Marketing Assignment: Novel Value Proposition Of Zara
Task: You are required to write a 2000-word report on marketing assignment for a novel value proposition of Zara. You must use appropriate headings to structure the body of the report.
Zara is an international name in both the fashion industry and household clothing. It is one of those companies that make its mark and has become a personal favourite of the worldwide customer. The history and development stories and journey stories of the company has the almost same impact as that of historical documentation. The company has travelled a good stretch of 35 years in which it has faced almost all kinds of hurdles that a company at this scale can. These hurdles range from political controversies to customer-preferred embodiments("ZARA India | New Collection Online", 2020).
However, at the present stage, when the technology advancements almost control any individual’s lifestyle, it is a challenge for Zara to overcome the affected area and prohibit further damage. The company is now facing severe issues with connectivity with the customers worldwide. The major reason for this is it has not explored the online world to its scale. The company needs to grow itself and adapt according to the new age online and technical developments to retains its command in industries worldwide and to continue being the favourite company of the customers.
The following report on marketing assignment attempts to organise these issues and find out suitable solutions.
Thorough identification of the problem
The Zara is a company that deals with a layer global aesthetic that is completely dependent on the day to day basis update and gradation. The clothing industry is an industry that is changing every now and then. The fashion industry is a platform where artist worldwide is choosing from available resources and creating their own piece of contribution. Where, the household clothing, and accessories sometimes follow those artists individual creation or sometimes there is a natural flow that gives birth to new ideas and trends. In that case, it very important for the manufacturers to be actually aware of any trend and occurrence that is taking place in the targeted areas. Nowadays, the maximum number of conversation and cultural phenomena takes place in the online medium (Hammerschlag, Bick & Luiz, 2020). It is both a medium to share, travels and traverse for the ideas and trends. The company has not invested properly to study these channels. The company hasn't paid the required amount of attention that these new technological advancements demand. Hence, the company is missing out a huge part of that 'talk of the town' which is the womb for all the new trends and lifestyles that will be ruling in the near future.At this stage it absolutely necessary for the company to make itself aware of the changing face of the human communication and recognise the new roles of the technological advances that are occupying more than half of the life cycle of the cultural. Capturing the culture makes it possible for the company to grasp all the essentials to predict the future.
Cultural identities define fashion and lifestyle standards. The cultural identities are the one that gets affected and modelled by the type of communication and conversation society is engaged in. A worldwide company that is already dealing with a multitude of different cultural demands and fulfilling the requirements is already aware of the type of close reading required, especially for each region. The research on marketing assignment is, however, being limited because of the elimination of a huge part from the available resources. The society is operating hugely in the online platforms, and thus a significant proportion of progress and trend settings are taking place in the online world. The other technological developments that are being used by different companies in the same industry is also a significant threat to the development. The type of accessories, clothes, fashion and beauty products that are being discussed and hyped about in the online medium is what the expectations are from the retail companies. A huge company like 'Zara' has a huge demand from customers worldwide, and hence the needs and requirements are even different and difficult to infer. In that case, it absolutely necessary for the research team to make itself aware of the part of the world that it has hitherto kept itself away from (Dhiman, 2019).
Possible solutions: A descriptive approach
A company like Zara has a lot of options to explore these online and other technological mediums.
Developing a research team
It is high time that the company create a research team who would be engaged in thoroughly finding out the online application, system and platforms that the company has not yet approached. The primary focus while developing marketing assignment should be on collecting data and other relevant information concerning the type of fashion and clothing trends that are there and developing. It is also necessary that the team slowly devised methods to study those trends to foretell the type of requirements future generations might have. Incorporating the results in the product: The results that the research team has now developed and obtained should then be communicated with the designers and manufacturers. The incorporation of the design and the outcomes would be a very useful device for creating new strategies and products that would catch the eye of the trendsetters in the online platforms too, who have been ignored by the company till now.
Investment in advertisement: it is also very important for the Zara advertisers to capture the eye of the customers whose tastes have been studied. The newly manufactured products will reach the desired customers only when they have been communicated the way they prefer to interact. A significantly higher cost management strategy is also needed to be implied (Ngo, 2020).
Novel value proposition
Incorporating new mediums invites the company to explore new horizons. The new data and the new age understanding of the methods and trends allow the company to manufacture products that are creatively active. For example, being thoroughly aware of the whole process of trend settings and new demands allows the company to model products that not only match the demands but also propose new products and ideas. Hence, creating a demand that is specifically crafted by the company only. This arising of the demand would ensure the effectivity and correctness of the research. The connectivity of the company with that of the new platform is also ensured. New values are added to the purchase, and the company grasps the unexplored market that has been close for it till now (Saraswat, 2018).
Who are the targeted customers in the present case of marketing assignment?
As the type of social communicates changes, the type of customer base also changes. Hence, when Zara is actually making a new endeavour to explore the other type of capturing and creating products for them, it is also necessary to research on the type of economic base that the customer has. This makes the products complete, and the purchaser possibility is also heightened. The type of customers who have been hitherto buying from Zara does not necessarily represent those who are exploring the new technological sphere. The online world has a completely different type of economic and monetary value system. It is necessary for Zara to research and addresses the customer base before designing new products (Waghmare & Golhar, 2017).
Zara: a competitive advantage study
Zara is a worldwide company that already has a strong customer base. This is a huge advantage for the company for making new adventurers. Zara has numerous other branches and research team ready always that have a history of picking up new possibilities and data. Zara has a spread business web that incorporates almost all the branches of a personalised, hi-tech and domestic lifestyle (Beckers & Klerkx, 2020). Other companies that are in the position to challenge Zara are either building up all the resources and information or are busy in creating new products that aspire to challenge by quality. Hence, it is stated in this marketing assignment that Zara is in a very advantageous position to try out new possibilities. However, it is always important to make decisions and outcomes only after studying the relative value system as much as possible. This applies specifically when Zara is about to explore new market and advance itself to the opening of new horizons (Caro, Babio & Peña, 2019).
The business model that Zara is now developing in to create a very specific horizontal expectation. The business model should incorporate the aforementioned positions and points. The business model should incorporate the research team, their insights. Then those insights should be availed in making new possibilities of products that match with the trend settings and the creation (Haggège, Gauthier & Rüling, 2017). The business model is supposed to be incorporating all the research from the customer base and their economic conditions too. The making of products that reflects on the total economic and aesthetic demands only promise for better revenue. The company thus has responsibility in making new models that create an extra and outstanding balance between the products and the demands. More research makes it close to a practical assumption. After all these the new trends and expectations could be set by the company to explore new market (Murray, 2016).
Business model uncertainties
However, it is not practically possible for the company to absolutely diminish the uncertainties. There will be a certain level of uncertainties. These mainly arise from the datathat are not gathered from the practical field but have been calculated by any kind of mathematical model. In that case, it is advisable that the type and ratio of the errors are calculated and kept as a record to further work on them to diminish the amount of 'uncertainties' as much as possible for a sustainable result (Sharif, 2016).
Argumentation on the selection of tool
The PESTLE analysis is being chosen herein marketing assignment to analyse and get a perfect business model. PESTLE framework allows any company to perfectly balance the available factors that are there in the sphere. Political: Zara has been subjected to a number of political controversies, and that has been reflected on the type of product and later removal of it. However, it is absolutely necessary that a political understanding and correctness is maintained while making a new product plan (Todeschini et al., 017). Economic: the economic structure is to be maintained both inside and outside the company. The insides should be made to understand the product sustainable and should always have to be considered the customer base (Tantalo & Priem, 2016).
Sociological: the sociological aspects reflect a lot in the trend settings, so, a thorough understanding is necessary (Straker & Nusem, 2019).
Technological: the technological advances are making it limited for Zara to complete it; hence it absolutely necessary for Zara to have sound technological research (Yeger & Shenhar, 2019). Legal: legal documents and preferred embodiments are to be reflected before making any move (Penas-Franco, 2017).
We have arrived at a point when all the aspects of Zara make it clear to understand and research the outcomes. We recommend that thoroughly research team is created and crafted to make a move that makes the underlying issues that haven't been addressed by Zara till now is incorporated. The changing atmosphere calls for changing demands and competitors. The Zara group already has a strong base to reflect that, but stagnation at any point would be making it difficult for the best results to appear. We recommend that Zara goes for critical strategies and make a double check on every page to appear for better understanding.
The above discussion on marketing assignment concludes that Zara is facing an issue that could be thoroughly minimised by extensive research work. Zara already has a strong base worldwide that breaks into almost all the corners of the lifestyle types of the world. Zara is accustomed to handling a lot of variations together. These variations range from product choices to the customer base to regional aesthetics. The present challenge is nothing but a new parameter for Zara only. The new age development is capturing the results of cultural demographics in a new channel, to sure perfect balancing between the business and the present invention. It is necessary for Zara to go with age. The research team and the using the available resources should allow the company to arrive at a point where it will be able to make new products for the new age.
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