ZARA

Advertising Campaign for Zara

Be wonderful. Be memorable

Background: Zara's Business Problem

• Expand in america

• European market v/s American market

• Change in women’s perception

• Wider range of competitors

The Big Idea

• Spotlight on women

• 8th wonder

• Emphasis on being unique

• Change in mindset

Marketing Strategy

• Ad-hoc

• Print

• Radio and TV

• Digital

• On ground events

Zara Supply Chain Management

Numbers to be noted

• 15 days from design to products

• 12000 designs per year

• 30000 SKUs per year

• Unsold items account for 10% of the stock

• Commits 50-60% of production in advance

Picture

Key to Success

Vertically integrated supply chain

Why Vertical

• Two Parameters : Cost and Speed

• Local Sourcing

• Faster availability to consumer

• Mass customisation

Profitability Formula

• Buy on credit, Sell on Cash

• Short lead time = More fashionable

• Lower Quantities = Scarce Supply

• More styles = More Choice