ZARA Global Stores Are 4 Times More Efficient Than Domestic Companies.

ZARA group Inditex group disclosed at its annual meeting of shareholders in July 13th that its global store efficiency (the average annual sales volume per square metre) reached 4719 euros (about 40 thousand yuan), which is 4 times that of domestic garment enterprises.

Inditex group vice chairman Pablo Isla introduced that in the 2009 fiscal year, the group achieved sales of 11 billion 84 million euros at a fixed exchange rate, an increase of 9% over the same period last year.

As of January 31, 2010, all business outlets of Inditex group were 2348708 square meters, with sales divided by sales area, and the Inditex group's flat effect was 4719 euros.

A fashion personage said to "First Financial Daily" that at present, the domestic men's clothing industry has a flat effect of 6000~8000 yuan, and the sporting goods industry has a slightly higher level of efficiency, which is only 8000~10000 yuan. It is surprising that the Inditex store has a high level of efficiency. However, it is not surprising that the ZARA stores in China are selling well, and the flow of people is large.

The business mode of ZARA is to deliver the latest international fashion to consumers in the shortest time. However, the price of products is much lower than that of Armani and other international brands. The purchasing power of Chinese market is increasing rapidly, and the trend of popularity is becoming more and more international. It has become a treasure spot for ZARA's gold rush.

Inditex annual report shows that in 2008, ZARA had only 23 stores in China and increased to 44 in 2009. The Chinese market has become one of the fastest growing regions in the ZARA overseas market.