An American clothing brand Levi Strauss & Co. globally known as Levi’s is operating in more than 110 countries with more than 2800+ companies operated stores worldwide. The company was established in 1853, two months ago Levi’s completed 168 years in the denim industry. Not only in signature blue denim but Levi’s is also dealing up in other segments which include casual shoes, trousers, T-shirts, Tops, Shirts, Dresses, Jeggings, Jackets, Sweaters, and Sweatshirts.
In this case study, we will discuss the marketing strategy of Levi’s through its digital presence, marketing campaigns, and SWOT analysis. We will also cover up the marketing Mix of Levi’s which includes the 4Ps of marketing. Also, if you’re looking for more Case Studies, check out our other blogs for similar Case Studies.
So, let’s Live in and learn more about the Blue denim brand – Levi’s.
Levi’s is one of the popular brands and has an international presence in jeanswear. The company manufactures and merchandise jeans, casual wear, and other bells and whistles for every age group. They reach their customers through various retail chains, stores, and e-commerce marketing sites like Myntra, Ajio, Jabong, Amazon, and so on. The business has grown and expanded at a huge speed, quickly rising from an area outlet to world business. Levi Strauss & Co. reported fiscal 2018 net revenues were $5.5 billion.
Ruling the market for decades, Levi’s has a strong customer base and is trusted for quality, new launches, pattern, trend, fit and more. The first and foremost strength of Levi’s is its brand name, which shines in customer’s eyes before purchasing a pair of jeans.
I think you got a brief overview of Levi’s, moving up next with the marketing budget of Levi’s.
Marketing Budget of Levi’s
Recently, Levi’s conducted an annual strategy seminar at European headquarters in Brussels, Belgium. In which the brand’s marketing strategist mainly focused spendings on the digital approach and strategies of the company because the company’s an advertising and promotion expenses were majorly spent on retail agents which lead to an increase in the company’s marketing budget.
Levi’s marketing budget spending plans:
- Retail agency review was conducted to hire more strategic and cost-effective retailers.
- Digital brand strategy and budget for 3 years were developed.
- Add new channels for direct online sales to engage with customers.
- Homegrown digital marketing initiatives that were cost-effective.
Why is the budget by Levi’s mainly focused to spend on its digital presence? Because the more the brand is digitally inclined the healthier brand it is.
Levi’s Digital Marketing Presence
In today’s modern era digital marketing has become a vital part of the research and development of a company. Having a digital presence helps in direct communication with your customers. It requires an effective digital marketing strategy to increase brand awareness among customers. A company which have an effective digital presence is leading the market at the current time.
- Posts on the global cause
- New launch following up trends
- Yearly achievements recently celebrated there 501 Day
- Job vacancy and insights
- Youth achievement updates
- Panel discussions
The world is switching digitally due to current scenarios having a powerful digital presence is a plus for Levi’s.
Campaigns increase brand awareness in youth and help in becoming the limelight of the market. Let’s have a look at some amazing campaigns conducted by Levi’s which shows the marketing strategy of Levi’s.
Levi’s Marketing Campaigns
#1 By Better. Wear Longer 2021 Campaign
This 2021 campaign by Levi’s highlights the major issue of increasing global consumption of clothes. Pinching in their product by saying buy better which is Levi’s, so that you wear longer buy less.
#2 We All Move – Levi’s
A second successful campaign by Levis shed light on freedom of independence and intriguing youth by taking a step forward so that if we take a step, we all move with Levi’s. With celebration and joy, this campaign was presented by the brand ambassador of Levi’s – Deepika Padukon and brown ladies of India dancing to music: Auva Auva Koi Yahan Nache.
#3 I Shape My World – Levi’s
This campaign was conducted in 2019 by Levi’s which again shows a unique marketing strategy by a line-up of female personalities who have come together from different industries to celebrate the spirit of women empowerment, catching the mindset of young women to buy Levi’s by igniting the light of being unstoppable.
There are many more campaigns conducted by Levi’s since it was born. These youth campaigns are part of the marketing strategy of Levi’s which creates awareness of Levi’s in youth. It’s a niche of Levi’s market.
Levi’s Marketing Mix
The marketing mix is the mix of product, price, place & promotion which is used by a company to motivate consumers to buy its product. Previously Levi’s used to deal in denim only now deals in a wide variety of products.
1. Product Mix of Levi’s
The birth of the blues Levi’s 501 articles caught many eyes in its era and still does. Continuing the numbers after 501 men they came up with 300,400,600,700,800 series for women also. Not only the lower body of a human but Levi’s started covering the body from top to bottom with Levi’s products:
- Pants & shorts
- T-shirts & Polos
- Sweaters & Sweatshirts
- Accessories like: belts, bags & backpacks, footwear, and also Face masks for Covid.
- For women: blue denim skirts
- Sandals & Slippers
A product should be pocket-friendly with utmost satisfaction. Which led us to talk about pricing by Levi’s.
2. Price Mix of Levi’s
As we know pricing strategy for a product is important for every company, which also satisfies a customer and is a pocket keeper at the same time. From the start Levi’s has kept its pricing fixed globally, it varies by other factors like manufacturing cost, demand, product to product, public affordability which depends upon region to region. Levis’s frequently offers some catchy discounts and freebies for the student market:
- Student discounts of 20%
- Free shipping and alteration
- Price range from low to high to make it affordable
Lewi’s does not compromise with its quality and its pricing is confident enough thanks to its strong loyal customers base.
3. Place Mix of Levi’s
Levi’s started with a factory of its products as their distribution channel now reached its online web presence. The business was started in the city of San Francisco and now operates in various other parts like India, Japan, Australia, China, Singapore, and Sri Lanka. Levi’s has its manufacturing units in every country, with its organized distribution channel reaching out to every segment and age group of customers, you can easily find out their product at places. Levi’s distribution channels include:
- Franchisee to dealers who are interested to become a part of Levis
- Wholesales and retails
- Warehouses in every country for a fast distribution channel
- Levi’s official website, which provides a user-friendly and hassle-free buying process to its customers.
- Other online e-commerce portals
4. Promotion Mix of Levi’s
Levi’s promotional strategies are unique in themselves and cool enough to attract a chunk of youth. As the Indian previous ambassador of Levi’s – Akshay Kumar and present – Deepika Padukon are also a style icon and youth activist, their attracting posters and billboards which represent “Be Yourself” and “Live Unbuttoned”, provides a message of independence and freedom of life. Which attracts youngsters to buy and follow the trend of Levi’s. The main advertising mediums of Levi’s are:
- Magazines of fashion
- Banners and billboards etc.
Some unique promotional launches make customers day-to-day life a bit easy:
- Reversible Jeans
- High loose range of fits for a comfy life
- Waterless technology
- Women’s fits to make a style statement
Not only now, but Levi’s is a horse in the market of promotional strategies which mainly focus on adding peace of value in people’s lives. Through its vast promotional skills makes Levi’s a step ahead of its competitors.
SWOT Analysis of Levi’s
Whether the company is small or a global brand, it should conduct a SWOT analysis to improve its performance in the market. Levi’s SWOT- strength, weakness, opportunity & threats analysis is as follows:
1. Strengths of Levi’s
- The old global presence and brand value in the market
- Being innovative by updating with youth
- Solid distribution channels from decades
- Holistic way of approach towards the impact on the environment
- Sustainable clothing brand
- Outsourcing in different sectors: sports, planet, youth, women, personalize tailor shop
2. Weaknesses of Levi’s
- Higher competitive market
- Insecurity of brand image because of duplicity by faith on autonomous manufacturers
- Only upper and middle classes prices
- Depended on wholesale customers
3. Opportunities of Levi’s
- Jeans and pants for the old age group, engaging them with the modern era
- Pricing for every class to become price competitive
- More online engagement
- Becoming top environment concerned brand
4. Threats of Levi’s
- Increasing competition from local brands
- The fast pace of innovation and trends
- Competitors and Local brands approaching e-commerce due to an increase in the number of users shifting online
- Affordable prices by other brands for every class of people
When talking about a company’s threats and weaknesses, the first thing that comes to our mind is a competitor. Let’s have a look at the list of competitors of Levi’s.
Many rivals in the market affect the market share of Levi’s:-
- Lee Jeans
- Pepe Jeans
- Calvin Klien
- True Religion
- Armani Jeans
- Tommy Hilfiger
These are only some competitors of Levi’s, there are many other local competitors which are entering the market through the use of increasing digital presence and approaching customers through a modern marketing strategy approach.
Live with a breath! So, our small study on Levi’s marketing strategy comes to an end. Levi’s is a benchmark towards youth engagement and presenting global causes in its subtle way. What makes Levi’s different from other brands is its approach towards restoring the planet. They have an excellent geographical reach and still sustain the mindsets of customers to buy earth-friendly products from Levi’s.
As we read above Levi’s marketing budgets are set to increase the digital presence of its product more. If iconic brands are following this approach then you should also learn digital marketing from the best digital school in India, to level up your brand in the market. Before making the final decision, you should sign up for our free virtual Masterclass led by the founder and CEO of IIDE – Mr Karan Shah. Take a fair idea of digital marketing before making the final decision.