Zara SWOT analysis

SWOT ANALYSIS ZARA BOOTS

Eden Rothwell

STRENGTHS

• Fashion foreword as seen by the WGSN trend for the season.
• Leather and non leather offerings with The leather being tanned using

sustainable methods and in factories approved by the Leather Working
Group Protocol
• Pricing architecture is better in Zara as a Good, Better, Best as the
leather offers the best whilst in both H&M and Topshop the structure will
be different .
• Size range 2-9 H&M offer 2.5-8 Topshop 3.5-8 .
• Zara has more inclusive sizing due to the demands from the
European market they operate in whilst competitors do not.
• Launches of product category in August 2018 is a well proven strategy
as discounting throughout the season is lower than competitors.
• Short lead times on fashion trends into store, using the trickle down
theory.

PRICING STRUCTURE

ZARA STOCK DROPS

• From 2016-2018 Zara drops ankle boots
in August with drops from Topshop and
H&M in September.

• 2019 Topshop drop a higher amount of
ankle boots to match Zara.

• Zara consistent drop level spread over August-
September 2019.

• This means Zara's sell through is more stable
and their profit margin is protected for longer.

EDITED

WEAKNESSES

• Entry level prices are over 34.6%
higher than H&M (£9-25.99).

• H&M's offer 65.6% of their total
boots in the £20-£40 price range
with Topshop following with
26.4% and Zara with the least
products offered in comparison
with 15.5%.

• In the price category of £20-£40
Zara offer simplistic designs.

• The stores layout is hard for
consumers as there is not one
dedicated area for shoes.

• Ecommerce site alongside app is
difficult to navigate.

OPPORTUNITIES

• The entry level price could be
lowered to appeal to a wider
range of consumers as H&M
are leading with their lower
priced boots.

• Offer a knee high boot at a
price point of £20-£40 as
H&M are leading with over 5
options at this price category.

• Follow in competitors
footsteps such as Topshop on
selling select lines on a more
streamlined website like
ASOS.

THREATS

• Consumers more likely to buy from footwear
specific retailers rather than a high street brand
due to brand loyalty

• "with almost half (48%) of in-store shoppers going
to a specialist retailer." (Mintel, 2019)
• H&M offer half sizes on boots with Zara only

offering solid sizes this can lose consumers support
of the brand as they are unable to buy the shoes
they want and will have to go else wear.

PROPOSAL

• Change the Visual Merchandising
to create an area specific to
shoes with the wardrobe
merchandising taking a
secondary focus

• In the months leading up to peak
trade of A/W stock a bigger focus
should be placed on boots
throughout social media.

• As seen in (MIntel, 2019) clothing
retailers are close behind
specialist retailers in where
consumers will shop for their
shoes. With more emphasis on
promotion customers could be
led to buy from retailers such as
Zara over specialist retailers.

THANK YOU

Eden Rothwell 07988620883
[email protected]

REFERENCES

• Zara. (2019) Zara Logo. [Online Image] [Accessed on 23rd October
2019] https://vectorlogo4u.com/zara-new-logo-vector/
• Manchester Metropolitan University. (2019) Manchester Metropolitan University Logo. [Online Image]
[Accessed on 23rd October 2019] https://en.wikipedia.org/wiki/Manchester_Metropolitan_University
• Mintel. (2019) Footwear Retailing – UK – April 2019. [Online] [Accessed on 25th October
2019] https://academic-mintel-com.mmu.idm.oclc.org/display/953008/?highlight#hit1
• Edited. (2019) Dashboard of Zara, H&M and Topshop Boots. [Online] [Accessed on 25th October
2019] https://app.edited.com/#market/dashboard/159246/352936?analysis_view=strategy&gender=wom
en&in_stock=true&market=UK&price_type=current&primary_pivot=retailer&product_searches=767%7C7
67&retailers=hm%7Ctopshop%7Czara&secondary_pivot=none&vertical=apparel&view=analysis
• Sturch, K. (2019) Collection Review: Women's Key Items A/W 19/20 - Footwear. [Online] [Accessed on
25th October 2019] https://www-wgsn-com.mmu.idm.oclc.org/content/board_viewer/#/83035/page/1