Recommendation...61 Trang 8 LIST OF TABLE Table 1: Distribution of respondents according to gender...33Table 2: Distribution of respondents according to age...34Table 3: Occupation and
Introduction
Background of the study
In recent years, Singapore's fashion industry has experienced significant growth, allowing fashion-conscious shoppers to showcase their style during special occasions The festive seasons elevate the fashion scene, particularly in the vibrant malls and shopping centers Both international brands and local designers have carved out a unique space in the hearts of fashion enthusiasts A strong brand in this competitive landscape is defined by effective positioning, brand value, a positive image, and a well-crafted strategy To thrive, brands must be well-managed and understand how to extend their influence and partnerships with other brands in the fashion industry.
Understanding customers' shopping behavior—such as their preferred brands, purchasing patterns, shopping locations, and expenditure—enables retailers to make informed decisions about product offerings, targeted advertising, and customer satisfaction strategies By aligning with their customers' lifestyles, stores can foster increased purchases, enhance satisfaction, build loyalty, and encourage positive word-of-mouth promotion.
Consumers eagerly anticipate end-of-season clearance sales, as companies face the challenge of clearing space for new products However, Zara, a prominent Spanish fashion retailer, has successfully navigated and even circumvented strategic customer purchasing behaviors.
Their strategy focuses on two main elements: manufacturing in small batches with fast lead times for prompt store supply, and maintaining reasonable initial prices for seasonal items This approach minimizes the need for frequent discounts, as they avoid overstocking inventory When discounts are offered, they are moderate due to the already fair regular pricing.
In 2011, the University of Wales highlighted that Zara's consumers often feel compelled to make immediate purchases due to limited stock availability and the uncertainty of future discounts This urgency encourages customers to buy items they desire right away, as they risk losing out on their preferred products if they wait.
Zara sets itself apart from other fashion brands through its trendy designs and rapid collection launches These distinctive features enable Zara to implement an effective brand strategy that emphasizes design and brand recognition over traditional advertising The innovative designs play a crucial role in Zara's success, enhancing its brand presence in the competitive fashion industry.
This dissertation aims to analyze consumer behavior by examining their perceptions and shopping habits in relation to the marketing mix strategy, specifically the 7Ps: Product, Price, Place, Promotion, People, Process, and Physical evidence.
Objective of the study
With the understanding of the developing in strategic marketing of Zara, the research study has some essential objectives as the following:
Analysis consumer’s perception and behaviour of Zara products
Identifying the important characteristics of fast fashion consumer behavior
Recommend suitable marketing mix strategies to improve customers’ satisfaction.
Limitations
The dissertation examines the clothing industry, specifically the operations of Zara Throughout our research, we encountered a significant challenge due to Zara's reluctance to cooperate, which hindered our ability to gather primary data effectively.
Organization of the study
The research study appraisals the structure with a variety of information of Zara strategic marketing management 5 chapters is separated in this research study to deep analysis part toward.
Chapter 1 Cover the background of the study on the fashion industry, what is brand name and
Zara In this first chapter, the objectives and the limitation of the study will be stated.
Chapter 2 is literature review on consumer behavior by analyzing customer behavior and marketing decision making, marketing mix which is 7Ps And in this chapter, we brief summarize about branding which helps their marketing strategy attract customers.
Chapter 3 is chapter that we are discussing the way we choose sample size which used both secondary data and primary data collection An overview of survey will be provided as well, by the way design the questionnaire and formulate the question.
Chapter 4 analyzes the results that we had received and the findings are analyzed on the survey conducted for Zara’s marketing on the survey conducted.
Chapter 5 Last chapter presents recommendation based on marketing mix (7Ps) and conclude our study by summarized the objective of Zara.
Literature Review
Consumer Behavior
The term "consumer" encompasses two categories: final consumers and organizational consumers Final consumers, which include individuals, families, or households, purchase goods and services for personal use In contrast, organizational consumers, such as businesses, government agencies, and non-profit organizations, acquire goods and services to fulfill their operational needs and achieve specific objectives.
Consumer behavior encompasses the actions and decisions of individuals as they seek, purchase, use, evaluate, and dispose of products and services to satisfy their personal needs This behavior includes both psychological factors and the physical actions that arise from these decisions Understanding consumer behavior requires analyzing the underlying reasons and motivations behind their actions, as these are crucial to comprehending how consumers allocate their resources—such as money, time, and effort—when making purchasing decisions.
To make a purchase decision, customers must first identify their needs and desires, explore options to fulfill them, and then decide whether to buy This process involves gathering information, planning, and executing those plans, which may include engaging in comparison shopping or directly purchasing a product.
2.1.2 Advantage of understand consumer behavior
Understanding consumer behavior is crucial for determining the success or failure of any business By analyzing how end-users interact with products or services, businesses can identify weaknesses and leverage positive aspects to enhance their offerings.
Understanding individual consumer behaviors and purchasing patterns is crucial for grasping how and why customers make buying decisions Analyzing economic conditions and market trends provides valuable insights into consumer behavior Additionally, psychological factors play a significant role in influencing purchasing choices, highlighting the complex interplay between economic and mental influences on consumers.
Understanding consumer behavior is crucial for firms to effectively address their needs, ultimately enhancing the perceived value of products and boosting sales Developing a successful marketing strategy rooted in consumer insights can significantly improve engagement and drive revenue.
Failing to understand customer wants and needs does not equate to a company's failure Each setback provides valuable insights into customer expectations, which is crucial for developing effective marketing strategies.
To create effective marketing strategies, companies must possess a deep understanding of consumer behavior and conduct thorough evaluations of their needs and preferences.
To succeed in any economic climate, businesses must understand consumer behavior and consistently deliver quality products or services During prosperous times, maintaining high quality is essential, while in challenging times, offering safe guarantees and flexible return policies can build consumer trust By gaining deeper insights into consumer preferences than competitors, businesses can significantly increase their chances of winning customer loyalty.
When consumers buy products or services, they undergo a decision-making process that varies in complexity and duration This process can range from simple, routine choices to more intricate decisions requiring significant time, effort, and financial resources It encompasses two main elements: the distinct phases of the decision-making process and the various factors that influence these decisions.
Figure 1: Consumer Decision Making Process
Phase 1: Recognizing a Need or desire
When consumers encounter a problem, they are likely to recognize a need, which occurs when they perceive a gap between their ideal situation and their current reality This need recognition can be initiated by either internal or external stimuli.
Internal stimuli refer to the internal factors that motivate consumers to make purchases or take action Examples of these stimuli include feelings of fatigue that prompt a desire for rest, hunger that drives the need for food, or the onset of allergy symptoms that lead to seeking relief through medication Understanding these internal triggers is crucial for marketers aiming to influence consumer behavior effectively.
External stimuli are external influences that drive our decisions to act or make purchases For instance, the sight of your favorite restaurant can trigger hunger pangs, while an advertisement for new shoes might prompt you to buy them, especially if you recall that your current pair is worn out and needs replacing.
Consumers initiate their research process by reflecting on their personal needs and desires, followed by gathering information from external sources such as recommendations from friends and family, insights from salespeople, and product advertisements.
During this phase, consumers are receptive to information about their identified needs They often turn to online resources, magazines, and advertisements to enhance their understanding and awareness, aiding in their decision-making process However, their exploration remains moderate, as they are not yet intensely searching for solutions.
Branding
Many companies have neglected the essential purpose of caring for their brands Instead, they have focused primarily on operational aspects, such as brand development, graphic design, and promotional services.
Brand construction involves strategies that enhance brand recognition and promote the brand's name to the public, highlighting superior service backed by certifications from reputable organizations.
A brand encompasses both internal and external elements Internal elements refer to modifications in product quality and service that directly impact the product itself In contrast, external elements are characteristics of the overall brand that are easily recognizable by customers and do not pertain to the internal aspects.
Brand name, packaging, price, and geographical origin are key external attributes that influence consumer perception A brand is more than just a product; it represents the unique identity of its owner and evolves over time to embody specific values and attributes These elements, both tangible and intangible, effectively differentiate products that may otherwise appear similar.
Zara has emerged as a powerful brand in the fashion industry, ranking 64th among Global Brands in 2007, surpassing luxury names like Burberry, Prada, and Polo Ralph Lauren As a leading high street brand, Zara's effective management has solidified its position as the most valuable brand within the Inditex group, highlighting its significant impact on Spanish fashion distribution.
Marketing Strategy - Marketing Mix
The strategy development phase focuses on creating an effective plan to deliver desirable features to consumers in target markets This involves making a series of decisions regarding the marketing mix variables, including product, price, place, promotion, people, process, and physical evidence.
Marketing decisions generally fall into the following seven controllable categories:
The seven Ps are essential factors that marketing managers can control, influencing both the internal and external aspects of the marketing environment Their primary purpose is to aid in decision-making processes.
University of Wales 2011 that centre the seven P's on the customers in the target market in arrange to build supposed value and generate a positive response
The product or service is the foundational element of the marketing mix, essential for meeting customer demand By supplying these offerings, a company can generate sales, revenue, and profit This dynamic establishes a crucial relationship between the supplier and the consumer, effectively representing the market.
To meet customer demand, it is essential that products satisfy consumer expectations Both the visible and invisible qualities of a product play a crucial role in this satisfaction High-quality products not only enhance brand power but also offer multifunctionality and prestige, contributing to a positive consumer experience.
A well-defined product strategy serves as the foundation for the other elements of the marketing mix, including price, placement, and promotion Understanding the specifics of your product is essential before making decisions about pricing, distribution, and marketing efforts.
A successful product strategy centers on the goods or services a company provides to its customers, encompassing key elements such as features, benefits, customer service, and warranty information It also identifies the target market for each product, highlighting the specific audience that each offering appeals to.
To successfully connect suppliers with consumers, it’s essential to consider the perceived value of products alongside their cost A barrier to the exchange of value exists if consumers find the price unreasonable, as they are generally inclined to seek lower prices Conversely, producers and traders aim to maximize their profits by setting higher prices This fundamental difference in price perception creates a critical dynamic that influences purchasing decisions.
Discount policies are a popular strategy among manufacturers and retailers, often implemented to remain competitive in the market or to incentivize consumer spending These discounts can significantly increase a company's revenue while providing various benefits to both the business and its customers.
Some customers often seek out expensive products as a means to validate their social status This trend highlights the idea that individuality comes at a cost, with many consumers willing to invest in higher-priced items to distinguish themselves from the crowd.
A well-defined pricing strategy is crucial for establishing product or service prices, significantly impacting overall marketing success Effective pricing considers the target market and competitor pricing, ultimately influencing the potential for business success or failure.
An effective price strategy takes into account the cost of production, the demand, the target market, and the necessary revenue needed to keep businesses running.
Place (or distribution) refers to how to get the products or service form company to customers’ hand which determines the distribution channels will use
Product distribution is a crucial element of the marketing mix, as it ensures that businesses not only offer their products or services but also make them accessible to consumers Effective distribution allows customers to easily find and purchase products at various sales outlets, highlighting the importance of strategic product placement in driving sales.
When developing a placement market strategy, a firm must identify the most effective transaction methods and the channels to facilitate them It's crucial to consider placement alongside product, price, and promotion, as effective placement defines how the product reaches consumers Without a clear placement strategy, the overall marketing approach remains incomplete.
The promotion element of the marketing mix involves two-way communication aimed at informing, persuading, and reminding consumers A well-defined promotion strategy outlines the various tools, including advertising and public relations, that will be utilized to achieve marketing objectives effectively.
The promotion strategy is a crucial component of the marketing mix, outlining how a company will advertise its products and the methods employed to target various market segments This strategy plays a vital role in effectively reaching potential customers and enhancing brand visibility.
“communication plan” because it really does define how you will communicate the product to target market.
A promotion strategy outlines the approach to connect product or service sales with the channels and methods through which consumers seek and receive information An effective promotion strategy includes a detailed description of the promotional techniques that will be employed within the marketing plan.
Overviews on fashion industry and Zara
Singapore Fashion Week and Singapore Fashion Festival are significant milestones in the fashion industry, positioning Singapore as a key fashion hub in the Asia Pacific region These events provide an essential platform for both local and international designers to showcase their innovative creations.
Zara, the flagship brand of the Spanish retail group Inditex, is a leading international fashion retailer offering a diverse range of high-quality footwear and accessories for women, men, and children By prioritizing a shorter response time than its competitors, Zara ensures that its stores are consistently stocked with the latest styles to meet customer demands This approach creates a unique shopping experience that combines affordability, individuality, and differentiation, setting Zara apart in the competitive fashion market.
Zara expertly captures fashion trends by swiftly integrating popular styles from fashion shows into their new collections, ensuring they remain relevant and appealing Despite offering high-fashion designs, Zara maintains reasonable pricing, which significantly impacts their clothing supply chain from design to retail Their competitive advantage lies in their diverse product offerings, rapid style changes, and quick market response Introducing a new Gift Card is an effective strategy to enhance brand awareness To maximize cost-effectiveness and customer satisfaction, Zara employs minimal in-store media advertising and promotional activities, positioning their stores as marketing research centers that create a sense of scarcity, encouraging impulse buying.
Methodology
Objective of the research
Research objectives are essential for obtaining precise and specific information, as highlighted by Malhotra & Oppenheim (2008) This identified information is crucial for the presentation creator in making informed decisions.
Researchers must clearly define their research objectives to outline the specific information to be collected, establishing a framework for the study's scope.
This research aims to identify the key factors influencing consumer purchasing decisions in Singapore, specifically in relation to Zara It evaluates how these factors impact consumer behavior, providing valuable insights into the motivations behind product choices in the market.
This research utilizes the 7Ps of the marketing mix to gain insights into consumer perceptions and feelings about Zara By examining product, price, place, promotion, people, process, and physical evidence, the study aims to evaluate how customers assess the brand.
Research design
To effectively gather and analyze the necessary information for a master plan, it's essential to design a comprehensive research strategy This involves outlining various investigation methods, detailing the research instruments used, and establishing a clear sampling plan Additionally, it is crucial to identify the types of data being collected, whether qualitative, quantitative, or a combination of both, to ensure a thorough understanding of the research objectives.
A well-structured research design is essential for the entire research process, encompassing three primary types: exploratory design, descriptive studies, and causal studies This study specifically utilized descriptive research design to achieve its objectives.
Figure 3: Types of Research Design
Descriptive research aims to detail the characteristics of a specific population or event, focusing on answering key questions such as who, what, when, and how This type of research is essential for effectively segmenting and targeting markets.
This descriptive research study provides an in-depth analysis of Zara's customer profile, preferences, and buying habits By evaluating relevant internal and external variables, this approach emerges as the most effective method for obtaining reliable insights into consumer behavior at Zara.
Data Collection
Simply, data are reality or record measures of certain phenomena (things or events) There are two types of data as: main data and client data
This study is purposed to collect information about buying habits and behaviors, attitudes, awareness level, purchase intension, etc of consumers.
Secondary data, collected and recorded by others, serves the current needs of researchers and various other purposes This type of data is often historical and pre-compiled, eliminating the need for direct access to subjects or participants The primary advantage for researchers lies in the significant savings in time and costs, allowing them to obtain valuable insights with minimal effort and expense.
Within a company, secondary data is readily accessible through various sources such as internal libraries, online resources, or through purchase from specialized firms that focus on data provision.
Secondary data is primarily sourced from internal and external origins, including insights from the fashion industry in Singapore and the history of Zara This study relies heavily on information gathered from these secondary sources to support its findings.
The Bugis brands and Jurong East branches where are nation library in Singapore
- Consumer behavior books, marketing books, and marketing research books.
- Main website of Zara (www.zara.com) and any useful information of Zara.
Specifically, primary data are data collected and assembled for the project at hand The information will be collected for the first time through the usage of structured questionnaire
Sample Design
When the decision to sample has been made, the first question connected to the sampling involves recognizing the target population, which is, the complete group of specific
University of Wales 2011 population elements relevant to the research project [ CITATION Wil \l 1033 ] The current consumers in Singapore are the target population for this research. ii Sampling technique
To take sample, there are some several alternative ways which are two major alternatives sampling plans may cluster into probability and non-probability techniques
In probability sampling, each element in the population has a known, non-zero chance of being selected, with simple random sampling being the most recognized method, ensuring that every member has an equal opportunity for inclusion Conversely, non-probability sampling lacks a defined probability for selection, making the choice of sampling units largely subjective and reliant on the researcher's judgment.
Convenience sampling, also known as haphazard or accidental sampling, involves selecting participants who are readily available This non-probability sampling method allows researchers to quickly gather data by using a simple random technique to efficiently complete a large number of questionnaires.
Simple Random Sampling ensures that every element in the population has an equal opportunity to be included in the sample, making the sampling process straightforward with just a single stage of selection In this research, a researcher in Singapore will reach out to friends knowledgeable about shopping and Zara, who may then provide a list of their acquaintances along with their instant messaging addresses based on their relationships.
Convenience sampling, also known as haphazard or accidental sampling, involves selecting participants who are readily available to the researcher This method allows for rapid data collection, enabling researchers to gather a significant amount of information in a short timeframe For instance, researchers can conduct interviews at Zara stores, where they can easily access customers In this study, a total of 132 surveys were distributed to gather relevant data.
University of Wales 2011 iii Sample size
After determining the sample size, researchers must decide on the key fundamentals to include in the sample For this survey, convenience sampling is an effective method for selecting an appropriate sample size The survey comprises a sample of 132 individuals residing in Singapore.
Data Collection Method
To have good acknowledge about the way to approach customer, quantity, and quality which are being used i Qualitative Method
Qualitative methods play a crucial role in impact evaluation by offering insights into the processes that lead to practical outcomes and changes in individuals' perceptions of their well-being These methods enhance the quality of survey-based quantitative evaluations by generating evaluation theories, aiding in the design of survey questionnaires, and expanding or clarifying quantitative findings For instance, a qualitative interview was conducted to gather feedback from customers dissatisfied with Zara’s products, encouraging them to share comments, ideas, or recommendations for improvement, which can help the company enhance its performance and better serve its customers in the future.
The quantitative method is a research technique focused on collecting measurable data, primarily involving numbers This approach utilizes data, tables, and graphs to effectively present results In the context of evaluating Zara's products and services, quantitative research aims to understand consumer thoughts, feelings, and evaluations Typically, a structured questionnaire featuring predominantly closed-ended questions is employed to gather this information.
Questionnaire
To collecting data from potentially huge number of participants, questionnaires are the low
In 2011, the University of Wales conducted a study utilizing a well-designed questionnaire to gather numerical data on a checking system This questionnaire aimed to collect detailed information about system components and assess user performance and satisfaction across different demographic groups.
The qualitative research involves a mail survey comprising 33 questions divided into three sections The first section features five questions aimed at understanding shoppers' habits and perceptions, focusing on aspects such as shopping location, brand awareness, frequency, and expenditure Notably, the fifth question assesses awareness of the Zara brand.
Section 2 of the survey comprises 22 questions, focusing on consumer habits regarding Zara products from questions 6 and 7 Questions 8 to 24 delve into customer perceptions of Zara's stores, evaluating aspects of the marketing mix such as product design, pricing, promotions, store layout, sales staff, and checkout experience Questions 25 and 26 assess overall consumer satisfaction and invite feedback on any dissatisfaction to help the company address issues and improve The final question gauges the likelihood of respondents recommending Zara to friends.
Last sections which include 6 questions obtain personal information of respondents that help us understand clearly which are: gender, age, occupation, marital status, race and income.
Finding and Analysis
Demographics of Respondents
A total of 132 questionnaires were distributed, with 130 returned and 124 fully completed The survey gathered demographic information, including respondents' gender, age, occupation, marital status, race, and personal income.
The research involved 124 participants, with females comprising 66% of the respondents and males making up 34% (Refer to Table 1 for details.)
Distribution of respondents according to gender
Figure 4: Distribution of respondents according to gender
Among the 124 respondents, 11% are under 20 years old, while the largest group, comprising 46%, falls within the 21-29 age range Additionally, 31% of participants are aged 30-39, and 10% are between 40-49 years old.
In our survey, only 2 percent of participants were aged 50 and older, highlighting that a significant 77 percent of the respondents, comprising adults aged 20 to 39 years, represent our primary target demographic This data is illustrated in Table 2, which details the age distribution of the survey group.
Age Female Male Frequency Percentage (%)
Table 2: Distribution of respondents according to age
Figure 5: Distribution of respondents according to age
4.1.3 Occupation and Marital status Distribution
Table 3 showed the statistics of people in different occupation in Zara Out of the 124 respondents 11 percent of them belong to professional group, 13 percent in
In a recent survey regarding managerial and executive positions, 39% of respondents identified as current executives or office holders, while 9% reported being self-employed Notably, 72% of participants are actively engaged in the workforce, with 26% being students and only 2% classified as unemployed (Refer to Table 3 for detailed statistics.)
Table 3: Occupation and Marital status
Total 42 percent of respondents are Singaporean; it’s the biggest group with 52 respondents
Chinese Indian form 2 percent of the sample and other races contribute to the rest of 10 percent (Please refer to table 4)
Table 4: Distribution of respondents according to race
Figure 6: Distribution of respondents according to race
SingaporeanVietnameseChineseIndianOthers
According to the data collected, 26 percent of respondents are students, contributing to a significant portion of individuals with an income below $1000 per month, which accounts for 19 percent Additionally, another 26 percent of respondents fall within the income bracket of $1000 to $1999 Given Singapore's status as a developed country, the income levels are expected to be higher to meet the cost of living Notably, 72 percent of respondents are actively employed, with an average income ranging from $2000 to $2999, representing nearly 36 percent of the total respondents.
According to the data, 13% of the respondents earn between $3000 and $3999 per month, while only 6% report an income exceeding $4000 This highlights a significant concentration of respondents within the lower income brackets.
Table 5: Distribution of respondents according to personal monthly income
Figure 7: Distribution of respondents according to personal monthly income
Findings on respondent’s perception
Very important Important Unimportant Very unimportant
Table 6: Distribution of respondents according to shoppers’ habits and expectation
According to Table 6, the most significant factor influencing customer product choice is design, with 70% of respondents highlighting its importance Additionally, product quality plays a crucial role in customers' purchasing decisions.
60 percent of respondents thought that.
The important factor that influence customers shopping lifestyle are: brand name, product variety and promotion More than a half respondent thought that with brand name 56%, product variety 62% and promotion 57%
Convenient Location seems to be not important for customers shopping lifestyle for 49 percent.
Figure 8: Distribution of respondents according to shoppers’ habits and expectation
Very importantImportantUnimportantVery unimportant
Table 7: Distribution of respondents according to shopping location
Looking at the statistics, we recognize that 32% of shoppers like to shop at stores in shopping mall where they feel most convenient The next is department stores with 26%, while
Internet, Flagship and Others are following with 18%, 14% and 10% (Please refer to table 7)
Figure 9: Distribution of respondents according to shopping location
A recent survey reveals that 2% of respondents do not shop monthly, while 34% shop 1-2 times a month Additionally, 48% shop 3-4 times a month, and 16% shop more than four times In total, 82% of participants shop between 1 to 4 times each month Notably, the shopping frequency among females surpasses that of males.
Table 8: Distribution of respondents according to shopping frequency
None 1-2 times 3-4 times Above 4 times
Figure 10: Distribution of respondents according to shopping frequency
Due to high income levels, it's not surprising that over half of the respondents, specifically 51%, allocate between $100 and $199 for monthly shopping expenses Additionally, 23% of respondents spend $200 or more each month on shopping.
Only 9% of the respondents spend below $50 per month, and the rest with 17% is under group $50-$99.
Table 9: Distribution of respondents according to monthly shopping expenditure
Figure 11: Distribution of respondents according to monthly shopping expenditure
Shoppers’ View on Zara
4.3.1 Have you ever heard about Zara?
A survey on brand awareness revealed that 80% of respondents recognized Zara, with 100 out of 124 participants answering "Yes" to the question about their familiarity with the brand Conversely, 20% of respondents indicated they were unaware of Zara The detailed results are presented in the accompanying table.
Distribution of respondents according to Zara’s awareness
Figure 12: Distribution of respondents according to Zara’s awareness
4.3.2 Have you ever bought Zara brand??
In a survey of 100 participants familiar with the Zara brand, 79 respondents, representing 79%, expressed a willingness to purchase Zara's products, while 21% indicated they had never bought from the brand The detailed statistics are illustrated in Table 11 below.
Table 11: Distribution of respondents according to purchasing product
Figure 13: Distribution of respondents according to purchasing product
According to survey data, only 5 percent of participants reported not shopping at Zara on a monthly basis, while 25 percent indicated that they shop at Zara once or twice each month.
A significant 70 percent of respondents shop at Zara three or more times per month, with 43 percent shopping three to four times and 27 percent shopping more than four times These statistics are detailed in Table 12.
Table 12: Shopping frequency in Zara
Figure14: Shopping frequencies in Zara
Location Frequency Percentage (%) Cumulative Frequency %
Table 13: Respondents’ views on Zara present location
The result of questionnaire survey showed that, there are 36 percent the location of Zara is very convenient and same with the idea but carelessly is Convenient with 44 percent Hence
A significant 80 percent of respondents consider Zara's current location to be convenient or even better, while 17 percent find it inconvenient Only 3 percent of participants rated the location as very inconvenient, highlighting a predominantly positive perception of Zara's site.
Very convenient Convenient Inconvenient Very inconvenient
Figure 15: Respondents’ views on Zara present location
Product knowledge is crucial for customers seeking assistance from salespeople A recent survey of 82 individuals revealed that 82% of respondents believe Zara's salespeople possess essential product knowledge and are helpful, while 18% do not perceive their product knowledge as beneficial The accompanying table illustrates these findings.
Table 14: Respondents’ views on Zara’s salespeople based on their product knowledge
University of Wales 2011 Salespeople's acknowledge
Figure 16: Respondents’ views on Zara’s salespeople based on their product knowledge
4.3.6 Zara’s present product variety a) What do you think of Zara’s present product variety?
Product Variety Frequency Percentage (%) Cumulative Frequency %
Table 15: Respondents views on Zara product variety
Over half of the survey participants rated Zara's product variety positively, with 9% considering it "very good" and 45% deeming it "good." However, it's noteworthy that 28% of respondents expressed dissatisfaction with the product variety, indicating room for improvement.
University of Wales 2011 for who think the products are poor, and 18 percent left of respondents with very poor
Together a majority 54 percent find Zara’s product variety to be good and very good (Please refer to table 15).
Very good Good Poor Very poor
Figure 17: Respondents views on Zara product variety b) Do you agree the design of Zara is one of the most fashionable designs in the fashion industry?
A recent survey revealed that only 7 percent of respondents strongly believe that Zara offers the most fashionable designs in the fashion industry, while 33 percent of participants expressed general agreement Overall, this means that 40 percent of those surveyed support the notion that Zara's designs are among the most fashionable.
Other 22 percent of respondents are also not small number for those disagree with the design of Zara is fashionable, and 12 percent strongly disagree The rest with 26 percent is neutral The statistics is shown in table below
Design Frequency Percentage (%) Cumulative Frequency %
Table 16: Respondents views on design
Strongly agree Agree Neutral Disagree Strongly disagree
Figure 18: Respondents views on design c) Do you agree the design of Zara is the most significant reason that you are loyal to it?
A significant 40 percent of respondents identify Zara's design as one of the most fashionable in the industry Consequently, it's not surprising that 62 percent express strong loyalty to the brand, attributing this loyalty primarily to its appealing designs, with 38 percent strongly agreeing and 24 percent agreeing.
Almost customers might suitable with Zara’s products, but not all consumers, there are only
Only 11 percent of respondents expressed disagreement with Zara's design, while none strongly disagreed Additionally, 27 percent of respondents provided neutral responses regarding their opinions on the design.
Table 17: Respondents’ views on loyalty based on their products design
Figure 19: Respondents’ views on loyalty based on their products design
4.3.7 Findings on respondent feel on Zara’s products
In question 13, the survey reveals that 35% of respondents strongly agree and 41% agree that they purchase perfumes, shoes, belts, and cosmetics alongside clothing at Zara This indicates a strong attraction to Zara's accessories, suggesting that the brand's appeal extends beyond clothing and contributes to enhancing its overall brand recognition.
In question 14, a significant 74 percent of respondents believe that Zara's material quality surpasses that of its competitors, with 29 percent strongly agreeing and 45 percent agreeing This indicates a strong perception of Zara's superior material quality among consumers.
In a study conducted by the University of Wales in 2011, it was found that a significant portion of respondents, specifically 7 percent, expressed disagreement regarding the quality expectations of consumers This indicates that not all consumers hold the same standards for quality, highlighting the necessity for Zara to strive for the highest quality materials possible in their offerings.
According to the results from question 15, a significant 39 percent of participants strongly agree that Zara's launch of new product collections is fast, while an additional 28 percent also express agreement.
Recommendation and Conclusion
Branding
Zara's positioning and brand image are shaped by consumer feedback, indicating a strong and positive perception of the brand among fashion labels Utilizing a medium price strategy, Zara effectively manages its pricing to enhance its market position While the brand's functional approach is commendable, customer insights suggest that a purely functional and expressive strategy may not align with Zara's identity Additionally, Zara benefits from high brand awareness and quality, contributing to its upward added value in the competitive fashion industry.
Zara boasts a remarkable brand awareness rate of 80%, indicating its effective use of branding as a key strategy The brand differentiates itself by offering trendy, fashionable designs at mid-range prices, which resonates with 62% of respondents who express loyalty to Zara for its unique styles To enhance its image and add value for consumers, Zara should continue to innovate in fashion design Notably, the brand relies on minimal advertising, allowing management to focus on core operations While the effectiveness of Zara's extension strategy remains unclear, it is widely recognized as a strong international brand.
Marketing mix
A crucial element of brand strategy is product strategy, which plays a significant role in achieving success Zara stands out in the fashion industry by offering a wide range of products, surpassing its competitors In a recent survey, 54% of respondents rated Zara's product variety as good or very good, highlighting its effectiveness in meeting consumer preferences.
Zara's product development teams actively participate in high-fashion fairs and shows to incorporate the latest seasonal trends into their designs With a young, fashionable, and diverse staff, they effectively grasp and respond to current market demands.
According to the data presented in tables 16 and 17, a significant 40% of respondents believe that Zara's design is the most fashionable in the industry, while 62% cite it as the primary reason for their loyalty to the brand This highlights the popularity of Zara's product design Additionally, question 14 reveals that 74% of respondents agree that the materials used in Zara products are of high quality.
The result of survey shows that respondents agree that the speed of launching a new collection of Zara is fastest
Zara stands out as a valuable brand with its mid-range pricing and fashionable designs, effectively combining active product design with a strategic pricing approach This unique positioning is crucial to Zara's strength as a brand, complemented by its distinctive sole product strategy.
According to Figure 4.16, 60% of respondents agree that Zara's mid-range pricing is acceptable, while 45% consider the prices reasonable This indicates a general consumer satisfaction with the pricing of most products at Zara Among the 45% of respondents, 1% have an income below $1,000, 12% fall within the $1,000-$1,999 income bracket, and 22% belong to higher income groups.
$2000-$2999, 9% belongs to group $3000-$3999, and 1% have income $4000 and above.
Table 20 clearly indicates that respondents, regardless of their income level, perceive Zara's product pricing as acceptable Both low-income and high-income individuals agree on the affordability of Zara's offerings.
A recent survey indicates that 88% of respondents rarely notice advertising from Zara, while 62% believe that the brand's promotional efforts are inadequate In Singapore, Zara typically conducts promotions aligned with seasonal events, such as Christmas, New Year, and significant sales in June.
Zara allocates only 0.3% of its total revenue to media advertising, significantly lower than the 3%-4% typically spent by most specialty retailers The brand focuses on centralizing store window displays and in-store presentations to enhance its market image New items are prominently showcased in stores before any external advertising efforts.
In brand strategy, effective advertising plays a crucial role in enhancing brand familiarity and adding value While the importance of advertising is widely recognized, understanding how to create impactful campaigns for brand development and management is essential Successful advertising fosters brand awareness and cultivates a positive image among customers Notably, brands like Zara demonstrate that significant advertising expenditures are not always necessary to achieve high levels of brand recognition.
According to the results of question 8, 80% of respondents find Zara's current location convenient, with 36% expressing strong agreement The brand strategically places its stores in prominent areas, often on major shopping streets and within upscale shopping centers Notably, Zara has a presence in significant malls such as Takashimaya, Ion, and 313, all situated on Orchard Road, which is a bustling hub for both local and international shoppers Additional locations include Vivo City and Marina Square, further enhancing Zara's accessibility to a diverse consumer base.
Research indicates that salespeople significantly influence customer loyalty, with 82% of surveyed individuals acknowledging the importance of strong product knowledge among sales staff Overall, the findings suggest that Zara's sales team has received favorable feedback in this regard; however, there is still room for improvement to address and reduce any negative comments.
The success of a department store heavily relies on its salespeople, who serve as the primary point of contact for customers Motivated and well-trained staff are essential for delivering accurate information and exceptional customer service, significantly influencing customer satisfaction and loyalty Additionally, salespeople should adhere to a uniform dress code that reflects the store's brand image, as their behavior and actions directly impact the company's reputation.
The service process refers to how a service is delivered to end customers, making it a crucial aspect of a service firm's operations Before developing their offerings, companies must clearly define the process through which their service products will reach customers, ensuring an effective service plan.
Here, Zara almost achieve customers’ satisfaction with 80% of respondent who took short queue for purchasing at checkout counter.
While 86% of respondents are satisfied with Zara's store layout, appreciating its neatness, only 66% find the mirror availability adequate, and 82% feel there are enough changing rooms However, some customers noted that the layout can appear messy, with insufficient seating for those waiting To enhance the shopping experience, Zara should consider expanding its space and improving the overall environment for its customers.
Recommendation
Research from the previous chapter identified several factors influencing customer shopping behavior, highlighting various elements based on the 7Ps marketing mix We observed both similarities and differences in expectations among different customer types The primary motivation for shopping is to fulfill daily needs, while also allowing consumers to stay updated with current fashion trends.
According to section 1 result, the factors that consumers thought are most important when they decide to purchasing in what design and quality of products Those are basic factors
University of Wales 2011 which consumers always care about such as: brand name, product variety, location, quality, shopping frequency and shopping expenditure, etc.
To enhance its appeal to female customers, Zara should focus on offering fresh, stylish, and trendy products that resonate with students and teenagers By expanding its range of fashionable designs and vibrant colors, Zara can attract young shoppers and encourage more frequent visits to its stores Additionally, ongoing improvements in product offerings and increased sales promotions are essential While many respondents favor street locations in the city center due to convenient public transportation and high foot traffic, there is also a demand for Zara to open new stores in shopping malls outside the central area.
Advertising is a powerful tool for shaping public perception, yet a significant 88% of respondents report not noticing Zara's advertising efforts This indicates a clear need for Zara to enhance its advertising strategies to effectively reach and engage its audience.
Zara should address customer feedback regarding the store's cluttered layout and limited space, particularly on weekends Collaborating with interior designers to create a more spacious and organized environment is essential Additionally, enhancing the shopping experience by increasing the number of fitting rooms and mirrors, especially in the women's section, will contribute to customer satisfaction by fostering a more comfortable atmosphere.
Zara should tailor its product offerings to cater to the unique preferences of different store locations within the same city By doing so, they can enhance customer demand and encourage more frequent visits to various Zara outlets Additionally, distinguishing products by location can significantly boost shopper traffic Increased advertising and word-of-mouth promotion about new arrivals and exclusive collections will pique shopper interest, driving them to explore Zara's diverse offerings.
Conclusion
Consumer behavior is profoundly shaped by various factors, primarily categorized into demographic, psychological, and personal influences These elements play a crucial role in determining how consumers make decisions and interact with products and services.
In today's rapidly developing world, people's expectations for living standards are rising, particularly in areas like shopping Despite being a small nation, Singapore stands out among other Asian countries due to its high aspirations for quality of life, resulting in a rich and diverse cultural landscape.
The survey's limited sample size may render the results insufficient for commercial application, yet the analysis indicates that Zara remains a strong brand in Singapore and globally While the questionnaire could benefit from refinement, the core findings suggest that no significant changes are necessary.
Zara has received generally positive feedback from customers, indicating room for improvement to enhance customer satisfaction To achieve this, the retailer should focus on increasing patronage from existing shoppers while expanding its product variety and range to attract younger consumers Additionally, boosting promotional and advertising efforts will help Zara gain greater visibility and publicity in the market.
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are essential for crafting effective marketing strategies for services, which differ significantly from products These components include **Product**, which is the core offering that meets customer needs; **Price**, influencing customer satisfaction and perceived quality; **Place**, emphasizing the importance of location for service accessibility; **Promotion**, which shapes audience perceptions and brand recognition; **People**, crucial for service delivery and customer interaction; **Processes**, ensuring consistent service quality; and **Physical evidence**, which provides tangible cues to assess service quality Understanding these elements is vital for achieving success in the competitive services market Additionally, the emerging **8th P**, **Productivity and Quality**, highlights the growing importance of operational efficiency in service marketing.
Nguyen Thi Thuy Linh is currently in her final semester of the Bachelor of Science (Honors) in Business Administration program at the University of Wales (UOW).
This survey, conducted as part of a dissertation at UOW, aims to gather valuable insights into consumer behavior and customer satisfaction regarding Zara products Your participation in this study is greatly appreciated Thank you for contributing to this important research.
Instruction: Please tick () the right box
1) Based on your experience, please circle according to the importance for you to visit
Very important Important Either or Unimportant Very unimportant
2) Where will you shop for clothing products?
3) How often do you shop in a month?
4) What is your monthly shopping expenditure?
5) Have you ever heard about Zara brand?
If your answer is “yes”, please skip to question 6
If your answer is “no”, please skip to question 30
Section 2: Evaluating aspects of Zara
6) Have you ever bought Zara brand?
7) How often do you shop in Zara in a month?
8) What do you think of Zara’s present location?
9) Do Zara’s salespeople have the necessary product knowledge and helpfulness?
10) What do you think of Zara’s present product variety?
11) Do you agree the design of Zara is one of the most fashionable designs in the fashion industry?
12) Do you agree the design of Zara is the most significant reason that you are loyal to it?
13) Besides clothing, do you buy Zara brand of perfume, shoes, belts and cosmetics in one store?
14) Based on your experience, do you agree Zara has higher quality of material?
15) Do you agree the speed of launching a new collection of product of Zara is fast?
16) Wearing Zara clothing, do you feel very comfortable?
17) Do you agree the mid-range pricing of Zara?
18) What do you think about Zara’s products in regards to price?
19) Have you rarely seen advertising of Zara brand?
20) What do you think of sales promotions conducted by Zara?
21) What do you think of the store’s layout?
22) Are there enough mirrors for trying clothes?
23) Are there enough changing rooms for trying clothes?
24) What do you think of the waiting tine at the checkout counters?
25) Based on your experience, how would you rate the level of overall satisfaction on Zara’s products?
26) If you are dissatisfied with Zara’s product, please provide us some comments The firm will be very happy if you can provide us some feedbacks, ideas or recommendation to improve not good performance, so the firm can serve you better in the future:
27) Will you recommend Zara’s products to your friends?
33) What is your personal monthly income?