Zara maketting

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New Collection Launch | Marketing Plan22.10.2009

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SITUATION ANALYSIS

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Zara Brand Wheel

High-Street Fashion

Fashionable clothesVaried assortmentTrendy colorsFeminine cuts

Fashionable product lines for moderate costsCustomer-centered business

Runway trends adapted for the streetsFashion-oriented woman

Trendy in every situation

Feeling good about looking goodFashion - friendly

Feminine Hot and trendy

Brand Essence

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5 Keys of the Zara Business Model

Teams

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5 Keys of the Zara Business Model

“Main driving force behind the Zara brand.”

Starting point for all Zara activitiesLead role in:

• Store design• Production• Logistics• Team

Customer

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s

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5 Keys of the Zara Business Model

Appropriate coordination of garmentsExcellent customer care

Store

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5 Keys of the Zara Business Model

Design & Production

“Inspiration comes from the street, music, art … but above all, the store.”

Proximity of production facilitiesImmediate reaction to trends.Continuous work for all teams.

Managers – teams – customer demand – forms, designs, fabrics, compliments

1,186 suppliers, 200 desginers

Design/ Production

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5 Keys of the Zara Business Model

24h – receiving order to store delivery (Europe)

Designed to absorb growth for next years.

Logistics

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5 Keys of the Zara Business Model

“Teams with vast sales knowledge geared to towards the customer.”

89,112 professionalsCustomer oriented.

Make the stores a pleasant environment.Apply corporate, social & environmental responsibility in day-to-day work.

Teams

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Zara’s Performance

Sales€ 6,824

73 countries1,530

stores 4 new countriesin 2008159 store

openings in 2008Brand Value:

$ 8,609 M

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Key success factors

Differentiation & individualism

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Customer Focused Product Development

Saturated industryNeed to increase brand value

Responding to current industry trends

Identifying the need for the product in the market

A full-shaped body is a beautiful body

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Customer Focused Product Development

Saturated industryNeed to increase brand value

Responding to current industry trends

Identifying the need for the product in the market

Market entry barriersDesign challengesExisting customer reactions

“Fat is not fashionable”

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Consumer Analysis

Today’s fashion consumer:

More choice, more educated, more savvy & demanding

“New breed of shoppers”

Loyalty, variety, freshness

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Fashion Consumer Behavior Analysis

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Fashion Consumer Behavior Analysis

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Fashion Consumer Behavior Analysis

• Projecting a desired self-image

Linked to personal values & needs:

• Express and communicate value• Values guide consumer behavior• Types of values: personal, economic,

aesthetic

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Fashion Consumer Behavior Analysis

How to generate positive emotions?

• Use the retail environment to positively

influence moods:

• suitable layouts• colors

• effective sales personnel

• emotionally uplifting atmosphere

Impulse buying

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Fashion Consumer Behavior Analysis

• Fashion oriented: strongly oriented to

fashion involvement: providing sensory or experiential cues of fashion products.

• Created by the symbolic interactions of

the product & the consumer emotional

• Need to understand impulse buying

behavior for fashion products from an

experiential perspective = guidance in

developing strategies

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Plus Size Consumer Analysis

1 in 3 women are unhappy with the way clothes fit them

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Plus Size Consumer Behavior

Plus size product

Functional consequence

Cut fitting the body shape

Psychosocial consequence

Feel more attractive

Self esteem: important motivation driver for consumption Consumers tend to assign their own meanings to clothes.

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Market Analysis

Market Share

PetitePlus SizeNormal

Size2006 2012

Segment growth: 40% increase by 2014.

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E-commerce

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New Line Positioning

High Fashion

High PriceLow

Charming ShoppersM&S

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New in this segmentsMore experienced competitors

Lack of e-commerceBrand awareness

Brand loyaltySize & growth

High fashion for modest prices

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Market & Consumer Research

§General objectives

Develop a consumer focused product line and marketing strategy

Reinforce customer focus as the key driver of the Zara brand

§Specific objectives

Strategically segment the marketVisualize the impact of the new line

Integrate consumer input into development

Strategically plan the integration of the new line within the existing business model – use core competencies & reinforce brand values with a new twist

§Consistent with our current approach

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Market & Consumer Research

Warning: limited applicability, short development cycles

Test both the future target consumers& existing ones

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MARKETING FOCUS

2

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Strategic Marketing Objectives

Overall marketing objectives: increase customer equity

Increase consumer satisfaction, decrease dissatisfaction of the plus size consumerIncrease purchase frequency among plus size customers

Continue to grow by extending the Zara fashion brand

Increase brand awareness and favorable attitudes among consumers

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Zara for every woman STP

Main

segmentDemographicsPsychographicsBenefits sought

Plus size, full shape body women

Aged 18-40Work in big cities / pursuing

higher-level education Mid-range income

Interested in fashion trendsConscious about their looksEnjoy shopping and socializingHectic lifestyle

Clothes that fit their body shape and make them look beautiful

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Zara for every woman Positioning

Fast high fashion at affordable prices

The only true fashion

brand that thinks about your body shape, respects it and

designs especially for it

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MARKETING STRATEGY

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Integrated Marketing Communication Strategy

Holistic approach

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Customer-focused Product

Feel product. High involvement

1) Back to the drawing board

Design products that complement the full body shape

Incorporate consumer feedback on most salient attributes

2) Product symbolism

Zara knows my body shapeI look good in Zara clothesI feel beautiful

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Customer-focused Product

Feel product. High involvement

3) Colors and material

Important choice for perceived quality of the products

Differentiate Zara from competitorsBring a fresh look to the plus size segment

4) The ZARA label

Feed on the existing Zara name and values associated with the brandAim at customer loyalty

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Integrated Marketing Communication Strategy

Customer-focused

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Main communication objectives

Inform about the new lineCreate positive emotions in connection to the new line

Generate consumer interest and purchase intentions

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Advertising Strategy

Main

communication message

USP: The only true fashion brand to consider your body shape

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Advertising Idea Generation

Target consumerBrand name

is the fashion expertfor your wardrobeForthe full body shape woman,Zara

Brand characterProduct / Competitive Frame

that helps you look the best you can because

Brand promise

it takes the high fashion trends and adapts them for the REAL you

Advertising Positioning Formula

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Advertising Creative, Production & Placement

High fashion look

Full shape body model

Body shape revealed: curved lines should not be hidden

Metaphor: dominance, power of the portrayed women

Periperal cue: released sexuality , element of surprize

Ad tonality

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Advertising Creative, Production & Placement

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Advertising Creative, Production & Placement

Ad formatAd placementHigh fashion monthly magazines:

Vogue, Marie Claire, Harper’s Bazaar

Fashion monthly magazines:

Glamour, InStyle, Joy, Petra

Independent magazines:

WAD, Pool

Ad tonality

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Below-the-line Campaign

Brand

CSR: design competition for fashion students

Possible media cooperation with reality shows such as Project Runway

Goal: promote inclusiveness and individualism

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Below-the-line Campaign

Brand

Efficient product placement in magazines

Editorial coverage without advertising expense

Goal: make a sincere proposition to the

REAL woman, use the journalist as an

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PR Lookbook

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Below-the-line Campaign

Brand

Use the website as a main communication channelFeature the CSR initiative to build

awarenessFeature viral videosInclude advices on different body

shapes and product cuts

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Below-the-line Campaign

Brand

Line launch event in 3 key stores in Europe: Madrid, Milan, and LondonTheme: Zara celebrates diversity with a new line

Goal: offer the real experience of the brand and what it stands for

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Integrated Marketing Communication Strategy

Holistic approach

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Pricing Strategy

The new line is more inclusive, and not exclusive: Follow the brand pricing strategies

Affordable prices, good quality

No deviation from what Zara is as brand: consistency across lines

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Integrated Marketing Communication Strategy

Holistic approach

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Distribution Strategy

The store as an important communication channelConsistent and strong store image, high store loyaltyPoint of interaction with the clients: store staff gathering important feedback, taking the pulse of the market

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IMPLEMENTATION AND EVALUATION

4

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Implementation Roadmap

Jan FebMarApril May June JulyAugSept Oct Nov Dec

Website DevelopmentPR Toolkit productionCampaign production

Product launch

/ Event

Interactive launch

Ad campaignMedia

cooperationPR supportEvaluation

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Thank you for your attention!

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Zara maketting

<b>New Collection Launch | Marketing Plan22.10.2009</b>

<b>SITUATION ANALYSIS</b>

Zara Brand Wheel

5 Keys of the Zara Business Model

5 Keys of the Zara Business Model

s

5 Keys of the Zara Business Model

5 Keys of the Zara Business Model

5 Keys of the Zara Business Model

5 Keys of the Zara Business Model

Zara’s Performance

<b>Key success factors</b>

Customer Focused Product Development

<i><b>A full-shaped body is a beautiful body</b></i>

Customer Focused Product Development

Consumer Analysis

<i> Today’s fashion consumer:</i>

<i><b>“New breed of shoppers”</b></i>

Fashion Consumer Behavior Analysis

Fashion Consumer Behavior Analysis

Fashion Consumer Behavior Analysis

Fashion Consumer Behavior Analysis

Fashion Consumer Behavior Analysis

Plus Size Consumer Analysis

Plus Size Consumer Behavior

Market Analysis

<i><b>Market Share</b></i>

<i>E-commerce</i>

New Line Positioning

Market & Consumer Research

§<i>General objectives</i>

§<i>Specific objectives</i>

§<i>Consistent with our current approach</i>

Market & Consumer Research

<b>MARKETING FOCUS</b>

<b>2</b>

Strategic Marketing Objectives

<i><b>Overall marketing objectives: increase customer equity</b></i>

Zara <i><sub>for every woman </sub></i>STP

<b>Main </b>

<b>segment<sup>Demogra</sup>phics<sup>Psychogra</sup>phics<sup>Benefits </sup>sought</b>

<b>Plus size, full shape body women</b>

<b>Clothes that fit their body shape and make them look beautiful</b>

Zara <i><sub>for every woman </sub></i>Positioning

<b>MARKETING STRATEGY</b>

Integrated Marketing Communication Strategy

<i><b>Holistic approach</b></i>

Customer-focused Product

<i><b>Feel product. High involvement</b></i>

<b>1) Back to the drawing board</b>

<i>Design products that complement the full body shape</i>

<i>Incorporate consumer feedback on most salient attributes</i>

<b>2) Product symbolism</b>

<i>Zara knows my body shapeI look good in Zara clothesI feel beautiful</i>

Customer-focused Product

<i><b>Feel product. High involvement</b></i>

<b>3) Colors and material</b>

<i>Important choice for perceived quality of the products</i>

<i>Differentiate Zara from competitorsBring a fresh look to the plus size segment</i>

<b>4) The ZARA label</b>

<i>Feed on the existing Zara name and values associated with the brandAim at customer loyalty</i>

Integrated Marketing Communication Strategy

Advertising Strategy

Advertising Idea Generation

Advertising Creative, Production & Placement

Advertising Creative, Production & Placement

Advertising Creative, Production & Placement

Below-the-line Campaign

Below-the-line Campaign

<b>PR Lookbook</b>

Below-the-line Campaign

Below-the-line Campaign

Integrated Marketing Communication Strategy

<i><b>Holistic approach</b></i>

Pricing Strategy

Integrated Marketing Communication Strategy

<i><b>Holistic approach</b></i>

Distribution Strategy

<b>IMPLEMENTATION AND EVALUATION</b>