The World'S Largest Fashion Retailer Is Growing Rapidly. Zara Fashion Is Humane.
Inditex, the world's largest fashion retailer, is growing rapidly.
Zara
Richard Hyman, an independent analyst in London, says that Richard's year-end inventory is the lowest in the industry.
"This is a company that can really break the rules," Hayman said. "They are not like seasonal fashion retailers."
Below, follow the world clothing shoes and hat net Xiaobian together to find out the details.
Every company in this industry wants to replicate the design capability of Zara.
The headquarters building of Zara is located in Altai, Spain. It is a glass building with the size of a hangar.
In the corner of the building, 10 designers are surrounded by a model wearing a gray seven pants and a double breasted navy suit.
Sweater
The shirts and suits were scattered on the ground, and the tailors were sewing their clothes on one side.
"This style is classic, but it also has something new."
A female designer from China remarked.
"I am not quite sure about such bold designs."
British women designers wearing white sports shoes and elegant skirts have expressed different opinions.
The success of Zara owes much to the designers in their thirties from different countries.
Over the past 40 years, the brand has grown from a small shop in La Coruna, Spain, to the world's largest fashion retailer.
When the above designers argue that the new design is too mild or too bold, none of them is leading, but everyone has the right to speak.
Finally, they decided to use the single tone and traditional tailoring in the European market, but they launched bold designs on the Chinese market, because sales data show that this style is more popular in China.
Unlike competitors such as Gap, H&M and Primark, Zara has no chief designer and almost no obvious hierarchy.
Zara's 350 designers have great autonomy in approving products and promotion programs, ensuring that two new stores arrive every week.
Designers can learn from everyday data feedback which sells well and which is unsalable, and then design the following new models.
Every morning, Al Tai Ho headquarters staff will guess the popular design and style based on sales data and opinions from customers, store managers and directors of various countries.
Zara stores all over the world, such as Moscow and New York.
This culture of Zara can not be easily imitated like the latest fashion trend. This partly explains why Zara parent company, Ying De group, can make a breakthrough in the struggle of most global fashion retailers.
Yingdid's momentum was strong, and revenue grew by 11% in the first half of 2016.
"We have no recipe for success," said Pablo Isla, chairman and chief executive of the company, "we did not invite big stars."
We can respond to data during the fashion season, but in the end, we offer fashion to customers, and fashion is human.
Fast fashion growth rate
Andy Hughes, a retail industry analyst at USB, said that Zara faces two problems: one is growth management, and the other is Andy.
Since 2009, sales of the surplus group have almost doubled, so Isla slowed down the speed of adding new stores, focusing on a small number of flagship stores and network businesses.
Two, competitors are likely to quickly understand how to catch up with the turnover rate of Zara.
"Every company in this industry wants to replicate the design capability of Zara," Hughes said. "No one can match Yingdid yet, but the gap may be narrowed."
Isla refused to paste Zara.
Fast fashion
The label, he said, does not reflect the time and details of Zara's design.
He also said analysts overemphasized the highly respected supply chain of Ying Di, a production network composed of factories in Spain, Portugal and Morocco, which produce 60% of the goods for the group.
As close to the factory, Ying Dede can respond quickly to changes in the industry or fashion trend. Only two to three weeks time, the new model can be delivered to the store, and the order of competitors is still on the p ocean container ship.
Isla said it is equally important that Ying Di would like to "collect" design ideas from the consumer rather than design a few months in advance, and then push the goods to consumers through advertising.
Analysts say H&M spends 4% of its sales on advertising, while Ying De has almost no advertising budget other than social media promotion.
Since 2010, Ying Di has also optimized the data related to consumer demand through online sales information.
On the official website of Zara, two new designs will be released a week. All of them will be shown at the headquarters of Altai Huo.
About 2/3 of Ying Di's products are on the shelves in the short term, while most retailers can only do 20%.
Small batch production means that Zara can test new designs in different markets, so that there will be no accumulation of inventory, so that it will eventually have to rely on large discounts to empty inventories.
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