Report on Marketing Management: ZARA's Data-Driven Customer Approach

This report delves into the marketing management strategies of ZARA, a prominent multinational brand. It examines the crucial role of data in enhancing customer relationships, improving service excellence, and predicting customer needs. The report analyzes the application of the STP model (segmentation, targeting, and positioning) for ZARA's clothing line, emphasizing market segmentation based on demographics, psychographics, and behavior. Furthermore, it explores innovative product and service strategies to meet customer demands, including integrating technology like touch sensors into clothing. The report highlights how ZARA can gain a competitive advantage and achieve long-term sustainability by focusing on customer satisfaction, data analytics, and strategic positioning within the market. The report concludes by developing solutions within specific target groups to review the effectiveness in fulfilling the needs of customers.

MARKETING
MANAGEMENT

Table of Contents
ABSTRACT.....................................................................................................................................3
INTRODUCTION ..........................................................................................................................3
MAIN - BODY................................................................................................................................4
Role of data in improving relationship marketing and Role of data improves customer
expectations and service excellence.......................................................................................4
Concept of segmentation, targeting and positioning for specific product or service ............6
Create a rational for innovation in product and service for meeting the needs of customers 7
Develop solutions within specific target group to review the effectiveness in fulfilling needs
of customers............................................................................................................................8
CONCLUSION ...............................................................................................................................9
REFERENCES .............................................................................................................................11

ABSTRACT
This project is based on the marketing management that is one of the prominent term for
the organisation because it helps in planning, organising, managing and controlling the activities
for gaining higher profits. Making of this report helps in understanding the role of data that helps
in improving the customer relationship and service experience so that organisation will gain
higher profits and revenues in their long term survival. Further, STP model helps in easily
targeting the customers and positioning the brand in the market place by proper segmenting the
people according to their behaviours, actions, age, lifestyle etc. Further in this company can
includes the innovation for satisfying the needs and demands of the customers so that company
will gain profits. At last it helps in showcasing the improvements in specific target market so that
company will gain the competitive advantage and longer survival in the marketplace.
INTRODUCTION
Marketing management refers to the activities of planning, organising, controlling,
managing and implementing the marketing policies and strategies that are designed for satisfying
the needs and wants of the customers by the products of the organisations. It reflects the
discipline within the organisation that focuses on the marketing orientation and methods that is
related to the resources which are used in the marketing. This report is based on the ZARA, that
is the multinational brand which specializes in the clothing, accessories, shoes, perfumes, beauty
products, swimwear etc. It shows the largest company in the Inditex group with a revenue of €
18.021 million. This project inculcates the data that shows the improving relationship with the
customers with the organisation marketing. Further it shows the concepts the STP model that
involves segmenting, positioning and targeting for a specific product or a service of a marketing
management. After that it inculcates the innovation in their products and services for enhancing
their profits and market share with longer sustainability in the market place. At last it develops
the viable solutions within specific target group by reviewing the needs and demands of the
customers and sales. This helps in gaining competitive advantage and also helps in earning more
profits(Deepak and Jeyakumar, 2019).

MAIN - BODY
Role of data in improving relationship marketing and Role of data improves customer
expectations and service excellence
Relationship marketing refers to an effective concept that mainly focus on the loyalty of
the customers and the long term engagement of the consumers with the organisation rather than
short term goals. The main objective this relationship marketing is to make a healthy relations
within the market. For improving the relationship marketing in context of ZARA, this report
presents a role of data in relationship marketing that also helps in upgrading the expectations of
the customers and the service excellence and it can be shown below(Chernev, 2018).
 Higher customer lifetime value - It is the main role of big data in updating the
relationship marketing that is related to the customer relationship marketing which
involves the integration of internal CRM with the external sentiments of the consumers
that is obtained from the sources of the social media like Twitter, You-tube etc. These
data helps in providing major opportunities for enhancing sales. In case of ZARA, this
data is very helpful for maintaining the relations with the people of society who are the
buyers of the products and services. Due to COVID 19 use of social media marketing is
increasing and company will invest more in this so that they can sell their products and
services by providing good services to the customers so that they are highly impressed
with the organisation and it helps in gaining more and more profits. In recent years use of
digitalisation is very trendy and it contains least cost in building the strong customer
relationship. This term also shows the good service excellence by providing the best
services due to digital media(Adams, Freitas and Fontana, 2019).
 Outsourcing - It is the major role of the data in improving the relationship with the
customers by the company. In case of ZARA, data provides the opportunities better the
customer analysis so that it gives the predictive outcomes to the company. In this
concerned company can process the data in the real time so that it helps in improving the
marketing relationship and also helps in showing the good services by regularly do a
research by using follow-ups. As this data helps in making the comparison between the
past and present situation so that firm can enhance their strong connection with the
customers.
Role of data in improving customer satisfaction and service excellence

customer satisfaction is the life blood of the business and it is possible by providing the
good quality products and excellence service to the customers that helps in placing the good
impression on the minds of the customers. In case of ZARA, manager can mainly focus on the
satisfying the needs and demands of the customers so that they can gain more and more profits
with longer sustainability in the marketplace. For this data can perform the major role in
enhancing the scheme of customer satisfaction and service excellence that can be shown below.
 Prediction in the needs of customers – In this clients are not always aware about their
needs. They always expect that company can fully focus on their needs and wants and
always surprise them to better and innovation and services. At this time big data helps
ZARA, manager to gather the information about the needs and wants of the customers so
that they can enhance their profit margin and loyal customer base(Aghazadeh, 2015).
 Better understanding of the customers – In case of ZARA, main role of data allows the
organisation to effectively understand the journey of customers needs. In this firm not
only adopts the big data for foresee the customers behaviour trends but maintains a good
interaction with them.
 Quick help – The major of the data in improving the satisfaction of customers and
providing the best services to the customers is related with the quick helps. In case of
ZARA, data ensures that information is transferred in the right and appropriate amount
with the correct format and specified time to the people of society who are the customers
of the products and services that was offered by the company. In this major role is played
by the data analytics in satisfying the needs and demands of customers(Foroudi and et.
al., 2017).
 Fast access to resources – The major role of data in improving the customers
satisfaction is the quick action taken by the company. For this ZARA, can hire an
experienced employee who can train in handle the customers issues and provide a
appropriate solutions to the problems. To solving the issues of customers big data helps
in dealing with repeated issues so that company can communicate effectively with the
consumers.
As using the data in enhancing the quality of satisfaction level of customers and the
excellence service is very trendy in today's business world. This term helps in providing the
varieties of effective conclusions that helps in gaining the satisfaction level by using unrelated

information. Basically it is based on giving the value of fulfilling the needs of the customers and
satisfied them rather them to retain them. Because if consumers are satisfied they automatically
retain with the business organisation for a long period of time(Naudé and Sutton-Brady 2019).
Concept of segmentation, targeting and positioning for specific product or service
STP model
It refers to the key concept of marketing that is used to earn the profits and revenues for
the organisation that helps in serving the market in an effective and efficient way. It basically
includes three frameworks that are segmentation, targeting and positioning. In this market
segmenting markets and examine the attractive segments for targeting and before making the
positioning strategy for gaining the high market share. These terms are very effective because it
can satisfy the needs and ability of the niche segments. In case of ZARA, this model is used for a
particular product which is cloths. To enhance their sales and profits in the clothing, it is very
essential to segments the markets so that targeting the customers would be easy and due to this
firm make a valuable position in the marketplace. The segmenting, targeting and positioning can
be explained below(Hutchinson and et. al., 2015).
 Segmentation - This is an effective model that bifurcates the market called market
segmentation. It can be divided into different segments such as demographic, geographic,
psycho graphic, behavioural etc. that helps in showing the features, needs and actions of
the people towards the product that is sell by the company. In case of ZARA, manager
can segments the market for their product clothing on the basis of purchasing power, age
and the integration attitude of the work and play. In this they generally segments the
market with the women and men, 15 to 45 age groups of people. It is very essential to
segments the market because this helps in gaining more and more profits(Agalarova,
Cherednichenko and Kosinova, 2015).
 Targeting - After segmenting the market, another term is targeting in which company
can targets the customers on the basis of segments so that they can gain more market
share and growth. It shows that the market segments can identify and understand easily
by the business firm so that they can measure it properly and enhance the base of
customers. In the background of ZARA, market can be targeted on the basis on the
income level i.e. they are targeted high to medium class people who are very conscious
about their look and the people who are majorly interested in the fashion trends. As their

clothing sector is very attractive that can attracts the large base of customers(Weinstein
and Pohlman, 2015).
 Positioning - It refers to the development of products and the image of the brand in the
marketplace. This term helps in enhancing the perception of the customers about the
products that they will experienced when they buy the goods and services. In case of
ZARA, they majorly focus on the democratize fashion where they compare their
fashionable cloths to their competitors and apply the strategy related to competitors
pricing with the quality clothing. For enhancing their brand position in the market place
they can place their stores and outlets on the high elite areas.
After analysing the segmentation, targeting and positioning model it shows the effective
results for the company ZARA, by enhancing the base of customers, minimising the operating
cost, increasing the profits and sales, making a good brand image by using the competitors
pricing and quality products and also by promoting the goods and services via the use of social
media helps in making the valuable image in the market.
Create a rational for innovation in product and service for meeting the needs of customers
ZARA, is one of the best multinational brand that is deals in varieties of product range
such as clothing, home-wear, perfumers, cosmetics etc. it also place a high image in the market
because of their quality products. But now company wants to maximise their profits and
revenues so that they can sustain for a ling long and for this innovation is very necessary. Now a
days people in the world are very busy and also they are very health conscious so the
organisation can innovate the thread in touch sensor that is control by the google in phone. It is
contained under the jackets cuffs that helps in notifying the calls by flashing the light on the cuff
and by vibration for any notifications(Parsons and Lepkowska-White, 2018).
It is charged by the USB charger that is last up-to 3 weeks. This innovation in clothing is
very helpful for the customers who have there busy schedule. As it is also helpful for the strategy
that is related to beat the competitors in the marketplace and to maintains the good relations with
the customers by providing quality offerings that is beneficial for them. For enhancing the sales
for their innovation ZARA can promote their products by using social media where they can
easily targets the high elite class people with low cost in all over the world(Chang, Wang and
Arnett, 2018).

For their innovation in the cloth i.e. threads in touch sensor that is control by phone is
very attractive and different that attracts the large number of people due to this business
enterprise will gain their profit and sales margin. To increase the value of this innovation in the
customers mind company can use the digital media and artificial intelligence tool so that large
base of customers in all over the world are attracted towards it especially the person who have
busy schedule in the daily routine life(Olson and et. al., 2018). Using this product by the
customers is very convenient and there design is also look attractive according to their
functions(Zahoor and Qureshi, 2017).
Develop solutions within specific target group to review the effectiveness in fulfilling needs of
customers
To every business organisation it is necessary to make a effective marketing and also the
research so that they can easily identified the needs and demands of the customers so that they
can easily increase their level of service for gaining high brand image in the marketplace. In this
manager of ZARA can make some solutions so that there innovation and existing products can
satisfies the needs of the customers. For maximising the sales at the time of Covid-19, these
solutions are very effective that are shown below(Mullakhmetov and et. al., 2016).
 Identifying the needs of customers - It is the first solution that is develop by the
company ZARA for satisfying the customers by fulfilling their needs and demands. With
the use of this strategy organisation can altered in an effective way according to the
demands of the customers. It also helps in targeting the customers appropriately so that
they become potential consumers for the business firm. This also assist the organisation
for a long term sustainability in the marketplace(Moroz and Shramko, 2017).
 Taking follow-ups on a timely manner – It is the another best solutions for the
company to review the effectiveness of fulfilling the needs of the customers. Customers
needs can be fulfilled when the concerned company can make the proper research and
this research can be done by taking the regular follow-ups of the people by using the
official website or the use of social media. So that firm can easily understand the needs of
customers and according to that ZARA can do modifications in their range of products.
This also strong the connection of the customers with the brand due to this market
position will be maximised(Di Benedetto and Lindgreen, 2018).

 Proper training to employees – For the main objective of fulfilling the needs and wants
of the customers of the specific target group ZARA need highly experienced and
qualified person who perform their job in an proficient manner. For this company also
provide the training to their employees so that they can greet the people in an effective
way. This is very effective in fulfilling the needs of the customers and keep their
satisfaction level on the top priority. In this manager of ZARA can timely and regularly
gives training to their workers so that they make their effecrt8ive relation with the target
customers so that it is easy to satisfy the needs of them(Decker and Stummer, 2017).
 Rewarding loyal consumers- It is one of the best solution that is recommended for the
ZARA to fulfils the needs of the customers in a very effective and attractive
way(Siemieniako and Gębarowski, 2016). In context of the ZARA, marketing manager
can decided to give the suitable rewards to their targeted customers so that they become
families with the company can easily give their views on the products that reflects the
needs and wants of consumers. In this customers are feeling valued due to this they are
stay up with the firm. In ZARA, they also provide discounts to the customers so that they
can targets the large base of customers.
 Paying proper attention on following the customer relationship management - It is
the another solution for the effectiveness in satisfying the needs and demands of the
customers(Miles and et. al., 2015). As in case of ZARA, keeping strong relations with the
people of society by applying the appropriate strategy that helps in building the customer
relationship management. Due to applying this approach company can achieves their
major objective i.e. high sales and more profits by fulfilling the demand and needs of the
customers.
Marketing consultant of the ZARA is following the above mentioned solutions fulfilling
the needs of the customers in a effective and appropriate manner. This also helps in increasing
the sales and profitability of the company and also helps in strengthening the position of the
business firm in the market with the large base of loyal customers(Skorobogatykh, and et. al.,
2016).
CONCLUSION
To the above explained project report it is to be concluded that the term marketing
management is very effective because it helps in making modifications in the business products

and the activities to sustain in the market place. It also helps in achieving the goals for enhancing
the functional performance within the working place. This helps in improving the relationship
with the customers by the use of effective marketing. It also inculcates the role of improving the
customer expectations by providing the excellence services. Further the business firm required to
adopts the STP model so that it helps in providing the effective services. In this ZARA can
innovation done in the Perfumes that helps in attracting more new customers and gaining large
market share. In last it inculcates the some solutions that helps in fulfilling the needs of the
customers and gaining high profits with more loyal customers.

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