Levi’s Shoots for the High-End Hipster

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Presentation transcript:

Levi’s Shoots for the High-End Hipster Travis Hogue Eric Johnson Brian Pavlukovich

History of Levi’s Started Levi Strauss in 1873 in San Francisco 1873 patented a more durable pair of blue jeans 1936 added the red tab to the pocket to identify Popularized blue jeans They are the worlds largest brand-name apparel manufacturer Own the Dockers brand

The Article Wall Street Journal Joining the premium denim market Late entry in the market due to: Crushing debt Restructuring of operations Discontinuation of product lines Results: Missed out on the designer jeans craze in early 2000s Survived the recession Aggressive retail expansion Marketing of new premium line

New Luxury Image Two new brands: Made and Crafted Better fabrics and fit Appealing to affluent consumers Levi’s Vintage Clothing Reproductions of classic items from the brand’s history

New Strategy Aggressive Retail Expansion Distribution International Opened 154 new stores in 2009 Distribution Boutique stores London’s Regent Street High end retailers Saks Fifth Avenue Barneys New York International Standardization of 501 jeans Global Campaign

It’s All Relative Retail Management Store Positioning Brand Image Retail Life Cycle Levi’s in maturity stage Resource Advantage Theory Value for the money

Reactions What we think of the article Norms What do you think of Levis expansion, has anyone noticed more stores? Would you ever buy a $199 pair of Levis Jeans? Did you know that executives from Ralph Lauren helped design these jeans? Would you buy them now?

Sources Lynn Downey, “Levi Strauss: a short biography” 2008 http://online.wsj.com/article/SB10001424052702303695604575182252816707936.html?mod=WSJ_business_LeftSecondHighlights

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