Zara SWOT Analysis, USP & Competitors

Posted in Lifestyle and Retail, Total Reads: 37976
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SWOT Analysis of Zara with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis

Zara

Parent Company

Inditex Group

Category

Apparel and Accessories

Sector

Lifestyle and Retail

Tagline/ Slogan

Zara

USP

Zara offers perfect combination of high end, chic clothing at premium prices

Zara STP

Segment

Clothes for people with a combination attitude of work and play

Target Group

People with Medium to high purchasing power who love to look glamorous at all times

Positioning

Zara offers classy high quality clothes based on consumer trends

Zara SWOT Analysis

Strengths

1. Zara have more than 2000 stores all over the world
2. Part of one of the most biggest Spanish retailers in the world
3. Zara have a well established brand name worldwide
4. Their supply chain management is extremely low cost as well as most of their processes like operations, manufacturing are all vertically integrated

5. Strong online presence through their own website and other ecommerce platforms makes Zara a popular brand name

6. Clothes are produced at a competitive price with the most innovative and fashionable designs

7. Zara offers extremely trendy, well designed and fast delivery of new products

8. Apart from clothes, Zara also offers handbags, shows etc

Weaknesses

1. Limited marketing and advertising as compared to some other brands

2, High competition for Zara means limited market share and high brand switching

Opportunities

1.There are more global markets which Zara can explore
2.They can also enter into segments and expand those areas where they haven’t
3.Online marketing and ecommerce is gaining importance which can be tapped by Zara

Threats

1. The high end fashion merchandisers can be a major threat to them
2. Economic downturn can also be a threat to their target segment
3. There is a large amount of consumer switching taking place

4. Fake imitations can decline the sale of Zara products and hurt business

Competition

Competitors

1.Chanel

2.Christian Dior

3.Burberry

4.Ralph Lauren

5.Prada

6.Gucci

7.Louis Vuitton

8.Hugo Boss

9.Hermes International

10.Versace

11.Valentino S.P.A


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