Blog Post #3 – ZARA’s marketing strategy

I decided to write a blog reflection on Conrad Chan’s blog post on “Zara’s marketing strategy” because I was really amused at how innovative their strategy is. Most of the companies that I know (i.e. Nike, Addidas, and Gap and etc.) spend millions of dollars advertising their brands in order to make the consumer aware of their brand. But Zara, on the other hand, does the opposite – it spends only about 0.3% of their revenue in promotion! Unlike the other companies, Zara is providing the consumer with the the great variety of the high-quality goods at a very reasonable price, and thus their promotion is solely depended on the customer satisfaction, which results in the word-to-mouth advertisement.
With great number of companies trying to invest money in advertisement campaigns, Zara’s marketing strategy of doing the opposite and trying to sell the consumer the real high valued product instead of an overvalued good, is very innovative. I never heard of the Zara company before, but now I think I will buy one of their products in the near future just because I got really interested in this company.