Marketing Essentials: Comparative Analysis of Zara and Burberry

This report provides a comparative analysis of the marketing mixes of two prominent fashion brands: Zara and Burberry. The study examines the key components of the marketing mix, including product, price, promotion, place, packaging, position, and people (the 7 Ps), for each company. The analysis highlights the distinct strategies employed by Zara, known for its fast-fashion model and competitive pricing, and Burberry, recognized for its luxury branding and premium pricing. The report delves into how each company approaches product development, pricing strategies, distribution channels, promotional activities, packaging, and customer relations. The report also covers the marketing plan of Zara in launching a new product. The conclusion summarizes the impact of different marketing strategies on the market position and existence of the organizations, and provides insights into the implementation of various marketing plans and components. The report also includes references to relevant books and journals.

MARKETING ESSENTIALS

Table of Contents
INTRODUCTION..................................................................................................................................3
Task 2.................................................................................................................................................3
P3. Comparison of Marketing mix of two organizations- Comparison is being done between
ZARA and BURBERRY is elaborated as follows- ...........................................................................3
Task 3.................................................................................................................................................6
CONCLUSION......................................................................................................................................6
REFERENCES ......................................................................................................................................7

INTRODUCTION
The set of actions or tactics that a company uses to promote its brand or product in a
particular market is known as marketing mix. Marketing mix is the important part of marketing
essentials which includes 7 Ps of marketing- Product, Price, Promotion, Place, Packaging and
Position and People (Armstrong, 2015). The Organizational study will be based on Zara, a Spanish
clothing company, being founded in 1975 by Amancio Ortega and Rosalia Mera. Zara belongs to
Inditex group and is leading fashion clothing and accessories brand. It is popularly known for its
latest fashion trends in market and produce 100% toxic free clothes. Zara is an eco-friendly company
and popularly known for giving fast response to customer's desires and changing preferences. Report
will discuss the comparison of marketing mix techniques.
TASK 2
P3. Comparison of Marketing mix of two organizations- Comparison is being done between ZARA
and BURBERRY is elaborated as follows-
Basis Zara Burberry
Product- Zara has the strong product line
consisting of T-shirts, shoes,
bags and accessories. It consists
of formal as well as casual
wears in clothing. Zara launches
about 10000 designs in a year
which make it stick to the latest
trend of fashion clothing in a
market. Thus it defines a strong
product mix by introducing
variety of fashions and designs.
Burberry deals in product
segments of beauty, accessories,
coats, handbags and soft
accessories. Its signature
products like Trench coats have
almost 60% of market share.
Burberry has also been licensed
for its watch product with Fossil
group. Thus Burberry deals in
different product line for men,
women and kids.
Price- Zara provides products with
high fashion and low prices as
compared to all its competing
international brands. This is
possible for Zara as it does not
spend more on advertisements
and promotional activities. Zara
Burberry whereas uses premium
pricing strategy to sell its
products. Being a luxury brand
Burberry does not use
competitive pricing strategy but
uses product differentiation,
quality and durability,

pricing strategy is based on
target price, which customers
are willing to pay. This concept
attracts more customers as they
get latest fashion clothes in
reasonable price.
perception to beat their
competitors. This is because
changing their price may let
customers shift to another
brand.
Place- Zara has its market in 88
countries with over 6500
outlets. It also sells through its
online store. The supply chain
of Zara is the biggest
competitive advantage for the
company as it has unique
business model to bring latest
fashion in market within
shortest possible time. Also,
most of the Zara stores are
owned by the company itself
and are not franchise, this
makes the shopping experience
same as of in London and
several other countries. These
stores are located in posh
locations having walled mirror
look and spacious area which
attracts the customers (JAIN,
2017).
Burberry has its existence in 50
countries, consisting 475 stores.
All the Burberry stores are
located in highly populated
areas and the people residing in
these areas are been targeted by
Burberry with an expectation
earning higher revenue to the
firm. Also the big proportion of
people buy online from
Burberry official website which
makes its distribution channel
wide. It also owns majority of
its stores, resulting in similar
customer satisfaction
everywhere and displays its
outfits at departmental stores.
Promotion- Zara hardly spends any amount
on advertising and promotional
activities. Zara relies on social
media rather than expensive
marketing tools. Zara has 2.5
million followers on Facebook
and 15 million followers on
Burberry focusses tremendously
on its marketing and
advertisements. Promotion is the
Important part of Burberry as
advertisements are placed in
high class magazines, TV,
Online ads, Print ads, billboards

Instagram. Zara prefers
spending its revenue on opening
its new store and on its
infrastructure and décor. It
believes that its attractive stores
and windows are sufficient for
the advertisements of their
products. This concludes
Promotion mix of Zara.
etc. Burberry has invested more
in digital marketing to
communicate and reach their
customers their brand message
easily. The company also relies
on celebrity endorsements and
viral marketing. Thus promotion
mix of Burberry concludes by
adopting digital technology as
key factor for its success.
Packaging- Zara believes in sustainable
development, hence it recycles
its hangers and security tags. It
uses paper and biodegradable
plastic bags in order to
contribute to its aim of using
eco-friendly products. This
unique packaging style attracts
their customers and also its CSR
towards environment.
Burberry apparels are luxury
items, hence it uses premium
packaging strategy that attracts
the customer by it. It uses
various decorative boxes
containing items of purchase
and along with its attractive gift
bag. This create huge brand
impact and attract customers
through this decorative
packaging strategy (Kasabov,
2015).
Position- Zara has established its position
in market as most reasonable
and affordable brand. The main
thing that comes in mind of
customers is latest fashion
trends, then prefer Zara. This
position is because of its
competitive pricing strategy and
trending fashion products
(Serrat, 2017).
Burberry has positioned itself as
house of premium apparels due
to its high prices of products and
its attractive packaging design
used to offer products to
customers.
People- As being known for its trending
fashion outfits with lower
Burberry is focused on hunting
best talent worldwide and is

prices, Zara has attracted all
classes of customers. Also Zara
has efficient management of its
people, as the store manager
sends order to headquarters, the
commercial team compiles the
order and sends to
manufacturing hub, the team
also coordinates with the in-
house designers to develop new
products and accordingly these
products are supplied in shortest
possible time. This shows the
time management of skilled
employees of Zara.
known for employee health and
well-being. It benefits
employees through providing
better working conditions,
health facilities and also it has
introduced reward system for
exceptional performance of
employees it appreciates
annually through Burberry Icon
Awards, certain incentives and
provide inspiration in many
ways. Also mentioned above it
pleases its customers by
providing attractive packaging
designs for their luxury
products.
Task 3
P4. Marketing Plan of Zara in launching New product-
(Covered in PPT)
CONCLUSION
From the above study it is summarised that the implementation of different strategies by
organization creates an impact on their position and existence in the market across the world. Further
it is also noted that how various components and factors being focused to implement a specific
marketing plan. In addition, Marketing essentials their impacts on business and various strategies to
overcome the problems were also taken into consideration.

REFERENCES
Books and Journals
Armstrong and et.al., 2015. Marketing: an introduction.
Baker, M.J., 2016. What is marketing?. In The Marketing Book (pp. 25-42). Routledge.
Kotler, P and et.al., 2015. Marketing. Pearson Higher Education AU.
JAIN, M.K., 2017. An analysis of marketing mix: 7Ps or more. International Journal of Advance
Higher Education Research & Development.1(7).
Serrat, O., 2017. Marketing in the public sector. In Knowledge Solutions (pp. 111-118). Springer,
Singapore.
Kasabov, E., 2015. Marketing mix. Wiley Encyclopedia of Management. pp.1-1.