Zara SWOT Analysis, USP & Competitors

Posted in Lifestyle and Retail, Total Reads: 33709
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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

Perfect combination of high end, chic clothing at affordable prices

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

Fashionable look alike merchandise which is still extremely innovative, an irony of sorts

SWOT Analysis

Strengths

1. They have about 74 stores all over the world
2. Part of one of the most biggest Spanish retailers in the world
3. 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. Unlike other retailers they handle all their processes as well as follow Just in Time system (Value Chain Management)

6.Clothes are produced at a low cost with the most innovative and fashionable designs

7. Extremely trendy, well designed and fast delivery of new products

Weaknesses

1.They use an unusual strategy of no advertisements
2.Target segment is  not extremely consumer loyal and might go for cheaper and newer collections

Opportunities

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

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

Competition

Competitors

1.Uniqlo
2.Mango
3.H&M



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