The 43-year-old took over the hot seat from Rafa Benitez, who lasted just six months in charge. It is the first time a Frenchman has been hired in this capacity at either Barcelona or Madrid.
"This is an important day for me," Zidane said in front of reporters and family in a press room at the Bernabeu. "I'm more excited now than I was on the day I signed as a player."
Zidane had served as a coach of Madrid's youth team in the Spanish third division, and before that as an assistant to Carlo Ancelotti during the 2013-14 season that saw Los Blancos win La Decima.
He has zero experience in a major role at the senior level, prompting questions over his credentials. Only last May did Zidane receive his UEFA Pro Licence, which allowed him to take the youth gig.
But he claimed virtually every bit of silverware with the club after joining from Juventus, including the La Liga title, the Champions League and Super Cup.
"I'm going to put my heart and soul into this job so that everything works out well," he said.
President Florentino Perez also threw his support behind "one of the greatest figures in football," adding that Zidane understands better than most what it takes to win.
"He knows what it means to be part of this squad, and how tough and complicated it is to occupy the coach's job at Real Madrid," said Perez. "He knows the players because some of them, like him, were crowned European champions when they won La Decima.
"Throughout his career, Zidane has faced the biggest and most important challenges head on, and always with determination and talent.
"I'm very proud to have you here, because I know that for you (Zidane), the word impossible doesn't exist."
THE DIGEST
Everything you need to know about Real Madrid's firing of Benitez, hiring of Zidane
by Gianluca Nesci Monday at 8:29pm
Javier Barbancho / Reuters
Death, taxes and Real Madrid firing managers.
The Spanish juggernaut, sputtering (by its lofty standards) in La Liga this season, confirmed what has seemed inevitable since the day Rafa Benitez was hired only seven months ago, announcing Monday that the under-fire boss has been sacked, replaced on the touchline by club icon Zinedine Zidane.
Related: Rafa Benitez sacked as manager of Real Madrid, replaced by Zinedine Zidane
The Madrid native, 55, was given his marching orders despite the club finding itself a mere four points off the top of the La Liga table, where city rival Atletico Madrid sits at the summit. Though Los Blancos are well within striking distance for the Spanish title, there was consistent outrage from supporters over the team's uninspiring, defensive style of play under Benitez, along with a series of unfortunate, high-profile gaffes that blighted his tenure; the Copa del Rey debacle, a reported rift with marquee players, and a 4-0 battering at the hands of Barcelona in this season's edition of El Clasico.
And while the timing seems odd - the club is one day removed from earning a 2-2 draw away to Valencia, despite playing with ten men - trigger-happy president Florentino Perez decided the time was right for the seemingly inevitable announcement.
Here's everything you need to know about Real Madrid's decision to cut ties with Benitez, and replace him with Zidane.People
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