Wednesday, 22 October 2014

Zara's Touch Points

Good morning my dear readers,

Today, I am going to speak about Zara and its relationship with customers (touch points in fact).

The first contact between Zara and its customers is undoubtedly its shops. Zara choices to focus on shops instead of spending money on advertising like its competitors. Only 3% of sales revenues is spent in advertising.

Attention paid to shop is primordial.
*      « Shop is the place where our business model begins and ends. With the customers as principal active » Inditex annual report
*      « Our store locations and window fronts are our biggest form of advertising » says Echevarria, Zara Communication Officer
*      Shop’s conception is in the hand of spanish designers and it’s the same in all shop around the world. The disposition is well-prepared by designer in Spain and then, they send picture and guidelines in all Zara shops.
*      Location of stores in the most luxurious places in the biggest capital : Avenues des Champs Elysées in Paris, 5th Avenue in New York, Oxford Street in London and Ginzia in Tokyo
*      The « no publicity » concept and the fact that clothes are manufactured in limited numbers (not repeated even when stock runs out) oblige customers to pay visit to shop regularly because of the important rotation of products (twice weekly delivery)  è 17 visits by customers per year (vs 3 visits to its competitors) è Ever-renewed collection definitely helps to build brand loyalty
*      Zara e-hop was launched on 2nd September 2010 in a minimalist style modelled on shops
*      Customers can follow their favorite brand on Facebook, Twitter, Instagram and Pinterest (Summer sales 2014 was tweeted by the company to inform the customers)

Another important fact to notice is that Zara doesn’t employ international marketing agencies. All the communication is generated by the headquarters through Jesus Echevarria (except for brief moment like new store openning).

Thanks to this shop concept and its perfomance on key activities (such as supply chain), Zara wants to offer ultime fashion and latest trends at low cost. It’s being seen in most capital cities of the world as an iconic fashion destination that are crucial for driving customer in.

The best way to explain all the Zara concept about its customers is to quote Jesus Echevarria : « Advertising is about building up expectations, and telling customers what they can expect and what we can deliver. At Zara, we want expectations to come from the in-store experience, and to come from the customer’s personal journey and satisfaction from shopping at Zara. That way, there is no opportunity for disappointment and there is no way for Zara to give false promises.”

I hope my article enligthen you well about my brand.

See you soon J

Yours sincerely


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