Marketing Proposal: Levi Strauss Women’s Jeans
Naomi Smith, Molli Payne,
Will Company Description We believe that business can drive profits through principles, and that our values as a company and as individuals give us a competitive advantage. Empathy — walking in other people’s shoes Empathy begins with paying close attention to the world around us. We listen and respond to the needs of our customers, employees and other stakeholders. Originality — being authentic and innovative The pioneering spirit that started in 1873 with the very first pair of blue jeans still permeates all aspects of our business. Through innovative products and practices, we break the mold. Integrity — doing the right thing Integrity means doing right by our employees, brands, company and society as a whole. Ethical conduct and social responsibility characterize our way of doing business. Courage — standing up for what we believe It takes courage to be great. Courage is the willingness to tell the truth and to challenge hierarchy, accepted practice and conventional wisdom. It means standing by our convictions and acting on our beliefs. We are the embodiment of the energy and events of our time, inspiring people from all walks of life with a pioneering spirit. Generations have worn Levi’s® jeans, turning them into a symbol of freedom and self-expression in the face of adversity, challenge and social change. Our customers forged a new territory called the American West. They fought in wars for peace. They instigated counterculture revolutions. They tore down the Berlin Wall. Reverent, irreverent — they took a stand.
Brief History
Levi Strauss & Co. has been innovating since 1873, the year we created and patented the world’s first blue jeans. And while that patent has long since expired, our commitment to innovation continues. Throughout our long history we’ve inspired change in the marketplace, the workplace and the world. We invite you to take a look at our proud heritage.
Locations While we are proud of our founding and history in San Francisco, where the company is still headquartered, Levi Strauss & Co. is today a well-established global business. We operate in 110 countries, and approximately half of our net revenues comes from outside the United States.
Recent Successes • Treehugger Best of Green Awards - Best Jeans: Levi's® Water<Less® (2011) • GoodGuide Apparel Rankings - Levi's: Number One in Jeans Category (2011) • San Francisco Business Times Green Business of the Year Award — Large Company (2009) • San Francisco Business Times Corporate Philanthropy Awards — Community Commitment Award (2010) • Catholic Charities CYO Loaves & Fishes Outstanding Corporate Philanthropy Award (2008) • World Affairs Council of Northern California Award for Corporate Citizenship in a Global Economy (2005) • The Points of Light Foundation George Bush Corporate Leadership Award &,dash; to LS&CO. Chairman Robert Haas for his strong commitment to volunteerism, both through personal example and by sponsoring employee programs (2004) • Ms. Foundation “Gloria” Corporate Philanthropy Award — to the Levi Strauss Foundation (2004)
Strategic Focus As we continue to expand around the world, our goal is always to operate in a truly authentic way wherever we source our materials or manufacture and sell our clothes. That requires recruiting the most talented local managers and workers who want to be part of a global brand that is distinct and relevant to every marketplace. It also demands an awareness of global trends and proven business practices that can be easily introduced into new markets. We are excited about the global possibilities for Levi Strauss & Co. Our presence in the United States, Canada, Western Europe and Japan is well established. In the years
ahead, our goal is to expand the Levi Strauss & Co. brands in India, China, Russia, Brazil and other emerging markets. Our success in creating truly global distribution of our products is due, in large measure, to our track record of responsible business practices. Those practices, combined with the respect we show to local communities, has helped build a brand that people love and trust.
Situational Analysis Macro environment Our commitment to sustainability goes far beyond regulatory compliance or minimizing the environmental impact of our business practices. We build sustainability into everything we do, so that our profitable growth helps restore the planet. Energy We are committed to achieving carbon neutrality and moving to the use of 100% renewable energy in our operations and our supply chain. Water We are decreasing water usage and improving water quality in significant, measurable ways. Chemicals We are minimizing the environmental impact from chemicals used in all stages of our product lifecycle. Materials We are committed to becoming a zero-waste company offering consumers more sustainable products.
Micro environment Board of Directors: Fernando Aguirre, a director since July 2010, is currently Chairman of the Board, President and Chief Executive Officer of Chiquita Brands International, Inc., a position he has held since 2004 Chip Bergh, a director since September 2011, is our President and Chief Executive Officer. He joined the company in September 2011. Vanessa J. Castagna, a director since 2007, led Mervyns LLC department stores as its executive chairwoman of the board from 2005 until early 2007.
Robert A. Eckert, a director since May 2010, is currently Chairman of the Board and Chief Executive Officer of Mattel, Inc., a position he has held since May 2000 Robert D. Haas, a director since 1980, was named Chairman Emeritus in February 2008. He served as Chairman of our Board from 1989 until February 2008 Peter E. Haas Jr., a director since 1985, is a director or trustee of each of the Levi Strauss Foundation, Red Tab Foundation, Joanne and Peter Haas Jr. Fund, Walter and Elise Haas Fund and the Novato Youth Center Honorary Board. Mr. Haas was one of our managers from 1972 to 1989. Leon J. Level, a director since 2005, is a former Chief Financial Officer and director of Computer Sciences Corporation, a leading global information technology services company Stephen C. Neal, a director since 2007, became Chairman of the Board in September 2011. Mr. Neal is currently the chairman of the law firm Cooley LLP. He was also chief executive officer of the firm until January 1, 2008 Patricia Salas Pineda, a director since 1991, is currently Group Vice President, National Philanthropy and the Toyota USA Foundation for Toyota Motor North America, Inc., an affiliate of one of the world’s largest automotive firms.
Competitors: •J Brand •Express Jeans •True Religion •Rock and Republic • Gap
S.W.O.T. Analysis Strengths- Brand loyalty, Well known company name, sustainability and reliability. Weaknesses- May be viewed as out dated, Not as popular with younger consumers Opportunities- Empower management, visual merchandisers and advertisers to recreate the Levi’s image. Threats- Many competitors who make more popular, less expensive or better quality jeans.
Market/Product Focus Marketing objectives: We plan to increase the sales of Levi Strauss jeans by 30%. We plan to find the most popular fits and sizes and focus our marketing on those specific areas. (For example, women sizes 26-32â&#x20AC;? waist who wear their skinny leg jeans)
Target Markets: Our target market includes females between the ages 18-28 who wear jeans. Once we complete our survey, we will be better able to be more specific with our target market.
Positioning Our plan is to have consumers think of Levi Jeans first when they think of jeans for going out, dressing up, or daily life. Some of our positioning ideas include a runway show in popular shopping facilities ( malls, outdoor venues) to reintroduce Levi Jeans as a trendy company with a fresh image and great products.
Marketing Program Strategies for the marketing mix Some of our ideas include a runway show in popular shopping facilities ( malls, outdoor venues) to reintroduce Levi Jeans as a trendy company with a fresh image and great products. We could also do a promotion where the customer meets with a fit specialist, tries on the jeans and receives 20% off of their purchase.
Integrated marketing communication plan with one creative execution We will communicate with the customer via social media networks, ( Facebook, Twitter, etc) word of mouth, ( especially in a heavily populated area like Chicago) print ads, and runway shows.
Evaluation and control We will measure our success by monthly sales or quarterly sales. We will get these number through a professor’s friend who works in the marketing section of the Levi Strauss company. Some of the risks are obviously failure, not understand the market, or not understanding what exactly the customer wants ( because sometimes we don’t know) and investing into a marketing plan that doesn’t pay off in the end.