ZARA Surpasses Handsome Performance And Ranks First In Fashion Retailing Industry.

< p > ZARA surrendered the beautiful report.

Inditex's latest earnings report shows that it has created a miracle in the European economic downturn. Its sales grew 17% in the first 9 months of fiscal year 2012, and its profits increased by 27%.

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The success of < p > Inditex largely lies in the fact that it is a fully vertical a href= "//www.sjfzxm.com/news/index_cj.asp" fashion enterprise < /a >.

When ZARA was founded in 1975, Amatthew Orgat, the 40 year old founder, clearly wanted to integrate production, logistics, retail and design.

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"P" how is this beautiful report available? In design, it is enough.

Inditex will put more than 1000 designers into market research and design. In 2011, a total of 1 million 900 thousand garments were produced.

In order to reduce production costs, by the end of 2011, Inditex had 1398 suppliers in more than 40 countries.

When a new product is approved by the marketing department, the company often makes several factories submit the budget at the same time.

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< p > in logistics, it is fast.

ZARA has its own automatic logistics center.

In the logistics system designed by ourselves, the head of each store can directly place the order. The goods can reach all the stores in Europe in 24 to 36 hours, and arrive at other markets for 48 hours.

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< p > Inditex continues to invest in logistics. Last May, it acquired Delta Sport, a logistics company in southern Europe, and upgraded the logistics center in Elche.

The center is responsible for all the brand's shoe products logistics. After upgrading, it will be able to allocate 100 million pairs of shoes annually.

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< p > in the biography of Amatthew Orgat and his < a href= "//www.sjfzxm.com/news/index_h.asp > > fashion kingdom < /a >, the author Covadonga Asha summed up the advantages of ZARA's business mode into four points: flexible supply, immediate control of market demand, rapid feedback and technological innovation.

Its unique operation system can ensure that the new production can be completed within 4 weeks. If there is a need for the market, it can even be shortened to two weeks. If the product is out of line with the market demand, it can remove a production line within a few days.

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"P" is such a large and well ordered system that ZARA can ensure that every store in the world receives two new products a week and is able to support faster global expansion than competitors.

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Apart from ZARA, there are Pull&Bear, Massimo Dutti, Bershaka, Stradivarius, underwear brand Oysho, men's brand ZARA Home and Home besides P Inditex brand.

They are new brands acquired or created after the Inditex group's expansion in 1990s, and each brand has its own logistics center.

But ZARA is still the largest brand, with sales last year accounting for 64.8% of the total.

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In the 9 months from February to October this year, Inditex opened 360 new stores in the world, and the number of stores reached 5887 in 86 markets, of which ZARA accounted for 1908 of the total number of P stores.

This expansion has been going on for 5 years, and the focus of the market has shifted from Spain to other parts of Europe and new markets in Asia.

"Inditex's global layout makes it strong defense against a href=" //www.sjfzxm.com/news/index_s.asp "> European market < /a >.

Although this expansion speed is very difficult to continue in the future, it will undoubtedly continue to outperform its competitors. "

Conlumino retail analysis company Matt Piner evaluated this.

ZARA's internal system works well, which has greatly raised its competitive threshold.

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