Who are Zara’s competitors?

In terms of revenues and growth Zara’s main competitor is the Swedish firm H&M in terms of customers, Zara is facing all the trendy and fashion clothing designers and has positioned itself as the smart choice of those that want to combine fashion with great price.

Probably its ability to imitate and copy very fast the great designs of the top firms and put them fast in the best located stores is the killer combination.

The clear example of this strategy is the success story of its expansion to Italy. Milan is one of the world’s capitals of fashion. Most of the foreign firms trying to open new stores in Milan have failed, not only for the protectionist attitude of the Italian industry but also because the exigent Italians customers are used to get the most radical and latest designs at a reasonable price.

Zara was the best opening ever made in Milan and today is one of the most successful firms in the city.

If you want to know more about it, check this links:

http://www.inditex.es/en/press/press_releases/extend/00000128

http://www.elpais.com/articulo/economia/Zara/conquista/Milan/elpepieco/20020513elpepieco_12/Tes

What Zara means to me?

I would like to introduce to Gustavo Martinez.

Gustavo is 33 year old, he was born in Venezuela, works in Spain and is an international business traveller. This is right the target that Zara owns and the target that loves Zara.

He shares with us what Zara really represents for him and why he is passionate about the company.

Thx Gustavo!

"Zara is the most innovative and devasting retailer in the world"

I start this blog with the description that Daniel Piette (fashion Director of Louis Vuitton) did about Zara.

Zara is a Spanish clothing retailer founded in 1975 that has become the market leader in its category with the most innovative business model launched by a clothing firm ever .

According to some of the famous business schools (i.e. North Carolina State University) and business press (i.e. Harvard Business Review, Business Week, etc) its success is based in the combination of:

• Innovation on design: Position itself as fashion imitator vs the industry belief that only a fashion creator can be cool and trendy
• Innovation in time to market: four to five weeks vs six month of industry average
• Innovation in publicity expenditure: Zero investing in advertising. All the company expenditure to increase awareness is concentrated in opening new stores with a strong obsession for finding the best location in town

But most important than the post-analysis made by the smart business analyst and the trendy business school is what relies on the heart of the brand and the attributes that his founder (Amancio Ortega) has been able to deliver to the mass market. People get passionate about Zara because they believe that Zara is:

• Innovative: you always find something new in Zara
• Leadership: they are the first in launching the new trends
• Affordable: fashion products at good price
• Convenient: they are always on great locations
• International: you will find Zara brand in almost any country

My intention with this blog is to give evidences of the great consistency in day to day activities with the passion that they try to create in their customers.

My gift to you is its latest press release announcing that Zara acquires a new store of 3.600 m2 in the heart of New York (5th Av with 52 st.).
http://www.inditex.com/es/prensa/notas_de_prensa/amplia/00000827