With more than 5,500 stores in 82 countries, Spanish clothing retailer, Zara, is making luxury retailers pretty nervous, not to mention that, Zara is Spain’s biggest listed company. Zara founder, Amancio Ortega, the son of a railway worker, the world’s 5th richest man opened his 1st store, Zara, in La Coruña in 1975 and developed it into a global powerhouse.
A wildly successful fashion company, Zara’s strategy – “stocking very little and updating collections often”. When luxury retailer brands that only update once a season, Zara restocks with new designs twice a week.
1) stocking very little and updating collections often.
2) trendy and decently made but inexpensive products sold in beautiful, high-end-looking stores.
3) sells high fashion for low prices and offers constant new merchandise.
This way company encourages it’s customers to come back to the store again and again. On other hand if you are a fashion enthusiast, he or she feels that they have to in order to guarantee it won’t sell out. It also may not be good for business in the long run.
Zara tries to build their stores as close as possible to the luxury boutiques like Chanel and Stella McCartney. All brands — Zara, Zara Home, Bershka, Massimo Dutti, Oysho, Stradivarius, Pull & Bear and Uterqüe – follow the Zara strategy. It makes about 840 million garments a year and has around 5,900 stores in 85 countries including has reached 350 stores in China. Zara is leading far and away from competitors H&M, Mango and Topshop.
List of fast fashion brands
- Zara – a Spanish clothing and accessories retailer based in Arteixo, Galicia
- Peacocks – a clothing retailer based in Cardiff, Wales
- H&M – a Swedish multinational retail-clothing company
- Gap - an American clothing and accessories retailer based in San Francisco, California
- Topshop – a British multinational retailer which specialises in fashion clothing, shoes, make-up and accessories
- UNIQLO - a Japanese casual wear designer, manufacturer and retailer
- Armani Exchange – was launched in 1991 in the U.S.
- Forever 21 – an American chain of clothing retailers with branches in major cities in the United States, Puerto Rico, Canada, Europe, Asia, Latin America
- Urban Outfitters - owns and operates over 400 retail locations across five retail brands: Urban Outfitters, Anthropologie, Free People, Terrain, and BHLDN.
- MUJI - a Japanese retail company which sells a wide variety of household and consumer goods
- Shasa – a Mexican retail fast fashion brand founded in 1994
- C&A - an international Dutch chain of fashion retail clothing store
- United Colors of Benetton - a global fashion brand, based in Treviso, Italy.
- Next - a British retailer marketing clothing, footwear, accessories and home products with its headquarters in Enderby, Leicestershire, England.
- Rue 21 – a specialty discount retailer of young men and women’s casual apparel and accessories
- Wet Seal – a young women’s clothing retailer headquartered in Foothill Ranch, California.
- Charlotte Russe (retailer) - a specialty retail chain store in the United States dedicated to selling trendy clothing and accessories.