Levi’s · PDF fileBrands : Levi’s, Dockers, Levi Strauss Signature Company...

1111

Levi’s®360o Revitalization of the Brand

Betty Wu 94933001Cathy Chan 94933015Charles Ok 94933027Dennis Lin 94933023Joyce Liu 94933013

2222

Who is in Levi’s®?

Charles in LeviCharles in Levi’’s?s?

3333

Who is in Levi’s®?

Dennis in LeviDennis in Levi’’s?s?

4444

Who is in Levi’s®?

Joyce in LeviJoyce in Levi’’s?s?Cathy in LeviCathy in Levi’’s?s?

Betty in LeviBetty in Levi’’s?s?

5555

Agenda� About Levi’s®� Levi’s® History� Company Profile� Company Transformation� People’s Brand� Milestone of Levi’s®

� Levi’s® US & Taiwan Markets� Brand � Distribution & Pricing� Promotion

� The “Stay True“ Campaign 真我不受限真我不受限真我不受限真我不受限

� Customer Survey Analysis� Demographic Profile� Consumer Purchasing Behavior� Brand Awareness� Brand Loyalty

� Conclusion

6666

Levi’s® HistoryMr. Levi Strauss, German immigrant, had canvas made into overall / pants for gold mining workers in California.

1853

Mr. Levi Strauss and his partner, Mr. David Jacobs received patent by putting rivets in pants for strength, which was first “blue jean”.

1873

Levi Strauss & Co. was incorporated with 18,000 stocks to family and employees.1890

Sales of Levi Strauss & Co. products had reached U$ 1 billion. (sales in 1880 was U$2.4 millions.)1974

The company went to public in 1971 and was returned to private control in 1985. ( still as private in 2006)1985

7777

Company Type : PrivateIncorporated : 1890Employees No. : 10,000 as end of 2005Sales Revenue : U$4.1 billions ( Fiscal year 2005 )

� One year growth : 1.3%Net Income : U$156 millions ( Fiscal year 2005 )

� Income growth 413.2%Presence : 110 countries ( Largest presence in

jean and casual pants markets)Chairman : Robert D. Haas ( Relatives of Levi

Strauss )Brands : Levi’s, Dockers, Levi Strauss Signature

Company Profile

8888

Company Transformation

1940’s 1980’s

Establishedduring WW II

Hollywood gave a bigboost

Introductionof Dockers brand

1950’s 1990’s 2000’s

Government declared

that jean is essential

commodity for War effort.

This contributedto brand success

Operated 5 factoriesand profit to U$1 mil

Shift from Wholesales to manufacturing and branding

Introduction of Levi StraussSignature brand

500 fortunes

Marketing for young

baby boomers and more urban areas

Official outfittersof US winter and summer Olympic teams and staffs

Diversificationto overseas markets

Closed 58 US manufacturing

plants

Virtually free of debt in 1996

Marketing foremerging markets: Eastern Europe and

India

Custom jeansprograminitiated

Strategic partnership with Wal-Mart

Last US domesticplant shut itsdoor in 2003

(in San Antonio, Texas)

9999

People’s BrandThe new clothes [jeans]

express profoundly democratic values. There are no distinctions of wealth or status, no elitism; people

confront one another shorn of these distinctions.

Charles A. Reich, "The Greening of America"

The Last Chance Mine (1882).Men working on coal mines in their Levis durable pants

10101010

Milestone of Levi’s®

● ● ● ● ● ● ● ● ● ● ● ● ● ●

1853 : Jean pants with canvas cloth

1854 : used serge de

Nimes : Denim

1872 : Strengthen with rivets

1890 : Assigned 1st

lot No. : 501

1886 : Two horse brand for Levi’s jean

1912 : Koveralls

:first playsuits for children

1922 : Beltloops to

denim pants

1960 : pre shrunk

denim jeans

1986 : Introductionof Dockers : upscale men’spants line

1959 : Orange,Lemon and lime pants

1964: Sta-Prest

permanent-press pants

1996 : Slates dress slacks first marketed

1996 : Original spin, custom jeans program

2003 :Introduction of Levi Strauss Signature

●

2006 : World #1 maker

of brand-name clothing

11111111

Agenda� About Levi’s®� Levi’s® History� Company Profile� Company Transformation� People’s Brand� Milestone of Levi’s®

� Levi’s® US & Taiwan Markets� Brand � Distribution & Pricing� Promotion

� The “Stay True“ Campaign 真我不受限真我不受限真我不受限真我不受限

� Customer Survey Analysis� Demographic Profile� Consumer Purchasing Behavior� Brand Awareness� Brand Loyalty

� Conclusion

12121212

BrandFor both US & Taiwan market For both US & Taiwan market ––

LowMediumPremium Market Position

25 and plus25 and plus15 to 25 years old young

generationTarget

Customer

Jeans for EveryoneCasual WearStylish Denim

ClothingCurrent Brand Strategy

Brands

13131313

Levi’s® Branding in Taiwan

To have celebrities wearing it and create the premium valueEdison, BOA

Stylish yet comfortable

Experience Influence

Emphasize on it’s American heritage with vintage items

American cowboys

Authentic, original jeans brand

Symbolism Influence

Keep on innovating their jeans base on their archives

Young generation

actors & actressA pair of jeans that will not

disappoint you Relationship Influence

To have the trend setter using their brand first then influence the mass

Hiroshi Fujiwara, KENJI

Old jean brand reborn from 1990

Reputation Influence

Current Brand StrategyInfluencersCustomers

Prospects

Brand Culture

Brand Story

14141414

Distribution & Pricing

Optimum price for quality jeans –USD$90 per pair�Set at premium pricing level

Optimum price for quality jeans –USD$25 per pair�Set at medium/low pricing level

Pricing

•Department store•Jeanery•Franchised shop•Own boutique shop

•Department store•Jeanery•Hypermarket ( For signature brand )

Channel

50% wholesaler 50% Retailer

Majority through wholesalerDistribution

In TaiwanIn USStrategy

15151515

Promotion

Training on the Point of Sales ( Customization )

Television & magazine promotion

Promotion Focus

TV ad is less important, print ad and outdoor ad as well as influencer create the brand image

TV ad & print ad heavily influence the consumer selection

Advertisement

Due to people are out on the street when they shop, impulsive buying behavior are more often to be found

Due to distance to the shop, usually consumer will have a decision made already before go out shopping

Consumer Buying Habit

In TaiwanIn USStrategy

16161616

Levi’s® PR in Taiwan

Luxury-EntryN3BP / RL / 501*

PremiumRed Tab

Premium HighType 1 / 501*

Cashbox

Here, Taipei Walker, FHM

TVBS Weekly,

時報Weekly

Others

*Styling Cues*In trend items

VIVI,Beauty,Jasmine, Holiday, Sugar,

Cawaii,Mina

*Seasonal Trend*Local stylist Endorsement

Cosmopolitan, With,Elle, Girl E’f

Men’s StyleC’est moi, Hipper

*New concepts inspiration *Create brand story

BAZZAR, Vogue,ELLE, Marie Claire,

Men’s Uno, GQ

COOL,Bang

W’sM’sUnisexTacticsFashion Magazines

LuxuryRED / LVC / 501*

17171717

Agenda� About Levi’s®� Levi’s® History� Company Profile� Company Transformation� People’s Brand� Milestone of Levi’s®

� Levi’s® US & Taiwan Markets� Brand � Distribution & Pricing� Promotion

� The “Stay True“ Campaign 真我不受限真我不受限真我不受限真我不受限

� Customer Survey Analysis� Demographic Profile� Consumer Purchasing Behavior� Brand Awareness� Brand Loyalty

� Conclusion

18181818

Levi’s® Stay True Campaign� ObjectiveTo strengthen Levi’s® original jeans proposition and make it relevant to the youth

� Strategy Featuring 501® endorsed by Celebrities with “True to Yourself” attitude using simple English “Stay True” to communicate

� Focus Target on youth with coverage on both male and female, mainstream and fashion forwarders

� Marketing Plan360 Degree Integrated Campaign

19191919

Levi’s® Stay True 360 Campaign

ProductsPackaging

PR&PublicityRetail

Word-of-MouthAdvertising

Levi.com

真我不受限真我不受限真我不受限真我不受限

20202020

Stay True Campaign CalendarIntro - Teaser Launch Sustain

Oct 05 Nov 05 till Now

CelebritiesSeeding

Slogan Sticker Teaser

Stay True TVC Campaign

Print Ad

LEVI.COM eDMInternet BLOGShopping Bag, Retail Display & Window

Outdoor Advertising

Media Trip Clippings 501® limited ed.

PR Editorials

Dept Store Promotion

SS 04-SS 05

Word of Mouth

Sale

s Vo

lum

e

21212121

Word-of-Mouth Campaign� Stickers Teaser � Celebrities Sampling� BLOG

ProductsPackaging

PR&Publicity

Retail

Word-of-MouthAdvertising

Levi.com

22222222

Sticker TeaserObjective : Create buzz & mystic on the Stay True Campaign. Stickers are cool and liked by youth as they can make sticker arts like graffiti.Message :1. Advertising Slogan and shadow of celebrities2. Launch of BLOG and LEVI.COM

23232323

Local Celebrities SamplingEditors & DJ - 劉軒劉軒劉軒劉軒

Actress - 李康宜李康宜李康宜李康宜

Band - 螺絲釘螺絲釘螺絲釘螺絲釘

Singer張震嶽張震嶽張震嶽張震嶽

Actor - 范植偉范植偉范植偉范植偉

24242424

Magazine Editorials

25252525

BLOG Front Page

26262626

Advertising Campaign & Key Visuals� TVC Campaign� Print & Outdoor Ad

ProductsPackaging

PR&Publicity

Retail

Advertising

Levi.com

Word-of-Mouth

27272727

Print & Outdoor CampaignMass Transit Railway - Taipei

28282828

LEVI’S.COM� e-DM to announce the campaign� Front Page & Site� Stay True Activities – Wallpaper / Screensaver download

ProductsPackaging

PR&Publicity

Retail

Advertising

Levi.com

Word-of-Mouth

29292929

e-DMSent……October, 2005……

Reached……16,000 e-mail address……

30303030

Site Front PageOn-line beginning on：：：：October 2005 till Now

31313131

PR & Publicity� Media Trip to SFO (Heritage Trip)� TVC talents feature stories & interviews� Product editorials

ProductsPackaging

PR&PublicityRetail

Word-of-MouthAdvertising

Levi.com

32323232

San Francisco Heritage Trip

33333333

SFO Media Trip28-pages Free editorials

34343434

PR Clipping

35353535

PR Achievements�58 pages of printed (Newspaper & MGN) clippings

�3 cover page of leading fashion magazines

�2 one-hour TV program�US $3.13 M free media generated

36363636

Products� Stay True & 501®� Exclusive Limited Edition

ProductsPackaging

PR&Publicity

Retail

Advertising

Levi.com

Word-of-Mouth

37373737

501® Series CollectionLimited Edition Limited Edition

Stay True 501Stay True 501®®

38383838

Packaging� Stay True Educational Hangtag� Levi’s® Stay True Shopping Bag

ProductsPackaging

PR&PublicityRetail

Advertising

Levi.com

Word-of-Mouth

39393939

Hangtag : to educate consumers why 501® is different (Featured with Cone Mill XX17 fabric to justify premium)

40404040

Stay True Shopping Bag

41414141

Retail� Window� Banner� Floor stickers & misc.� Retail Staff badge� In-store promotion

ProductsPackaging

PR&Publicity

Retail

Advertising

Levi.com

Word-of-Mouth

42424242

Retail Kit Per Channel Type

Jeanery

Dept Store

Levi’s®Store

Banner

Display Spot

Window

FloorSticker

TransparentBookmarker

43434343

Other In-store MediaStaff Badge

Catalogue

44444444

Agenda� About Levi’s®� Levi’s® History� Company Profile� Company Transformation� People’s Brand� Milestone of Levi’s®

� Levi’s® US & Taiwan Markets� Brand � Distribution & Pricing� Promotion

� The “Stay True“ Campaign 真我不受限真我不受限真我不受限真我不受限

� Customer Survey Analysis� Demographic Profile� Consumer Purchasing Behavior� Brand Awareness� Brand Loyalty

� Conclusion

45454545

Demographic Profile

Total Sample : 104Valid Sample : 97100% Taiwan residentAge majority: 25~38Equally distributed sex

Survey Age Distribution

18-245%

25-3147%32-38

26%

39-4519%

Above 451%

Survey Sex Distribution

Female54%

Male46%

46464646

Survey Education Distribution

CollegeUniversityor Above88%

SecondarySchool12%

Demographic ProfileSurvey Occupation Distribution

7% 4%

56%1%1%2%

7%12%

10%

Advertising/Marketing/PRAgriculture/Chemicals/ForestryComputers/ElectronicsConsumer Goods Education/StudentFinance/Insurance/RealEstateOthersServicesTelecommunications/Networking

Survey Income Distribution

$250K-749K52%

$750K-$1,249K

28%

Under$249K12%

$1,750K-$2,124K

3%$2,125K-$2,749K

1%

$1,250K-1,749K

4%

Occupation majority: Computer/EletronicsEducation majority: College/University or aboveAnnual income majority: NT$250K~1,249K

47474747

Consumer Purchasing Behavior

What are the Jeans Buyer Care the Most

Trend1%

Brand3%Color

12%

Quality17%

Price17%

Style25%

Fit25%

Only 3% of the Jeans buyers care about the brand

48484848

Favorite Jeans Brand

Levis Strauss21%

Blue Cult2%Diesel

4%

Polo Jeans Co.6%

Miss Sixty8%

Lee Jeans16%

Tommy Hilfer2%

WranglerJeans

2%7 for AllMankind

1% Others38%

Brand AwarenessOnly 3% of the Jeans buyers care about the brand… but 21% regard Levi’s as Favorite Brand

=Fit/Style/Price/Quality

49494949

Brand LoyaltyLevi's Jeans Ownership

No49%

Yes51%

Future Purchase of Levi'sNo

30%

Yes70%

92% of the Levi’s owner will like to buy Levi’s again in the future

50505050

50125%

Others75%

Conclusion• Market Share Expansion

Through “Stay True” campaign– Levi’s® 501 series’ market share has increased from single digit to nearly 16% in total Taiwan jeans market

– Levi’s® became the leading share jeans brand in Taiwan market

51515151

How far can marketing bring your company to success?

Conclusion• Brand Image Establishment

Quote from our survey“ What do you think of Levi’s brand image ? Please use one word / sentence to describe it “� Cool & Stylish� The authority of jeans� Strong personality� Evergreen brand� Healthy, young, cowboy, expensiveA 32-38 male said Levi's: Very expensive, unreasonably expensive, expensive enough that only blind young people would buy…

52525252

We Are ALL Levi’s® !!