Inside the Secret World of Zara

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Zara is one of the world’s most successful retailers and the biggest company in Spain. It was created by Inditex, which also owns Massimo Dutti and Pull&Bear. But Zara is without question its most valuable brand. Part of why the retailer keeps growing is its distribution and logistics strategy, as well as a quick ability to adapt to trends. But can Zara keep up its momentum, with new competition from Chinese retailers like Shein and Temu and increasing scrutiny over the industry’s massive environmental impact?

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00:00 Introduction
00:48 Zara and fast fashion
01:44 Inditex and the retail landscape
03:04 Unconventional marketing
04:10 Logistics and distribution
05:30 Physical stores
07:25 Competition and the environment

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Hello -- I'm the author of this video here at Bloomberg Originals. Feel free to ask me anything about how we made it.

NateLanxonBloomberg
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Hear me out im not advocating for zara or any other fast fashion conglomerate but what I'm saying is whenever i see these type of videos/articles it's hard not to think the so called "luxury brands" are behind them, because while i agree that fast fashion companies produce low quality products that damage the environment but one would argue that nike, adidas and other similar brands produce at similar quantities, using cheap labour also causing harm to the environment. They have somehow managed to escape the "fast fashion" status branding themselves as sports and lifestyle but my thing is they are dropping new products every other day so contrary to what they want us to believe the world does not have a fast fashion problem we have a consumerism problem

tyresemaxey
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1:26 It‘s not about that one can’t afford luxurious brands (or even ‘mid class’ fashion) it’s more about that I don’t want to participate in paying a mark up of 500% just to wear a ‘brand’ with almost the same quality and optical design.
Zara opens the possibility to a brighter customer base! However, it is just then fast fashion if the buyer to decides to wear it only a few times!!

Cansviews
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I've quit shopping at Zara for over a year, maybe two, and I don't miss it at all. Disposable clothing should be collectively shunned. Quality and longevity is what I look for now as I purchase fewer and fewer pieces.

OlenaBeley
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How is it entirely the fault of ZARA and H&M to dump your clothes after wearing them for less than 3 months? ZARA's quality for their pants, jackets, and most items is fairly good and I have clothing from them that I've worn over a 100 times in 5+ years! If you're the sort of person who watches fashion "influencers" and their "haul" videos and feel pressured to update your wardrobe to the very latest... that's on YOU! Consumers are to be blamed.

MithunOnTheNet
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I’m not one of those shoppers who discarded their clothes every now and then. And Zara definitely has trendy designs but their quality has deteriorated since the past few years, now I stick to Uniqlo since the quality is way better.

Liana-Sailo
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Zara‘s popularity is declining, their price is low but not cheap, in recent years the quality went down fast. You even can see differences in the same products because they are produced so fast

There are better options out there. Fashion company’s who are successful in the past rarely are in the future, fashion moves on, look at Gap or Abercrombie (now they are having their comeback)

replay
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It's strange seeing Zara referred to as "fast fashion". Where I live it's considered more luxury because of the lower income wages and salaries of my country. I just find it interesting to see how economic divisions also shape perceptions of fashion divisions as well.

MacacoMoninheiro
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Zara was not always like this. I own a Zara leather jacket that I bought in the late 90s and still wear to this day; excellent quality.

Come the early 2000s, quality went out the window and the business model became selling cheap clothes that will disintegrate in your washing machine the second time you wash them. They lost me.

nsp
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Haven’t been in Zara ever since the boycot started and don’t miss it at all.

rianleidenuniversity
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I remember the Zara case from my master in Supply Chain management.
What distinguished Zara is its unique and innovative way to manage their supply chain.
They rely on outsourcing for the “production baseload” and use owned plants to produce low volume items: this approach gives them flexibility while also enjoying high economies of scale with their suppliers

Vicful
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Zara is doing better than H&M because consumers are not dumb. The quality of materials and workmanship of Zara is much better than H&M.

kierangan
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I am SO over Zara, haven't shopped at Zara in 5-years. I am over fast fashion in general. I need a clean environment more than a cheap blouse.

miola
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Zara used to be good but nowadays when I walk in it’s entirely artificial materials like nylon or polyester, and as anyone who knows anything about clothes knows, anything artificial is infinitely worse than natural fibers

smallpeople
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So many Zara products are made in Turkey, that I don't consider it a Spanish brand anymore. De facto, it became a Turkish brand.

tmbow
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I stopped buying Zara since 2013. I used to love Zara so much because of their designs, it was like high fashion appeal for a more accessible price until one day I realised that these clothes that I love and became attached to don’t last long, they break and fall apart so easily. So why am I becoming attached to these garments for a short amount of time and there was once I bought a blazer from there and it didn’t sit properly NEVER AGAIN since then….. until I found a sexy sage green flight jacket in TK MAXX and that was the only thing I got from Zara in a decade

Natthawutintharason
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I think I'll walk into Zara for the first time. I've liked the items I've seen at thrift stores. I also like items made in European countries.

CanadaFree-cejn
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I think they are not as popular as before. Still a behemoth, no doubt.

lesterksi
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Zara is for sure the nicest company in the fast fashion industry. Their shop in the home city of Spain must be the nicest store, and I want to visit. As the city alone is Beautyful...🙂❤️ I miss Zara Home. Sadly they closed their store here in Germany. Personely I say you can shop wisely, responsiful and respectful even in a fast fashion store like Zara.🙏❤️ That's how and what I do! Because the way we consume depends on our own mindset ALONE. Have a Beautyful Day Everyone.

anettesinn
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How to game the Zara system to achieve the best quality clothing that lasts years.

Natural fabrics only ✅
Made in Turkey ✅
Basics over trends ✅

PS I'm a regular dude, so couldn't care less about trends.

HabitualLine-Stepper