Clothing and Zara

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. ) 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 the change of the design is faster and variety as well as limited amount, the chance of the customers buys or wears same clothe are declined. Figure. 2- a tag of Zara’s cloths show Figure. – a tag of H&M’s cloths show “Make in Morocco” “make in China” Imagery Zara is a fashionable and particular brand of fashion family clothing, which composes with the design and the retail of fashionable clothes for kids, men, young girl and women (Zara, 2012). The target consumer is young people with higher income and high education level, mainly 20-35 year-old customer, they have higher awareness in fashion and have spending ability, but lack the ability on buying a product of high-class luxury brand.

Zara provide inexpensive products frequently to meet this population’s needs. It has four product lines, kids for children; Men for boy and men; Trf for lady and girls; women for middle class women and office lady. Also, customers would regular to search the new products in the store to ensure they can buy the favorable products themselves due to fast fashion model. Judgment Refer to the fast fashion, Zara rarely promote discount strategy. It only has 1-2 time of regular on sales.

Also, the products are limited and variety, if the consumers who haven’t buy the products at the first time, a risk of they can not buy afterward will exist. Therefore, the consumer will buy quickly when they unable to wait until the end of the season or the regular on sales. That is utilizing the mentality of consumers, it lead the goods of the company almost sold out within a short period of time, only a small quantity of unpopular products remain at the end of the season or the regular on sales.

Feelings Zara is a middle class level fashion brand, the target consumer is young people with higher income and high education level, and they have higher awareness in fashion and have spending ability, but lack the ability on buying a product of high-class luxury brand Zara provide cheap products frequently to meet the needs of this population. Also, Zara’s customers have owned self-respect and social approval, because of the street style are popular in the western, many well-known international odels and stars are becomes the customers of Zara, even Michelle Obama (the wife of the President of the United States) ((Figure. 4) and Kate Middleton ( the Princess of British) (Figure. 5)are buying Zara’s clothing. Figure. 4- Michelle Obama wears Figure. 5- Kate Middleton wears Zara’s cloths Zara’s cloths Resonance The impression of Zara is fast fashion. It supplies a limited amount of a variety of clothing, it lead a concept “When a thing is scarce, it is precious. ” Also, it makes fashionable be the sense of community.

Zara advocates the design of the products can satisfy the targeting customer’s needs and demands. It lead customers always buy luxury fashion style clothing via an affordable price. According to below (Figure. 6) and (Figure. 7) are related the profit of Zara in 2011 and 2010. It shows that the profit in 2011 is more the 2010. And (Figure. 8), it show the profit is continuously increase from 2006 to 2010. All figures mean the profit increase included new buy and re-buy. Zara has built a relationship with the customers and they would regular to search the new products in the store.