The Success of Technology at Zara

The Success of Technology at Zara

The success of Zara clothing has underscored the importance of technology in business. The global rise of Zara can be attributed to its excellent adoption of technology in advertising and supply chain management.

Zara relies on window displays and online boutique to advertise its products. Unlike its competitors, the company only uses 0.3% of its sales on advertisements. Zara launched an online boutique in 2010 to allow customers to order items from the comfort of their living room. As Rowles notes, establishing online platforms allow customers to view and order products and services without necessarily visiting the physical stores (6). Inclusion of technologies such as the internet in advertising and selling departments of organizations increases the market coverage. The launch of the online platform has expanded its market in more regions such as Malaysia, Romania, New Zealand, and South Korea (Roll n.p). The success story underscores the importance of technologies in expanding the market and sales of a firm.

Adoption of robust technologies has allowed Zara to improve efficiency and performance in serving customers. The sophisticated technology has enabled it to streamline the supply chain process. It has installed optical and radio scanners in its facilities to accelerate the distribution of over 60,000 products per hour (Roll n.p). The implementation of automated technologies allows for sorting, inspecting, tagging, and loading of items within the shortest time possible. With such measures in place, Zara ensures that none of the products miss in their shelves as well as deliver new designs and trendy items to the market at the right time. The efficiency in the supply chain has formed the foundation for high sales and profitability.

Zara is one of the most successful companies in the world due to the effective adoption of robust technologies in advertising and supply chain management. This strategy has enhanced customer loyalty and retention.

Works Cited

Roll, Martin. “The Secret Of Zara’S Success: A Culture Of Customer Co-Creation.” Martin

Roll Website, 2019, https://martinroll.com/resources/articles/strategy/the-secret-of-zaras-success-a-culture-of-customer-co-creation/. Accessed 18 June 2019.

Rowles, Daniel. Mobile Marketing: How Mobile Technology is Revolutionizing Marketing,

Communications and Advertising. Kogan Page Publishers, 2017.