ZARAField Study

IntroductionFashion apparel retail store from SpainEstablished globally; 4 stores in the Lebanon.

VerdunDowntowonDbaiyeh-ZalkaSaida

Fashion at affordable prices positioningUnique business model

SWOT: External Analysis

OpportunitiesStandardized fashion

industry

Internet retailing

Increased buying

power of Zara’s target

market

Importance of

differentiation in

retailing

Metrosexuality trend

ThreatsEstablished competitors

Economic downtrend –

customers may turn to

discount stores like

Mango, and OXYGEN.

Price sensitivity of Zara’s

target market, looking for

more at less

Continuous changing

trends in the fashion

industry

SWOT: Internal Analysis

StrengthsUnique business model:

vertical integration and

working through the whole

value chain

In-house production:

flexibility in terms of variety,

amount, sizes of products &

very quick to response to

needs of consumers

Central distribution:

minimizing lead times

Best designs: very quick

fashion follower

Weaknesses

Not realized economies of scale Higher R&D costs to respond quickly and efficientlyTendency to prefer another brands: different tastes & expectations No advertising besides in store

Research Objectives Looking into the potential consumers’ buying behavior with regard to fashion apparel Consumers’ purchase intention Apparel purchase behavior Key attributes that consumers look for when buying apparel Evaluation of the Zara product concept and potentialDesired brand image for Zara

Examine possibility of introducing Zara to the ------ market Examine brand awareness and brand knowledge of Zara Examine tendency toward shopping Zara’s clothesIdentify the best location for a Zara store in LebanonExamine the potential for a male, Female product line

MethodologyData Collection Method

Purpose of study: to gather information about Zara Brand Image and consumers’ purchasing habits and behaviors, attitudes, awareness level, purchase intentions, brand’s positioning, competitors, etc.

Sampling Method(cont’d)

Sample size: 50 people 68% Female- 32%Male32% Age Between 18-2436% Age Between 25-3044% income below $500

Sampling Method(cont’d)32% Under Graduate

44% Students

Findings

Awareness and Usage Behavior 90% have purchased once

from Zara stores 34% Spent for every

purchase in the average $300-$500.

32% shopped in ZARA in the recent three months

Factors Influencing Buying Decision

1. Family and Friends (68%)2. In-stores Displays(16%)

1.Price of product choices (32%)

2.Discounts offered (16%)3.Variety of product

choices (10%)

Brand Image1. 32% Buy Zara Products Because its

Sexy2. 24% Buy Zara Products Because its

Young

Brand Awareness1. 44% Zara Would be their first choice of buying

fashion2. 56% Would Definitely recommend Zara to others3. 40% Consider that Zara Offer good Quality

Products4. 48% Consider Zara as one of their favorite Brands5. 48% Would Prefer to Buy Zara if compared to the

same feature of another brands

Conclusion Target market: females aged 14-30

young, Sexy, Chic, economically conservative, and fun

Trendy, attractive, young brand image Unique business model – success

Product Zara will offer fresh, stylish, trendy,

vibrant products to the female and Male consumer

Affordable and fashoinable

Thank you!