765.438+0.2 billion euros. Morgan Stanley predicted in a research report that by 2065,438+04, the average annual growth rate of ZARA's earnings per share will be 65,438+00.9%, while the average annual growth rate of five luxury goods groups such as Burberry is only 7.7%. Due to ZARA's good financial performance and strong development momentum, the wealth of Armancio Ortega, the founder of ZARA brand, has also been rising with the increase of stock market value, ranking eighth in Forbes' global rich list in 2007, with total assets reaching $24 billion. ZARA, as the leading brand of fast fashion mode, is famous and profitable, which can be described as "fame and fortune". ZARA has clearly become a model for profitable brands. ZARA brand is rising in the fashion world at an alarming rate. In 2005, it ranked among the 100 most valuable brands in the world, leaving Armani and other fashion brands behind. "Taking history as a mirror, we can know the rise and fall of great brands in different economic times." The history of the rise and fall of a great brand tells us that the rise of a great brand often lies in the high consistency of its brand spirit with the overall spirit of the times and the deep needs of consumers. The success of ZARA's profitable brand model in the world is the best interpretation of this point. ZARA first appeared in Interbrand's list of the best brands in the world in 2005, and ranked second only to Adidas in 2006, with a brand value of $4.235 billion. Every store manager in ZARA has a specially customized PDA, through which they can place orders directly with the headquarters, which can directly grasp the sales situation of each store, and the store manager can also communicate with the product manager at the headquarters in time. In this way, ZARA can complete the design, production and delivery within 15 days. Harvard Business Review said: ZARA has established a communication supply chain different from traditional industries, and it is this supply chain that helped ZARA complete the myth of 15 days. In ZARA, you can always find new products and supply them in limited quantities. Most of these goods will be put on special shelves. This strategy of temporarily out of stock is too bold for many people! But think about the popularity of all the limited supply goods in the market. What people need is not products but "different" and "unique". ZARA's temporary shortage is satisfying people's psychology, and ZARA has gradually become a "unique" spokesperson because of this subversive approach.

brand strategy

ZARA was founded in 1975. At present, it has established 2,200 women's clothing chain stores in 27 European countries and 55 countries and regions around the world. In 2004, the global operating income was 4.6 billion euros, the profit was 440 million euros, and the profit rate was 9.7%, even better than the 6.4% of GAP, the largest clothing chain brand in the United States. ZARA's successful operation in recent years can be summarized as four factors: having a huge team of designers; The company itself has 9 garment factories, which can be completed within one week at the earliest from new planning to production. ZARA's delivery speed is fast; Take all kinds of small business methods, and every three weeks, all the goods in its clothing store must be updated. ZARA's designers have the unique creativity and enthusiasm of young people. They often go to the front lines of fashion cities such as new york, London, Paris, Milan and Tokyo to learn about the latest fashion and consumption trends of women's clothing and accessories, and keep abreast of first-hand information such as product sales and customer response. ZARA currently has nine production plants in Spain, so it can flexibly control the production speed. After the designer completes the clothing design, he sends the design data and specifications to the factory for formal production. Orders from chain stores around the world, after reasonable evaluation, are sent to factories to minimize inventory. At present, the inventory is about 15% to 20%, which is far lower than 40% of other clothing chain operators. In terms of logistics and distribution, ZARA is mainly transported by truck in France, Germany, Italy, Spain and other EU countries, and it takes an average of 48 hours to reach the chain stores. The sales in these areas account for 70% of the total sales. The remaining 30% of the sales will be sent to distant countries and regions such as Japan, the United States and Eastern Europe by air. In order to let consumers catch up with the latest fashion, ZARA chain stores will definitely have new products listed every week, and the upgrading speed of products is very fast. Moreover, each store usually displays only five items in stock, which is a diversified and small business model. Every three weeks, all the goods in its clothing store must be renewed. In the highly competitive clothing sales market, ZARA is based in Europe and looks at the world with its super-speed, multi-variety, small batch and integrated production and sales. Its success is worth analyzing and learning from the industry.

Edit this supply chain system

In fact, the most important link is ZARA's sensitive supply chain system, which greatly improves ZARA's delivery time.

. (The lead time refers to the time from design to putting ready-made clothes on the counter for sale. ) Generally, the clothing industry in China is 6-9 months, and the internationally renowned brands can reach 120 days, while the shortest time for ZARA is only 7 days, which is 12 days. This is decisive 12 days. China, known as the "factory of the world", is dwarfed by the rhythm displayed by ZARA's sensitive supply chain. Some international clothing brands know ZARA is very powerful, but they can't learn and imitate it. Why? ZARA launches about 12000 kinds of fashions a year, and the number of each fashion is generally small. Even the best-selling styles, ZARA only supplies a limited number, and a specialty store often has only two styles, and it will not replenish after it is sold out. Just as the limited issuance of stamps has enhanced the value of philatelic products, ZARA has also cultivated a large number of loyal followers through this "manufacturing shortage" approach. "Multi-style, small batch", ZARA has achieved a breakthrough in economic scale. Generally speaking, the reasons for ZARA's success are: customer orientation; Vertical integration; Efficient organization and management; Emphasize the speed and flexibility of production; Unique marketing price strategy, no advertising or discount.

Edit the main designer of this paragraph.

ZARA has nearly 400 designers. These designers are typical trapeze artists. They often shuttle between various fashion shows. Zara children's clothing 1.

Or go in and out of various fashion places. Usually, as soon as the latest designs of some top brands are put on the counter, ZARA will quickly release fashions that are very similar to these designs. This design method can ensure that ZARA keeps up with the fashion trend. According to reports, in Europe, ZARA pays tens of millions of euros in infringement fines to those top brands every year. ZARA did not give up this design pattern because of this. Obviously, the profit earned from it is far higher than the fine. ZARA has invested heavily in designing its own sensitive supply chain. The production base is located in Spain, and only the most basic styles of 20 kinds of clothing are produced in low-cost areas such as Asia. ZARA has established 20 highly automated dyeing and shearing centers, and outsourced labor-intensive work to 500 small factories and even family workshops around, and the logistics system connecting these 20 dyeing and shearing centers and the surrounding small factories is essential. In the 200-mile production base in Fiona Fang, Spain, there are 20 cloth cutting and printing centers and 500 OEM terminal factories. ZARA hollowed out all these places 200 miles underground and built a network of underground conveyor belts. According to the new orders every day, the most fashionable fabrics are delivered to the terminal factory on time, which ensures the overall lead time requirements. Building such a production base needs to invest billions of euros. Many clothing brands want to imitate ZARA, but they have not invested in such a huge production base. Finished clothes can be guaranteed to reach Europe by truck within two days, while for the American and Japanese markets, ZARA even uses air transportation at any cost to improve the speed. This kind of mass production thinking makes ZARA brand ride the dust. ZARA has only one retail store, which is ZARA's window and eyes, and does not engage in franchising. Zara children's clothing 2

Specialty stores place orders twice a week according to the sales situation, which reduces the probability of inventory discount and reduces the inventory cost. The update of styles increases the freshness more quickly and attracts consumers to patronize again and again. Quickly updating the goods in the store can also ensure that they meet customers' tastes and can be sold. "Small variety, large quantity" is the aim of traditional manufacturing industry, but in the "long tail market", "more money and less" has become a popular business model. ZARA has created a new model of long tail market with its sensitive supply chain. China is a big and powerful clothing country, but there are no world-famous brands, but a large number of OEM bases are widely distributed, which has become a microcosm of "world factories". Compared with the construction of ZARA's sensitive supply chain, our "world factory" is dwarfed. A country's wealth pattern determines its future competitiveness. When Europeans and Americans choose to concentrate on education capital, industrial capital and financial capital to control the global distribution trend of resources, China people choose the real estate wealth model one after another, and as a result, they become more and more machines for conveying profits to multinational companies.

Edit the brand characteristics of this paragraph.

ZARA has more than 200 professional designers, and has launched more than 65,438+02,000 products a year, which can be said to be five times that of its peers. Moreover, the average age of designers is only 25 years old. They always go to Milan, Tokyo, new york, Paris and other fashion places to watch fashion shows, in order to capture the design concepts and latest trends, and then simulate and launch high-fashion fashion items, and the speed is very shocking. Replenishment is put on the shelves twice a week and needs to be completely renewed every three weeks. Stores around the world can update synchronously within two weeks. The high commodity substitution rate also accelerates the customer's return rate, because consumers have invisibly established the important image that ZARA has something new at any time. In addition, ZARA Design Group also holds real-time conference calls with ZARA store managers around the world, and flexibly adjusts the design direction of products to meet the changing tastes of customers by understanding the sales situation and customer responses around the world. At the same time, the clerk has input the product features and customer information into the computer and transmitted the data back to ZARA headquarters through the Internet, so that the design team can master all kinds of accurate sales analysis and customer preferences. Coupled with their professional fashion acumen, to determine the design direction and quantity of the next batch of goods, so that goods can play the maximum sales rate, which means that the incidence of inventory can be effectively reduced. Look at zara 09 autumn and winter brochure, you can see it at a glance. From soft woolen coats to exaggerated and dramatic knitted sweaters; From light purple and earth tone to blue and even green pants, it seems that this autumn, a black dress has begun to go out of fashion. Whether it's green pants, red lining or blazer with shiny texture, everything is subverting the concept of "low-key" men's wear. This autumn, if you don't "flash", at least give me some "color" to see!