Zara continues to replicate the same fast fashion model that has worked for it globally, that is: Creating affordable, copied versions of the latest in trend or designer-wear and making them available to shoppers at a faster pace. Inditex not only owns Zara, but it also takes care of every bit of operations, from design to distribution and a large chunk of manufacturing. If a new style is not a hit within a week, it goes off the shelves instantly. In addition, its prices are at least 20% lower than its main competitors Mango and Vero Moda in some categories.According to experts, even before the brand entered the country in 2010, its online sales from India were highest in the world. Though compared to the western counterparts, Indian consumers may be shopping at the brand stores once in five to six weeks, given the current economic situation and low consumer buying, it is significant. Of late, the Indian apparel retail has been under pressure due to low consumer response.
Unlike others, the company follows a revenue sharing models instead of a fixed rental one and even mall developers are willingly accommodating the brand given its popularity in the country. It has emerged as a crowd puller when most malls are witnessing either window shoppers or almost zero footfall.Zara has 13 stores in Mumbai, Delhi and Bangalore. Globally, it has 1,808 stores in 86 countries. As per experts, even in terms of per square foot sales, Zara has been registering the highest in the industry.
