Fast Fashion Brand Zara: Continue to Promote Global Expansion

Zara Store in China

The Inditex Group, owner of the Zara brand in Spain, announced plans to enter the markets in Taiwan, South Africa and Peru.

As of the end of April of this year, the Inditex Group, the world’s largest fashion chain, opened 12 stores a week and said it plans to open hundreds of new stores to bring its “fast fashion” clothing to the world.

In 1975, the company, which started from a retail store in La Coruna, Spain, now operates 5,154 stores in 78 countries and made its founder Ariel Ortega the richest man in Spain.

According to Forbes magazine, Otto, a 13-year-old senior tailor, has now become the world’s top seven billionaires with assets of US$31 billion.

Inditex Group has opened its second Zara store in Australia and announced plans to create a new Zara site in the United States. It will also open 120 stores in China.

Inditex Group resisted the economic downturn that plagued other apparel retailers and announced that first-quarter sales rose by 11% to 2.96 billion euros. Inditex Group, which has brands such as Massimo Dutti, Pull & Bear, Bershka, Stradivarius, said that profits rose by 10% to 3.32 euros.

The company’s advertising campaign was a picture of Kate Middleton, the Duchess of Cambridge, wearing a Zara blue dress for 49.95 pounds the day after the wedding with Prince William.

Analysts said that the main reason that Inditex Group performed better than its competitors was because most of its apparel is still produced in Spain and North Africa, not in China. The increase in labor costs in China is hitting other high streets. Fashion chain.

Some analysts said that the Inditex Group's performance is good, and H&M is "worrying." H&M added 235 stores and increased the total number of stores to 2,297 by the end of May.

Anany Cricklelo, an analyst at Societe Generale, said that a good spring weather has prevented sales. “If the weather is very hot in April and people have bought summer clothes in April (in major markets in Europe), then they will not buy summer clothes again in May.”

The Inditex Group, which had a relatively late understanding of the importance of the Internet, launched the Zara website eight months ago and stated that it will establish websites for the other six brands in September this year.