Zara Basic
Soon, world historians and political scientists will discover that world domination does not originate in ideology. It originates in fashion. Inditex, the Spanish-owned parent of Zara and Mango, will serve as their case study.
In December, 2008, Zara had more than 1500 stores spread across five continents. Despite the dismal world economy, Zara continued aggressive expansion, and it continued gobbling-up market share wherever it opened a store. The phenomenon seems especially amazing in light of Zara’s aggressive, non-negotiable, never-broken no advertising policy. From its relatively humble Spanish beginnings, Zara’s managers agreed they would defer revenue from advertising to capital expansion, constantly improving their design and production capacities, and especially focusing on opening new stores in promising new markets.
Two remarkably simple operations tricks have driven Zara’s amazing expansion: First, recruiting their own team of talented designers and insisting they keep their eyes trained on fashion trends; Zara Basic has remained constantly at fashion’s cutting edge. If the designers see a good look on the runway or the parkway today, customers will find their take on it in Zara Basic stores by a week from Friday. And, second, the stores “turn” their inventories every two weeks. Especially the rapid turns create a sense of urgency among Zara devotees, because items have only two-week shelf-lives; the best of Zara goes from must-have to collector’s item in just fourteen days. In many European and North American fashion capitals, Zara delivery days are known as “Z-days,” and fashionistas flock to the stores, eager to be the first to wear this week’s cutest find.
Supporting these two ingenious merchandising strategies, Zara’s production and distribution facilities drive the fast pace. If a designer develops a detailed drawing this morning, the representation can become a pattern by afternoon, and the piece can be in production by tomorrow at noon. The design will find its way to a diva’s drawer before Ralph Lauren has taken even his first pencil stroke. Just the name of the game in post-modern fashion!
For all their Mach-3, hair-on-fire speed of design, production, and delivery, Zara Basic folks do not scrimp on quality. Zara uses fine fabrics produced in earth-friendly ways, and the company pays attention to details of cut, construction, and accessories. Although the commitment did not originate in any sense of social responsibility, nevertheless Zara Basic resisted temptations to outsource their work to sweatshops in emerging nations. Instead, Inditex maintains all of its own production facilities, keeping complete control over designs, materials, and methods.
Filed Under Zara Basic | Comments Off
Tagged With Zara Basic