Zara Present Final

ConnectZARA,

the brand ResearchGoal/

Objectives Tactics Schedule Budget

Marketing Metaphoria

Connecting the dots...

ConnectZARA,

Humans are wired for social

connection

ConnectZARA,

connection

Overall drive,

emotional need to connect with others

ConnectZARA,

connection

Overall drive,

To establish loyalty, brand

must show same loyalty to

consumers

ConnectZARA,

connection

Overall drive,

When brand fosters

this connection: ‣ provides consumers

with sense of community

‣ builds brand equity

consumers

ConnectZARA,

connection

Overall drive,

When brand fosters

this connection: ‣ provides consumers

with sense of community

‣ builds brand equity

consumers

Increase in stores, overall

presence in U.S & China consumers need to feel more

connected to brand

ConnectZARA,

Not at forefront of consumer interaction

Built brand identity of mystique - initial market

presence without

ZARA needs to

incorporate sense of community

through communications

Standoffish

ConnectZARA,

ZaraRe-visiting the Brand

Positioning: Fast high fashion at affordable prices

existing consumer base with potential for increased

purchase

brand benefit fulfills a major need for Chinese consumers

can expand to other cities room for further penetration

increasing size of middle class

ConnectZARA,

US/ChinaMarket Opportunities

ConnectZARA,

USCompetition

1 US Store300 global stores

Sales data unavailable

GAP Inc: 3,150 global stores

$15,763 million/yr

1,600 US Stores$63,367 million/yr

169 US stores

1,700 global stores$9,911.2 million/yr

ConnectZARA,

USSituation

ZARA introduced in US in 1988

* Higher product pricing* Positioning - High fashion

brand* Fulfill need - fast trends for

low-cost

ConnectZARA,

USTarget

metrosexual maledisposability of clothing/fashions

effect of the economy (accessories)competition for GenY-ers

characteristics of women (Aga?)

ConnectZARA,

USTarget Profile

• Need: Affordable, fashionable, good-quality apparel• Solution: self-actualization need- trendy products at lower

prices • Demographic Characteristics: – ages 15-30– both female and male– low to mid-range income– work in big cities/pursuing higher-level education• Psychographic Characteristics: – Women and men– enjoy shopping and socializing – concerned about health and looks (work out and follow diets)– into arts, enjoy dinning out

ConnectZARA,

ChinaCompetition

100 retail locationsChinaPartnerships in Europe, US and JapanTotal Net Sales: 97.5 million

China’s largest clothing producer¥50.9 million net earnings( second half of 2008)

325 stores in UK275 locations in the world£8.3 billion in UK £ 713 million internationally

4 stores in China1700 stores worldwideSales in 2006 $9,9 million

ConnectZARA,

ChinaSituation

• shifting Chinese demographic and cultural trends

– Mom & Pop stores > Wal-Mart/Carrefour

• China's retail market is expected to grow by 34% between 2008 and 2012

• growing middle class- aspirational purchasing attitudes

• Turned off by manufactured goods in home country

• Demographic: 15 - 29 years and increasing purchasing

power• Working female class• Men’s exemplification of

status

ConnectZARA,

ChinaTarget

ConnectZARA,

ChinaTarget Profile

• Need: To buy affordable quality clothing in order to acquire status

• Solution: self-actualization need- trendy products at lower prices • Demographic Characteristics:

– ages 15-30– both female and male – low to mid-range income– work in big cities/ pursuing higher-level education

• Psychographic Characteristics: – Women:

• enjoy shopping, socializing• need to look good• be perceived like they have more money than they actually do

– Men: • into sports and look for good quality in things like cars, cigarettes, alcohol and clothing• want to be perceived as successful and established

GoalConnect

ZARA, the brand Research

Goal/Objectives Tactics Schedule Budget

...focus on connecting employees, present and potential consumers more intimately to the

brand.

Strategy OverviewConnect

Marketing Objective

Increase ZARA’s market share in the United States and China by 5% and sales by 10% by 2012.

Marketing Strategy

Communication Objective

Communication Strategy

Communication Tactics

•Increase purchase frequency among current customers by 15% by 2012.•Increase the number of first time shoppers by 10% by 2012.•Open 15 new stores in China (5 per year) and 21 in the United States (7 per year) by 2012.

Increase brand awareness and favorable attitudes among customers.

Build a more personal relationship with current and potential customers.

•ZARAnet•New Stores•Turnover Promotions•ZARA + ME Fashion Show •Personal Shopper Program

InternalWebsiteConnect

New StoresBus-wrapConnect

New StoresSidewalk DecalsConnect

New StoresGaggle o’ModelsConnect

New StoresHandoutConnect

New StoresE-mail Alerts

ZARA.com [support@zara.com]

New Zara Locations Coming May ‘09

ConnectZARA,

New StoresTote BagConnect

GISELE BUNDCHEN FOR ZARA CAROLYN MURPHY FOR ZARA

New StoresModels @ OpeningConnect

TurnoverWidgetConnect

YOUR STORE:BOSTON

TurnoverOpt-In Email AlertsConnect

ZARA.com [support@zara.com]

This Week @ Zara

New this week:

TurnoverOpt-In SMS AlertsConnect

Next New Shipment:

May 1, 2009

TurnoverDigital CountdownConnect

Zara + MEDesign CompetitionConnect

Goal: Create community around brand while allowing individuals to feel connected to ZARA fashion & values

• Online Competition–Photos/videos of outfits

uploaded online –Top 20: chosen by NYC

& Shanghai*–Zara customers vote on

website–Top 10: featured at

show, produced, sold for limited time

• Fashion Shows–Event agency,

established venue, streamed online

Upload your photos

Always dreamed of having your clothes featured in a store? Share your original designs and possibly have them displayed in our store. All you have to do is click the upload button to post your design pictures and video discussing why we should select you. Zara will then choose 20 people and post an item from each contestant along with video submission. Voters can vote for their favorite piece by clicking on the dot located below and pressing “submit.” Voters are also given the chance to win free tickets to NYC / Shanghai fashion show featuring the winning designs.

The top 10 outfits will be offered along with new Zara trends in New York City/Shanghai stores and would be sold only for a limited time.

Upload your Video

Submit Vote Now

Turquoise/BlackSweetheart

neckline, layers of taffeta & tulle, sequined trim

hanky hem, and zip back.

Back View

Jennifer Elise Giselle Sheila

Submit Vote Now

Ariel Agapios Jessica Miller Lula May

Submit Vote Now

Personal Shopper ProgramConnect

• Develop one-on-one relationship with consumers

• Top employees aid in styling- commission of 1.5%

• PSP kiosks and online appointments

ConnectZARA,

ScheduleOne-Year

ConnectZARA,

ScheduleOne-Year

ConnectZARA,

ScheduleOne-Year

ConnectZARA,

BudgetOne-Year

• ZARA should continue to:✓focus on increasing potential consumers &

frequency of current consumers✓monitor the success & ROI of the outlined

communication programs✓adapt the communication tactics accordingly

• Communication plan in conjunction with ZARA’s

overall business development goals relating to further penetration of U.S. and China markets

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