Zara Marketing: Business Model, Value Proposition, and Market Analysis

This report provides a detailed analysis of Zara's marketing strategy, focusing on its business model and value proposition. It examines Zara's key partnerships, activities, resources, and customer relationships within the framework of the Business Model Canvas, highlighting the company's emphasis on fast fashion, efficient logistics, and customer responsiveness. The report further explores Zara's value proposition through the Value Proposition Canvas, detailing gain creators, pain relievers, and product offerings that cater to a target segment of fashion-conscious consumers. By analyzing these elements, the report aims to understand Zara's competitive advantage and its overall performance in the international fashion industry. The document is contributed by a student and available on Desklib, a platform offering study tools and resources for students.

ZARA
Marketing
(Student Name)

Marketing 1
Table of Contents
Introduction........................................................................................................................2
Business Model Canvas....................................................................................................2
Value Proposition Canvas.................................................................................................4
References.........................................................................................................................5

Marketing 2
Introduction
Zara is a clothing retailer who has taken new approach and tactics in the
industry. The company was established in the year 1963 by Amancio Ortega. The
company has more than 1500 branches in the international market that made them lead
in the international fashion industry (Anwar, 2017).
In this report there will be detailed analysis of the overall performance of the
company and its value proposition that made them competitive in the international
market
Business Model Canvas
Key
Partnerships
 Shop Centres
 Inditex which
is the holding
company of
Zara
 Suppliers
 Produces of
Textile
 Government’
 Organization
of Corporate
Social
Responsibility
 Brands from
Fashion
Groups
 Manufacturer
s
Key Activities
 Fashion Sale
 E-commerce
 Designing
 Manufacturin
g
 Customer
Service
 Receive
orders
 Logistics
 Forecasting
and Trends
 Shipping
 Arrange
fashion
Shows
(Clegg, 2015)
Value
Proposition
s
 Maintain
brand
image in
fashion
industry
 A fresh,
trendy as
well as
unique
product
offered at
medium
or low
prices
 Provide
affordabl
e cloths
to the
consume
rs
 Maintain
quality of
its
product
in an
effective
manner
 The key
Customer
Relationship
 Awareness
of brand
 Zara pays a
premium to
locate
stores as
close as
possible
 Provide
forum to
the
consumers
for giving
and sharing
their
feedback
 Complaints
warmly
welcomed
by them
and try to
resolve on
time
Customers
Segment
 Young
generation
 Consumers
of highly
sensitivity
to the
latest
fashion
trends
 Those who
are quality
and price
conscious
 Zara
segment its
product
line majorly
by women
after that
men and at
last with
the fast
growing
children
department
Key Resources Channels

Marketing 3
 Employees of the company
 Suppliers
 Fabrics and threads
 Excellent location of shop
 Effective production as well as
Logistic process
 Culture of Company
to Zara
“runaway
success”
is to be
the best
at fast
fashion
 It is
located at
ain
shopping
streets in
big cities
 Consider
as
internatio
nal brand
 Modern
as well
as
 E-commerce
 In store
 Online
 Social Media
 App
 Instagram
 Pinterest
 Newsletter
Cost Structure
 Salaries
 Purchase of raw material
Revenue Streams
 Sales from Online
 E-commerce

Marketing 4
 Manufacturing
 Designing
 Cost of HR
 Cost of Marketing and Promotion
 Zara has a policy of zero advertisement
 Retail Sales
 Franchisee
 Other Investment (Aftab, Yuanjian,
Kabir & Barua, 2018)
Value Proposition Canvas
Product
References
Anwar, S. T. (2017). Zara vs. Uniqlo: Leadership
strategies in the competitive textile and
apparel industry. Global Business and
Organizational Excellence, 36(5), 26-35.
Aftab, M. A., Yuanjian, Q., Kabir, N., & Barua, Z.
(2018). Super Responsive Supply Chain:
The Case of Spanish Fast Fashion Retailer
Inditex-Zara. International Journal of
Business and Management, 13(5).
García-Álvarez, M. T. (2015). Analysis of the
effects of ICTs in knowledge management
and innovation: The case of Zara
Group. Computers in Human Behavior, 51,
994-1002.
Clegg, B. (2015). Fashioning a Model for
Zara. Impact, 1(2), 7-12.
Gains
 Quality of Product
 Unique Fashion
 Make shopping
Convenient
Customer Jobs
 Different Varity of product
 Comfortable environment
for shopping
 Provide discounts and
promotion
Pains
 Customer Impulses
(buy it now or
you may lose
it)
 Rush at the time of
sale
Gain Creators
 Provide
quality
product
 Perfect Fit to
the
personality
 Better
purchasing
experience
 Effective
prices of
products
 Proper
guidance
and
suggestion
provided
from staff
Product and
Services
Products offer:
variety of
products is
offered by Zara
such as jeans,
top, trousers,
one piece, and
skirts for
women. Shirts,
t-shirts, pants,
jeans, trousers
for men as well
as kids dress
are provided to
the consumers
Location: Zara
is located at
approachable
area of the city
such as top
shopping malls
to target the
consumers
Target
Segment: Zara
majorly target
women for its
product, then
men and kids.
Pricing: Zara
maintain
competitive
pricing strategy
( García-
Álvarez, 2015)
Pain Relievers
 Ecommerce
service help
in saving the
time of
consumers
who have
busy
schedule
 Everything
at one place
ease the
shopping of
family