Marketing Essentials: A Basic Marketing Plan for Zara

This document discusses the marketing functions and strategies of Zara, a Spanish fashion retailer. It compares Zara's marketing mix with H&M and evaluates a basic marketing plan for Zara. The document covers topics such as product, price, place, promotion, people, process, and physical evidence. It also includes information on Zara's target market and marketing budget.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Covered in PPT...........................................................................................................................1
TASK 2............................................................................................................................................1
P3. Compare the ways in which different organisations apply the marketing mix to the
marketing planning process to achieve business objectives.......................................................1
TASK 3............................................................................................................................................6
P4. Produce and evaluate a basic marketing plan for an organisation........................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Marketing is undertaken as the fundamental activity which occur in each and every
business considering the scope and status to perform a task. Marketing is undertaken as the
phenomena which is used in terms of promoting purchasing and selling of various actions of
prominent products and services in terms of spreading awareness among people regarding the
offerings (Blythe and Martin, 2019). Marketing is important as it is the primary function for each
and every business entity that leads to involve various tasks and contribute towards the
accomplishment of goals and objectives. To carry forward this report, Zara is considered which
is a Spanish fashion retailer situated in Artexio, Spain and founded in 1975 by Amancio Ortega
and Rosalia Mera. Along with this, company deals in various products like clothing, accessories,
shoes, perfumes and so on. The report is going to cover the marketing functions undertaking the
roles and responsibilities and describe interrelationship of marketing roles with other functional
units. Moreover, it leads to make prominent comparison among Zara and other competitor
considering the tactics of marketing mix and lastly, marketing mix plan is developed with
significant evidences.
TASK 1
Covered in PPT
TASK 2
P3. Compare the ways in which different organisations apply the marketing mix to the marketing
planning process to achieve business objectives
Marketing mix is undertaken as the effective tool that tends to combine seven elements
that are known for the 7P's and undertake significant strategies and tactics which company use in
terms of promoting and advertising its concerning products and services in market area
(Chernev, 2018). The concerning discussion depict the seven prominent tactics that are explained
in the context of Zara and the effective marketing mix is compared against H&M.
Basis Definition Zara H&M
Product It depicts the
significant offerings of
company by which
Zara is the popular
brand across the world
and also offer wide
H&M is the clothing
retailer like Zara and
also tends to make
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they can earn
prominent revenues
and profitability
(Purvis, 2016).
category of products
that deals in fashion
and accessories. In
terms of this, Zara
offer perfumes,
accessories, clothing,
shoes and so on. It also
tends to exist within
the product portfolio
of Zara.
sales of the fast
fashion and clothing
for both men, women
and kids. Company
also offer wide variety
of products and has
effective portfolio that
leads to increase
customer base
(Charlesworth, 2020).
Price It is related with the
cost and value which
is analysed for the
offerings. For this, the
price strategy depends
on the cost that occur
at the initial stage of
the product which is
being manufactured to
sell to buyers.
Zara is the well known
and famous brand that
deals in fashionable
products and also offer
products that matches
with the current trend.
For this, the quality
and offerings which is
offered by company is
effective and because
of this, they charge
high prices (Baker and
Magnini, 2016).
H&M tends to offer
wide variety of
products and services.
Hence, its pricing
policy quite premium
and for the cream
customers. In relation
with Zara, H&M offer
wide variety of
products undertaking
the variety of
commodities as well.
Place This factor is related
with the point of sales.
At it depicts the
reflection strategy of
company which is
considered in terms of
making commodity
The supply and
distribution channel of
Zara is quite wide and
it prove because of its
number of stores and
its global presence
across the world as
H&M make effective
sale of its products and
services undertaking
its exclusive store
which is developed in
terms of soothing the
ambience. For this, its
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offered to their
customers.
company has around
6500 stores. Along
with this, Zara make
effective use of
advanced technology
in terms of making
sales online by its
prominent applications
and website.
stores are situated in
major cities and
countries across the
world (Nirschl and
Steinberg, 2018).
Moreover, H&M has
around 4200 outlets
and offer its products
through its franchises
because of some
norms and guidelines.
Promotion It depict the marketing
plan and strategies
which is considered to
inform customers
regarding their
products that can
attract people towards
the brand (Piñeiro-
Otero and Martínez-
Rolán, 2016).
Zara leads to make its
promotion in an
effective and strategic
manner. For this, the
marketing team of
Zara prominently
spend money on the
promotion and
advertisement. For
this, marketing is
based on the Unique
Selling Point (USP)
within the affordable
price range.
H&M also offer wide
variety of products and
due to this, they use
various distribution
channels and
marketing techniques
in terms of advertising
the offerings of
company. Despite
from this, the virtual
platforms are used by
H&M in terms of
unique and innovative
way in order to make
people aware towards
the brand.
People For this, employees
are involved in
effective functions and
For this, the
employees of Zara
have prominent
The manpower of
H&M is more efficient
and effective in terms
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making of products
and services available
among customers
undertaking various
tactics. For this,
prominent manpower
is important for the
success and failure of
brand and specific
product (Proctor,
2020).
influence over the
prosperity of
company. For this,
Zara engage in the
well recognized brand
in order to enhance its
image. For this,
company involve its
experts and the well
known designers in
terms of designing the
trendy products within
the competitive market
(Chinn, 2017).
of supporting
company. In terms of
this, regular training
and effective
development
programmes are
offered in terms of
learning and
continuous
development of staff
members to update as
per the current trends
of industry.
Process This strategy tends to
examine the various
methods by which an
organisation undertake
prominent
development and also
offer complete
products towards their
customers.
This factor is known
for referring the
significant methods
considering the
development of
products that are
available to the
potential customers of
Zara which is the retail
brand. In terms of this,
Zara and other
concerning products
that are developed by
experts and consider
the manufacturing of
company. This process
is involved for
H&M has various
procedure including
the physical stores and
presence for the virtual
platform undertaking
the sales for the retail
purpose. Along with
this, it put emphasis on
the customer
relationship
management. As the
workforce are
effectively trained in
order to offer best
customer services for
both online and offline
platform (Akbar,
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effective production
and organising
purchasing and selling
activities.
Furthermore, virtual
process is also opted
by Zara in terms of
taking entry in the
virtual world for
making online sales
considering the needs
of customers.
Omar and Wadood,
2017).
Physical Evidence It is one of current
strategy which
represent the effective
assurance of company
which they offer to
their customers and
buyers regarding their
presence and future
existence (Rancati,
Gordini and Capatina,
2016).
The physical evidence
depicts the existence
of Zara in various
countries for this, in
starting Zara has
around 6500 stores
and presently, Zara
deals in the online
application and
website in which the
reviews and customer
experience is effective
for the brand
reputation and image.
Appearance and
evidence of H&M
depicts through its
existence and stores
undertaking the
soothing ambience of
the staff members. For
this, H&M leads to
expand and move
towards the
international market
area. Likewise Zara,
H&M also have
effective applications
by which they make
international sales in
those markets in which
company does not
have its physical
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outlets (Okumus and
Cetin, 2018).
TASK 3
P4. Produce and evaluate a basic marketing plan for an organisation
Marketing Plan
Executive Summary:
Marketing is undertaken as an activity that leads to promote products and services by
informing people undertaking the potential buyers regarding their existence in market and also
value those products in order to offer them. Marketing is the primary task which undertake the
performance of company in order to attract people and also retain them for the longer period of
time (Wilson, McCabe and Smith, 2018). Furthermore, Zara is an international brand that tends
of offer the most fashionable accessories and clothes to people across the world. Zara do not
involve in the aggressive marketing practices and also does not promote products with the help
of USP and effective goodwill.
Vision:
For this, the Vision of Zara depicts the environment friendly initiatives regarding the
contribution towards the effective development and sustainability of society in which company
operate its functions.
Mission:
For this, the mission statement of brand is quite clear and simple, which reflect the
objective of company in terms of offering effective products regarding the purchasing needs
which is possible as fast as nobody else can lead market.
Objectives:
 To increase sales by 15% in upcoming 12 to 18 months.
 To enhance the earning of group by 8% considering the effective contribution of Zara.
 To influence the presence of social media across the world. To increase profit by 8% to 10% within 12 months.
Target market:
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Within the marketing there are various tools and techniques are used by the owner of
business and experts. For this, effective STP is quite beneficial in terms of enabling the marketer
in order to classify market in small segments and also put emphasis on the specific target group.
Its three factors are mentioned as: Segmentation: The first stage depicts the segmentation of market on the grounds of
whole population and also divide area into small group as per the common factors and
features (Akbar and et. al., 2017). For this, Zara segments its audiences by Psychographic
segmentation tools undertaking the Lifestyle as the important and influential factor. Targeting: For this, groups are classified on the grounds of one or more segments which
are chosen by knowing targetting and proper support by the segmentation area. For this,
the target group of Zara is middle and upper class people who prefer trendy and
fashionable products. Positioning: It is the last factor which is significant for company undertaking the position
of company in market which represent the benefits and values which is offered to
customers (Pike, 2016). In terms of Zara, company prominently undertake USP in order
to offer fast and best quality products.
Marketing Mix: Product provided by Zara is of best quality with the effective motive of reaching towards
the customers with the purpose of fulfilling the needs and preferences of customers
undertaking the fashionable clothes and accessories as rapid as possible. Price strategy depicts that Zara is lower in comparison to others within the market like
GAP and H&M. For this, the objective of company is to offer best services to people in
low prices and also reach towards the potential buyers (Chernev, 2018). Place depicts the effective distribution of channels in terms of Zara which is strongly
accessible by its online platform and through its 6500 physical outlets across the world. Promotion and advertisement strategy of Zara is quite simple and not much aggressive at
all and for this, the marketers of company spend small amount on advertisement as no
advertisement is place in TV and other platform. For this, the market also offer with the
help of USP and also stay involve in market undertaking the goodwill and image.
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 People depicts the manpower of Zara that are well trained and skills and also has famous
designers in order to recruit for the effective collection of design of brand and also tends
to offer staff training in terms of increasing its services (Purvis, 2016). Process tends to involve the operations of Zara in terms of effective manufacturing,
retailing by the physical stores and sales by the customized application of Zara. Physical Evidence depicts that store is present at the worldwide including the online
application and websites considering the resources of Zara.
Marketing Budget:
Particulars 1st year 2nd year 3rd year 4th year 5th year
Initial money 9000 15000 13000 9000 15000
Investment 6000 25000 22000 30000 20000
Total 15000 40000 35000 39000 35000
Marketing outlay
Promotion 10000 5000 8000 13000 6000
Sales publicity 6000 3000 3000 5000 7000
Direct selling 3000 12000 2000 3000 9000
Total 19000 20000 13000 21000 22000
CONCLUSION
By considering the preceding discussion, it is identified that marketing functions and
concerning practices that plays an important role within the operational activities of company.
For this, it depicts that there are several number of activities considering the marketing functions
which is organised by team considering the market research, promotional plans and so on. For
this, marketing functions are not so beneficial for the entity but also tends to support other
functional units in terms of effective operations. For this, every organisation has it innovative
marketing tactics which they develop as per their prominent goals for the business. Along with
this, marketing mix is the prominent tool that depict significant tactics and effective combination
of them considering the better approaches for the management.
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REFERENCES
Books and Journals
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marketing and building the constituency model for hospitality marketing. International
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Blythe, J. and Martin, J., 2019. Essentials of marketing. Pearson UK.
Charlesworth, A., 2020. Absolute Essentials of Digital Marketing. Routledge.
Chernev, A., 2018. Strategic marketing management. Cerebellum Press.
Chinn, E.R., 2017. Essentials of Branded Event Marketing (Doctoral dissertation, University of
Oregon).
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Wiesbaden.
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