Zara to open hundreds of new stores
Zara, the king of fast fashion has announced it’s going to open hundreds of new stores according to this Retail Dive report.
Zara’s name comes up a lot in discussions about apparel retail, mostly because the company continues to shrug off the many challenges faced by rivals, including slow traffic and minimal shopper interest. There are several reasons Zara so often sidesteps danger, above all is its supply chain. The retailer, which invented fast fashion and continues to master it, runs most of its own factories and controls most of the supply chain. This helps Zara order up small batches of inventory on the fly and get them into stores in record time. That approach — small batches, record time to market — helps it adjust more quickly to phenomena like unseasonable weather.
As other retailers work to catch up by accelerating their own supply chains, Inditex is leaving little to chance. The company said that ordinary capital expenditure this year will reach some €1.5 billion, driven mainly by investments in customer-oriented technologies and R&D projects, expanding its eco-efficient store base, upgrading its logistics operations and shoring up the second-hand clothing collection and fiber recycling programs and research, among other areas.