Digital Marketing Strategies for Zalando

This document discusses the digital marketing strategies adopted by Zalando, including an overview of digital marketing, challenges faced during the switch, comparison of digital tools and physical channels, impact of e-commerce growth, and the development of omni-channel marketing. It also covers the logical digital marketing strategy for Zalando and the actionable measurement framework.

Digital Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
Part I.................................................................................................................................................1
1) An overview of digital marketing...........................................................................................1
2) Analyse the challenges that organisation faced by switching to digital marketing................2
3) Critically analyse the key digital tools and platforms as compare to physical channel..........3
4) Critically analyse the digital marketing landscape and impact of growth of e-commerce.....4
5) Explain how and why omni-channel marketing has developed.............................................5
Part 2................................................................................................................................................5
1) Develop the logical digital marketing strategy and determine its implications and generate
actionable measurement framework...........................................................................................5
2) Justification of choosing multi-channel capabilities and how it optimised the consumer
engagement and return on investment.........................................................................................7
3)Actions to be implemented to improve effectiveness of digital marketing using performance
metrics and critically evaluate it.................................................................................................7
4)Using data to inform and develop customised and personalised products and services..........8
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Digital Marketing is a process by which company presents and sales their product and
services on the digital platform like internet, websites, phone apps, advertisement, emails and
many more (Alvermann, 2019). It is an effective medium through which company could attracts
the large number of customers as it conveys the 24/7 contact with the customers and there is an
ease in the access of the information and it can be handles by both online and offline medium.
Zalando is a e-commerce company that is based in Berlin, Germany and founded in 2008 by
Rocket Internet, Robert Gentz, David Schneider that deals with the fashion and lifestyle products
in the European market. This reports covers the different strategies that has been adopted by the
company in order to increase their sales and for that how they uses digital marketing.
Part I
1) An overview of digital marketing.
Digital marketing is a platform that is used by Zalando to present there product and
services to the customers on the platforms like social-media apps, websites, web portals etc.
Zalando markets there products in both the platforms as online as well as offline and that
includes the different concepts (What is digital marketing, 2019). Online marketing includes the
marketing of product on the digital platforms like social-media, websites, mobile apps etc.
Whereas, offline marketing includes the creation of the awareness in the market about the
product and services of the Zalando but doesn't access the internet as by using newspapers
advertisement, radio, banners, posters, pamphlets etc. Thus there is a difference between the
online and offline marketing concepts that are as defined below as:
Basis Online marketing concepts Offline marketing concepts
Cost Online marketing of Zalando includes
the optimization of the websites and
providing adds to the social-media
platforms that is comparatively less.
Offline marketing of Zalando include
the maintenance of stocks, rents, salary
of workers and many more indulge
more expense.
Convenience Online marketing is more convenient to
the Zalando as by this they can in direct
Offline marketing of Zalando is less
convenient as include a lot of cost with

contact with the customers as 24/7. that they get the sales when the shops
are open.
Exposure Online marketing of the Zalando is not
bounded it is the limitless process as
company covers a wide range and have
the maximum exposure (Bala, 2018).
Offline marketing of Zalando gets the
less exposure as it covers a particular
area that is surrounded by the stores.
As digital marketing is on boom as that Zalando measures the higher growth by that thus
there are different factors that contributes the growth some of them are as follows as:
 Time: Zalando takes lesser time as they can easily manages their products and
services and implement the new marketing strategies with lesser time, easily control
the changes with that also monitor all the feedbacks of customers and services as
well.
 Technology: Right use of technology brings the increment of the sales and
technology always comes with the advancement for that Zalando uses there own app
named as Zalando mobile app to delivered there product and services to the
customers.
2) Analyse the challenges that organisation faced by switching to digital marketing.
Zalando uses both the mediums for marketing and faced several challenges while
switching to digital marketing that are as follows as:
 Producing effective referrals: This is the major challenges that is faced by the Zalando
at the time of switching as it is the most basic need that customers must use there brand
website and find as well as click to there social post. Thus to get the attraction of the
customer and the referrals to expand there product information is the biggest challenge of
Zalando (Cao, 2018).
 Generating traffic: It is also be the challenge when Zalando wants to switch to digital
marketing as it is mandatory that people get attracts towards the websites and
continuously using that websites. To increases the traffic Zalando convince there
customers towards there product and analyse the market and make some scheme that
attracts the large customer base.

 Proper use to technology and platforms: At the time of switching Zalando faces the
challenge as to choose what kind of technology and platform has been used for digital
marketing. There are several technologies as sending the mail to the customers or make
create advertisement, SMS, make their own app, search engine, optimised engines,
social-media and many more. Thus these are the challenges that is faced by the Zalando
at the time of switching and at last company uses the use of there own fashion app from
where they sale all the different clothes at affordable prices to attains the growth and
development.
3) Critically analyse the key digital tools and platforms as compare to physical channel.
Digital tools are the several platforms that has been used by the Zalando named as social-
media platforms, email marketing, google search engine, content creation, video hosting etc.
Whereas, physical channels is an activity that is performed by the Zalando to increase the sales
and includes sales distribution channels as like retailer and wholesalers (Chaffey, 2019). There
are several merits and demerits of both that is explained below as:
Merits of key digital tools and physical channel
Merits of key digital tools Merits of physical channel
 Zalando can target the maximum
number of customer as include both
international and local areas.
 Zalando could interact with the
customer and also gets there feedback
and apply the needed changes.
 Zalando can easily reach to the
customers by targeting them as by radio
channels that attracts the near by
customers.
 It is easy and comfortable to understand
and customers can collect all the
required details from the newspapers
and radio.
Merits of key digital tools and physical channel
Demerits of key digital tools Demerits of physical channel
 Sometimes Zalando faces the issues
related to the security and privacy.
 It includes the very less attraction with
the customers and there is an
expectations not confirmation that

 Zalando also faces the higher
competition as through digitalisation
they covers the higher area with that
risk of success also raises.
customers may get aware of product
and services of Zalando (Chaffey,
2019).
 It is also a costlier process for Zalando
as to print in newspapers and radio
channels takes there own cost.
4) Critically analyse the digital marketing landscape and impact of growth of e-commerce.
Digital marketing includes the marketing of the product and services by digital platforms
like internet. Digital marketing landscape is a man created space for digital marketing includes
different kind of marketing as social-media, pay per click, google search engines, optimised
search, email marketing and many more.
E-commerce or electronic commerce and that defines the online services where company
buy and sale there product and services on the internet services or other techniques as well like
emailing. E-commerce measures the growth as people get attracts towards the web portals and
other online platforms. Customers gets the update of all the things on there phone and there is no
need to go on shops and stores to get to know about the different schemes of any Zalando (E-
commerce in the UK-statistics and facts, 2019). There are several impacts of growth of e-
commerce as UK had the third largest e-commerce market that are defined as below as:
 Lower the cost: As to start the business that takes the lot of capital cost but due to e-
commerce that cost is reduced. E-commerce is the been maintained with the lowest
investment as well thus Zalando also gets the positive impact of that and they balance
there inventory on the basis of customer requirement and demand.
 Elimination of mediators: As by using the online platforms company is direct in contact
with the customers and doesn't need any mediator to transfer there product and services.
Thus there is no requirement of the substitute that transfer there schemes and changes to
the market.
These are some of the factors under which Zalando measures the success and growth as it
is a e-commerce business thus there whole business depends upon the digital platforms

(Galipoglu, 2018). Thus the growth of e-commerce has the positive impact on the success and
growth of Zalando.
5) Explain how and why omni-channel marketing has developed.
Omni-channel marketing is an integrated approach that provide leniency to the customer
to purchase the product from any of the channel includes the phone, desktop and the brick-and-
motor store. It is used by the Zalando to maintains the focus on the customers need and wants
that builds the unified brand image and value in the market.
As customers are omni-channel and they are choosing different source of the digital
marketing thus it has been developed by Zalando and consist several steps like first they get to
know about the need and demand of the customers and analyse the complete prospects of the
market. After that apply several techniques by which they connect to the customers like making
advertisement, creative pamphlets etc. Then targets the segmented customers after that get the
experience of the customers and then spread that experience to the omni-channel by which
people get to know more about the product and services of the Zalando (Hanlon, 2019).
Omni-channel has been developed as people get more adverse about there choice of
digital platform thus it developed to provide the easiness for the customers as they get the same
service from all the platforms and get the same experience from every digital channels. This has
been developed to provide the cohesive and seamless services to the customers.
Part 2
1) Develop the logical digital marketing strategy and determine its implications and generate
actionable measurement framework.
Zalando uses digital marketing strategy to enter into the new market as they sell 1500
international brands and localised brand as well that includes different fashion, culture,
payments, strategies that varies from country to country (Kingsnorth, 2019). Thus the digital
marketing strategy takes the best decision at the right time that makes the company successful in
terms of success. The digital marketing plan for trendy fashionable clothes is as follows:
Vision: To make the world not only fashionable but also sustainable.
Mission: As a e-commerce business produce more fashionable products that leads the
success of the company.

Marketing objectives: To promote there product and services by which they get “ real
dispensable relationship” with the customers from where people start there fashion and end there
fashion too.
Situational Analysis: As per the competition of the market Zalando develops certain
marketing strategies for to measure the growth.
Strengths: As UK is the most developed and modern country thus people always gets
attracted towards the new and trendy clothes. Customers also look for the trendy clothes that is
affordable in price thus Zalando also introduce the fashionable and trendy clothes that attracts the
large customer base.
Weaknesses: The major weakness of Zalando is as they have less amount of capital as
online retailing doesn't have the high revenues. And due to Brexit there business is suffers the
economic crisis and to measure that is the biggest issue.
Opportunities: Zalando expends there business to other markets as like Sweden and
Denmark and they are also be more developed thus they accept the different fashionable trends
with that Zalando measures the growth.
Threats: There are other company as well like eBay and ASOS that also produces the
trendy and branded clothes that is the biggest competition of the Zalando.
Marketing strategies: Zalando joins global fashion agenda with VF corporation as a
associate partners to enhance the sale and increase the brand value and image.
Social-media marketing: It is an effective and efficient tool that is used by the Zalando
to attracts the large number of customers and it makes the direct contact with the customers by
which they get the direct feedback as well and implement the changes according to the need
(McCabe, 2018).
Target market: Zalando targets the age group of 18-35 as these group people get attracts
towards the fashionable clothes and accepts the different fashionable trends in the market.
Zalando measured there actionable framework by the follows tools and techniques are as:
 Key performance Indicator: It is a technique used by Zalando that shows the enhanced
performance as compared to the set standard. As company set the standard as compare to
the other best performed industry and then make some strategies by which they achieve
that set target. As per the context of digital marketing Zalando sets the standard as per

there competitor as eBay and ASOS. This framework is used as it differentiated between
what company has to what company has achieved.
 Measurable Metrics: It is a matrix that is used by the Zalando to measure the
effectiveness of the digital marketing strategies that is used by company. This matrix
includes cost per click, absenteeism rate, overtime hours, sales and delivery time. It is one
of the most beneficial metrics as defines the current situation of the company (O'Shea,
2018).
2) Justification of choosing multi-channel capabilities and how it optimised the consumer
engagement and return on investment.
Multi-channel capabilities means that company uses different channel to get in contact
with the customers. With that Zalando applies same strategies to all the digital platform to
enhance the productivity. The major goal of multi-channel is to provide the choice to the
customers to buy the product at any time whenever and wherever they want.
Zalando optimised the customer engagement by using multi-channel marketing strategies
as through this company reaches to the customer at the right time and right place exactly at the
time of requirement. By applying various strategies like email, SMS, social-media etc. and with
that company also focuses on the approach of customer and thus it optimise the engagement of
the customers (Rohm, 2019).
Zalando optimised the return on investment as by multi-channel company is in contact
with the customers at every platforms and that enhance the customer engagement, that increase
the customer base by which there is a development of the brand image and value in the market.
That all factor increase the sale of the Zalando thus they get the best return of there investment.
3)Actions to be implemented to improve effectiveness of digital marketing using performance
metrics and critically evaluate it.
Zalando is operating their business in digital and information technology sector through
managing different methods that is used by organisation to gain sustainable advantage in market.
Their are several ways are also used by companies which leads companies to gain top position by
improving performance of organisation. Some state of actions that are implemented by
organisation is as follow:
Customer related services- In present scenario buyers or consumer are most essential part
of a market because all companies sold their products to customers for increasing their profits.

So with digital marketing it is easy to understand whole market and then to select a specific
market and target group of persons to fulfil needs of customers at large level (Saura, 2019).
Customer oriented- With the help of digital technology majority of companies are
performing their work at global level. This refers it is essential for management to increase their
sale of profits by satisfying needs of customers in effective manner. From point view of Zalando
data and digital technology used by management to understand recent years information due to
which new products and services are designed as per customer perspective.
Buying methods- All techniques which are related with digital marketing is used by
Zalando to identify needs of customers for preparing products as per customer expectations.
Along with this by implementing new digital techniques and software quality of products is also
checked by management within limited period by using updated software machines.
4)Using data to inform and develop customised and personalised products and services.
Online marketing refers to complete all work through utilising various channel with point
of developing an effective shopping experience for customers. In simple terms Zalando utilise all
techniques and channels with motive of generating better experience for buyers. This is also used
by entrepreneurs to attract more number of customer for increasing market size. Moreover,
personalised products is beneficial for designing products and services as one to one marketing
channel through offering content as an individual entity.
Enhancement in revenue- Their are various task will be performed by management to
increase sale of products and profits. It determines that personalised products is an effective
technique for increasing demand of commodity and services by satisfying customers needs. So
digital tools is one of most effective techniques that is used by management to increase revenue
for firms (Sharmila, 2018). Moreover, social media tools and website is used by management for
engaging customers in products due to which it is easy for Zalando to design products and
services as per customers needs and wants. Further, with virtual images it is recognised that is it
possible to develop product in practical way or not.
Formulation of website- Marketing is most effective term that is used by management to
complete their work within effective manner. Affiliate marketing, E-commerce platform and
digital advertisement are some essential techniques which is used by management to design
marketing techniques through generating better work fields for management that results for
developing better marketing strategy for all operations and functions that boost sales of products

and services. Along with this it is also used to collect data by monitoring clicks on company
website.
CONCLUSION
It has been concluded from the above discussion that digital marketing is the platform by
which companies sells there product and services to the customers. Zalando also uses both the
type of marketing like online and offline with that company measures the growth. With that
Zalando also faces different challenges while switching to digital marketing. Company uses
different tools by which they measure there growth and also uses omni-channel marketing.
Further, report contains the different marketing strategies that is adopted by the Zalando to
measures the growth and development.

REFERENCES
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<https://blog.hubspot.com/marketing/what-is-digital-marketing>.
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<https://www.statista.com/topics/2333/e-commerce-in-the-united-kingdom/>.