Fashion Retailing Report: Zara and Armani, UK Fashion Industry

This report provides an analysis of the fashion retail industry, focusing on two UK-based companies: Zara and Armani. It begins by explaining the characteristics of the target markets for each retailer, considering factors such as age, gender, and socioeconomic status. The report then delves into the policies of these retailers, particularly concerning pricing, store hours, and online services. It explores how fashion trends are influenced in their development, including the role of style, looks, and design. Furthermore, the report describes the impact of different fashion trends on retail services, followed by an explanation of how the images of a chosen fashion retailer meets the needs of its target market. Finally, the report highlights the differences in characteristics between a niche fashion retailer and a mass-market retailer. This report covers the fashion industry, providing a comprehensive overview of the challenges and opportunities within the sector.

Fashion Retailing

Table of Contents
INTRODUCTION...........................................................................................................................1
P1 Explanation of characteristics of target market of different fashion retailer ........................1
P2 Explanation of policies of different fashion retailer in terms of their retail service offer .....3
P3 Describe how a fashion trend is influenced in its development ...........................................3
P4 Describe the impact of different fashion trends on retail services ........................................4
P5 Explanation of how the images of a chosen fashion retailer meets the needs of its target
market ........................................................................................................................................5
P6 Difference in characteristics of a niche fashion retailer with those of mass market retailer. .6
CONCLUSION ...............................................................................................................................6
REFERENCE...................................................................................................................................8

INTRODUCTION
Fashion is popular style to attract people and showing styling standard in fashion industry
that run business successfully. Fashion style popular in clothing wear, lifestyle, accessories,
footwear and make up. At present every people is well aware about what is running in fashion
and what looks good. Moreover, once dresses are designed and manufactured, it need to sale at
market place. The process of selling clothes from manufactures to direct customer is called
fashion retailer (Acharya and et.al., 2018). This report will talk about fashion industry that is
Zara and Armani which is UK based fashion industries, selling designing products at retailer
prices to customers. This report will covered target market of different fashion, its polices and
how fashion trend is influenced its development. Additionally, this report will state impact of
fashion trend on retail services and effect of image on the success of a chosen fashion retailer.
P1 Explanation of characteristics of target market of different fashion retailer
Zara
Zara is Spanish fast fashion retailing organisation that provides designing clothes and
accessories at retailing prices. It is found in 1975 by Amancio Ortega and Rosalila Mera. It has
almost 10000 stores that provides online shopping services to its customer and make them feel
better. It is popular company that sales products at low prices than other company. Its main aim
is to make goods reasonable for all age groups from kids to old age group. Moreover, it considers
mass market that means products manufactured at a large scale for increasing customer and end
user of goods. In this market owner focuses on consumers by providing wide range of products
with number of identifiable preference and expectations at large market place.
Armani
Armani is Italian luxury and high fashion industry established by Giorgio Armani that
manufactures, designs, and distribute products at retailing cost. It focuses on customer's needs
and fashion and produce that kind of products at reasonable prices that influences customers.
This is very successful company which make available products at out side also through online
shopping and give customer loyalty. It contains niche market that is the subset of market on
which a special products are focused by considering market needs, price, production and price
range that provides specific products.
Both company such as Zara and Armani are using target marketing and segmentation-

Age
Zara targets a wide range of age group that involves kids age to adult age. Its main target
is audience should be young person and understandable who can accept new fashion and changes
according to fashion. In this situation Zara will be able to target this age group through throw
away fashion retailer.
Armani targets mainly adult man and women whose ages between 18 to 32 years. It
represents young, sexy and urban styling people who goes night clubs, parties and social events
can purchase dresses from Armani's company.
Gender
Zara targets on male and female and provides designing clothes and accessories.
Armani targets on both male and female, but mainly consider female and provides
attractive dresses to customers (Cox, 2016).
Characteristics:
Height and size-
Zara manufactures products for all age group that starts from kids to seniors. Its target
market is families and woman, therefore, it produce all sizes of products such as small, medium,
large, XL and XXL that increase sales and achieve goals.
Armani specially targets youngster, therefore, it creates products for 14 to 32 years old
and mainly for female that helps to increase customer and profit margin. Armani takes
measurement of 14 to 32 years old person and create products from S to XXXL that provides
luxury lifestyle.
Social economic factor (Income)-
Zara produce all sorts of products that give a chance to select goods according to income
level. Pricing is most affective technique that makes affordable products for all customers.
Therefore, Zara targets that customer who are not financially stable but wanted to stay trendy and
fashionable.
Armani mainly focuses on 18 to 32 years old age group and produce luxury items that
creates a luxury lifestyle. It targets those customer who can afford this by considering income
level.

P2 Explanation of policies of different fashion retailer in terms of their retail service offer
Policies are set of rules and strategy that helps to attract customer in order to increase
sales and profits by using polices. Such as Zara and Armani used different policies-
Pricing
Zara provides low pricing strategy that helps to influence customer and make them feel
better by providing quality of products. It consider couture designs, production and distribution
of retailing clothes at affordable prices.
Armani makes strategy to attract standard people who is ready to pay more amount on
designing products and make feel them better than other retail shopping. It may keep high prices
of goods and services (Kaharuddin and et.al., 2017).
Opening hour
Zara makes polices of open the store and get it change according to festival and special
occasion that gives a chance to buy products. Mostly its opens its store on 9 am to 7 pm that
offers customer to purchase products.
Armani provides luxury goods which is open 24 hours through online services. Online
services are available at any time and every place that gives opportunity to customers in order to
buy products.
Use of internet
Zara used retailing policy that is internet services which influences customer and
emphasis to move from other products to its products. As it also provides delivery services and
shopping services by using new technology.
Armani mostly provides online services to its customer such as it is available for 24 hours
so each and every customer can purchase goods through internet at any time (Liu, and et.al.,
2013).
P3 Describe how a fashion trend is influenced in its development
Fashion trend means what is running in fashion and what are customer's demand to be
sustain in fashion market. It involves different fashion trends such as style, culture, length cut,
trim, accessories, designer collection and growth of fashion retail market which influenced
development. Historical fashion involves style, tradition and culture that influenced customer
and development. For instance, Zara sells designing clothes and accessories to different types of
customer and increase profits. Current fashion trends means what is currently fashion and what

needs to do to maintain current trends by selling products and services to its customer. Such as
Zara is focusing what is present demand and manufacture that kind of products in order to
influence customer and convince to purchase products that will increase turn over and goodwill
of business. It contribute some percentage of profits in country's development that increases
image as well as development. Fashion trends influenced development such as-
Style: Style is the way to influenced people and sale the new products at market place
which influence social culture such if style will change people will purchase more products and
services that will increase profits and participate in countries development activities.
Looks: This means how a person stand in fashion industry by showing new looks. Looks
is the way of influencing people towards it self and creates followers in fashion industry by
looks. Its helps in development such as if any person see good looking person then it will started
to follow by observing that people. It helps in development by following people that will buy
same kind of products in order to create good looks.
Design: It also involves designing of products and services which influence customer.
There are different types of people and they have different choices that attract customers by
designing of goods and retailing prices (Martino and et.al., 2016).
It influenced development such as selling of designing and styling products at reasonable
prices customer will be happy and other customer from different country will also purchase
products that will create popular culture like celebrity culture and role media. It influenced
development like society will be aware by reading in magazines, television, cinema and social
media that will increase popularity.
P4 Describe the impact of different fashion trends on retail services
Fashion trends are complex issue for each and every fashion industry which impact on
retailing services and give chances to attract customer by bringing changes in products and
services. Fashion trends such as design, look and style affect retailing services such as-
Style: Zara used different types of style to create designing and attractive products that
helps to influenced customer. It impact on society such as if industry manufactured long size of
dress and sale at market place then it becomes style and that impact on society such as all person
will be started to buy that kind of dresses. It also changes customer's choices by bringing new
changes in style.

Looks: It defines appearance and observation of people that impacts people's mind and
they also started to follow looks. Hence, growth of fashion industry increases continuously and
profit margin also increases. Such as Zara use some catalogue and dummy that attracts customer
to purchase products. It also focuses on quality of products and prices which impact on fashion
industry such as its demand as well as sale increases (Martino and et.al., 2016).
Design: It includes the art of applying natural beauty, aesthetics, design to clothing and
accessories. It impacts on culture and social attitudes that influenced customer's attention and
make feel good by providing designing products. Moreover, it impacts on retail services such as
Zara and Armani both provides designing products but Zara focuses on customer's income level
and offer reasonable goods that make more profitable in retail sector by providing number of
services.
P5 Explanation of how the images of a chosen fashion retailer meets the needs of its target
market
Images of any industry attract customer to visit its sites and work place in order to
purchase any products and services. For instance, Zara is well known organisation and standing
at fashion market which attracts to customer and emphasis to buy products. Moreover, it also
helps to meet customer needs according to target market such as-
Age: Zara is focusing on customer age such as babies to adult and manufacture products
for them that increases sale of products and accessories at affordable prices. Its main target is to
improve its products and make a goodwill of company that will help to increase number of
customer and sustainable environment in fashion industry. It use images to attract adult and offer
them goods at reasonable prices.
Gender: Zara mostly used woman dressing's images that helps to influenced customer. It
main target is to focus on woman's choices and fashion and produce goods as they want, hence it
helps to attract young ladies to buy products and services. Hence, images of Zara company helps
to meets customer choices by focusing on style and looks and manufacture that kind of products.

P6 Difference in characteristics of a niche fashion retailer with those of mass market retailer
Mass market means a market place where number of goods are produced at large scale
for end user and increase number of customer by selling products at market place. Such as Zara
is standing in mass market by selling products at large market place and give satisfaction to its
customer. It provides a wide range of products and gives preference to customer's choices and
expectations (Zhang, Zhang and Liu, 2016).
Niche market involves subset of market that involves different prices of product and
provide quality of products by focusing on high level of customer. Such as Armani is UK based
company and consider in niche market that focuses on customer expectation and interest by
providing better quality of products. Its characteristics are different from mass market such as-
Mass market (Zara) Niche market (Armani)
This involves high competition that can create
chances of lack of customer. Such as Zara is
facing high competition situation that may
reduces its sales.
It involves low competition that increases
number of sale. Hence, Armani can increase its
profit margin by selling product in low
competition market.
This is available through online and offline
services that helps to attract customer and
make available product easily.
It can be easily accessible for customer as well
as organisation. Such as Armani provides its
products easily to its customer by face to face
and through online system.

CONCLUSION
From above mentioned report it has been concluded that fashion industry is the way of
attracting people and run a business effectively by bringing new products. Moreover, fashion
industry gives a high living standard and influencing people that helps to increase number of
customer. This report covered mass and niche market which produce wide range of products at
market place. Additionally, this report covered impact of fashion retailer in development and
how its influenced customers.

REFERENCE
Books and Journal
Acharya, A., and et.al., 2018. Big data, knowledge co-creation and decision making in fashion
industry. International Journal of Information Management. 42. pp.90-101.
Cox, N., 2016. The complete tradesman: a study of retailing, 1550–1820. Routledge.
Kaharuddin, A., and et.al., 2017. Transient competitive advantage readiness: findings from
hotels, cafés, and fashion retails in Bandung, Indonesia. International Journal of
Business and Globalisation. 18(3). pp.417-427.
Liu, N., and et.al., 2013. Sales forecasting for fashion retailing service industry: a
review. Mathematical Problems in Engineering. 2013.
Martino, G., and et.al., 2016, April. Proposal of a multi-method decision support system for the
fashion retail industry. In Workshop on Business Models and ICT Technologies for the
Fashion Supply Chain (pp. 187-199). Springer, Cham.
Martino, G., and et.al., 2016. Optimisation of the replenishment problem in the Fashion Retail
Industry using Tabu-Bees algorithm. IFAC-PapersOnLine. 49(12). pp.1685-1690.
Zhang, Y., Zhang, C. and Liu, Y., 2016. An AHP-based scheme for sales forecasting in the
fashion industry. In Analytical modeling research in fashion business (pp. 251-267).
Springer, Singapore.