The Secret Recipe By Zara

While purchasing a brand we as customers always keep in our mind, the quality and longevity of a product that we purchase. Brands are increasing antlike and there are hardly few that successfully comes to our mind when it comes to clothing brands, and one of such brand is Zara. It is a name which everybody knows and nobody knows how it became a popular tag.

Who is Amancio Ortega?

Photo credit: The daily telegraph

Amancio Ortega is a billionaire and the owner of Zorba which we popularly call Zara. He hails from Spain and is considered a retail magnate. He is a man who believes in working hard to achieve dreams. Today half of the high street brands are owned by him. Inditex the flagship brand of Zara records acceptable profits and has made Zara one of the worlds largest fashion retailer. It has been noted that he would do the 10 km journey from his town centre house to Inditex headquarters and sometime he would sit down with the Zara woman design team in order to kick around ideas for the coming week. He is a man passionate about the kind of work he is doing. His vision was to keep this brand low priced product and everybody felt the move was exceptionally genius. Ortega decided to change the design, manufacturing and distribution process to reduce the time between the initiated and completion of his production process.


Photo credit: kdal610

The name Zara was initially called Zorba and it is a clothing store which was started by Amancio Ortega who is the holder of this popular brand today. It all started in the year 1963 when Ortega established a company named Inditex which later became Zorba to Zara in Spain. Inditex initially was incorporated as a holding company and was set up to lay the foundation for a distribution system capable of reacting to shifting markets.

 This store started its marketing in the year 1975 and the investment that they have put up was quite minimal. The store was successfully set up in A Coruna, Galicia, in Spain which slowly started keeping their feet straight towards the road to success and it was slowly expanding it to the rest of the country and later in Portugal. Zara believes in ‘instant fashion’ which led to lumpsum investment in information technology and utilizing groups. Today the brand could be seen almost in most of the country including Portugal, United States (New York), France (Paris), Mexico, Greece, Belgium, Sweden, Malta, Cyprus, Norway, India and Israel. Today there is a total of 2259 Zara store in 96 countries. It is one of the largest fast-fashion retail fashion brands which started as a small store in Spain.

Ortega is the sixth richest man in the world according to Forbes magazine and according to the experts it has been estimated that the bank balance of Zara overtook that of Microsoft founder Bill Gates.

Success of Zara

Photo credit: Beta-i

People live and breathe for fashion and trends are something that people want to willingly follow, in order to keep themselves up-to-date. Ortega knew about this and he started working to reduce the lead time while indulging into ‘fast-fashion’. He noticed that shops were taking time to come up with their customers demand and by the time a product arrived in the market, fashion-conscious shoppers wanted something different. He, therefore did what his customers wanted and started working with designs to fulfil their cravings. The brand keeps a close watch on how fashion is changing and creates new designs and puts them into the store within week or two. He created a model which isn’t easy for any other brands to copy.

Three strategies that Zara follows

  • Lead time

This helps in come up with new designs in short span of time in comparison with other fashion brands within a week or two so that the customers needs are quickly satisfied. Be it summer, autumn, winter or spring, the brand quickly catches up with new trends.

  • Reduce quantities

Zara intentionally creates artificial scarcity to get customers attention to their latest collection. They believe in the lesser the availability, the more desirable an object become. Also, if a design fails to get customers then it isn’t a heavy task for the brand to dispose of the rest, since there is no high volume to be disposed off.

  • Styles

Zara believes in producing more style and focuses less in increasing the volume for the same style. It only allows its designs to stay on the shop floor for three to four weeks. It is a practice which indirectly forces the customers to visit the store more frequently.

Ortega is the man who will not look at you from the top but will stand beside you to your ideas placed.

What do you think?

Written by Sanghamitra Gogoi

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