LEVI STRAUSS
Natacha Jerome
History
◦Levi Strauss and Company was founded in 1853 by Levi
Strauss and Jacob Davis in San Francisco, CA
◦The blue jean was born on May 20, 1873
◦It was created to provide the durability that men
needed in their work clothing during the Gold Rush
◦ According to our historian, Lynn
Downey, The blue jean was the
only article of clothing to be
carried over from the 19th century
into the 20th century
◦ The blue jean transcends history
◦ It was there at the fall of the
Berlin wall,
◦ During the protests of the
Vietnam War
◦ Civil Rights demonstrations
◦ Women’s Rights Demonstrations
“A Style for Every Story”
◦ Divisions
◦ There are three divisions within the Levi Strauss Company:
◦ Men, Women, and Kid & Baby
◦ Products
◦ Jackets, dresses, accessories, t-shirts, jeans
◦ Within every division the item we sell the most is our blue
jean
◦ We have over 50 different styles of jeans with 4 different fits
ranging from slight to supreme curve for women
Demographics
◦Operates within 3 geographic regions:
◦Americas
◦Europe
◦Asia/Pacific
Vision
◦ “Levi Strauss & Co. is driven by strong values, creativity
and hard work. Using innovative, sustainable and
progressive practices isn’t just how we make our jeans and
other products — it’s a principle we value in all of our
work”
-Message from our CEO, Chip Bergh
Environmental Initiative
◦ Levi Strauss is a company that prides itself on innovation,
sustainability, and progress. As much as our product is
sought after, we are constantly looking for ways to
improve our business. We are a company about
business, but we do take into account that sustainability
is the foundation of future success. That is why we
implement guidelines to protect the communities of the
factory workers that make our products.
Commitment to Client Satisfaction
◦ Since the day that Levi Strauss and Jacob Davis
created the first pair of blue jeans, Levi Strauss has been
about the customer
◦ The blue jean was created as a durable work pant men
◦ As the reputation of the blue jean grew the company
sought out new ways to retain customers
◦ They branched out into different product lines and now
carry t-shirts, accessories, dresses, and so much more
Testimonials from Past Customers
◦ “ The fit of Levis jeans is incredible!”
◦ “The jeans enhanced my physique. Love them!”
◦ “Levi Strauss & Co. is making strives in the communities
they serve. With sustainability and environmental
protection are high on their list, the company and their
product have no competition.”
◦ “ The affordability and durability of their products is
better than any of their higher priced competitors,
especially Diesel”
Trucker Fit Description
◦This executive style jean jacket is one of a
kind and is a staple to any wardrobe
◦The slim cropped length makes it suitable
to go over your favorite slacks, jeans, and
dresses
◦Made from 100% denim
◦Adjustable back closure
Pictures
Sizes
◦ The Jacket will be offered in the following sizes:
◦ Extra small
◦ Small
◦ Medium
◦ Large
◦ Extra large
◦ All jackets are true to size
◦ Whether a size extra small or extra large, each jacket
will have the same look
Variations
◦The jacket is available in two different cuts and
colors
◦The Authentic Trucker Jacket and Cinched
Trucker Jacket
◦The available colors are: Windy Grey and
classic blue jean
Demand
◦Currently Levi Strauss holds 60 % of the jean
sales in the world
◦Success is due to diversification
◦The brands:
◦Levi’s
◦Dockers
◦Denizen
Advertisement
◦ We advertise our products through many different
outlets
◦ Television
◦ Online and in-store advertisements
◦ Our best source of advertisement is from our satisfied
customers who rave about our product
Competitor Comparison
◦ Our main competitor is Diesel. The main distinctions
between Levi and Diesel products is the fact that Levi’s
offers a variety of practical styles, while Diesel offers
strictly the couture look. The MSRP is also higher with
Diesel products, which makes it a brand that caters to a
niche population.
Competitor Comparison
◦ The main differences
between the two jackets:
◦ The Diesel jackets run
small and do not fit the
same with every size
◦ There is no authenticity in
the styles of jackets and
makes it hard for the
customer to wear it with
several different outfits
Style Benefit
◦ The key component to Levi Strauss products is the level of quality
they provide. In addition to this jacket being one of a kind, it is
classic in that it is true to the design of the original blue jean
created by Mr. Strauss and Mr. Davis.
◦ The jacket is an executive style jacket that can be worn in any
setting. The cropped look allows it to be paired with a pair of
jeans or dress pants.
Market Share
Levi Strauss ( 60%)
Diesel ( 35%)
Ralph Lauren ( 5%)
According to Consumer Reports, Levi holds 60% of the Market Share within the jean industry. This is
because they are able to provide their customers with quality products, that keep them coming back.
Pricing
◦ The investment would be a low wholesale price of
$40.00 per jacket
◦ Manufacturer Suggested Retail Price is $59.95
◦ Discounts
◦ Investments on orders greater than 100 jackets will be
$36 per jacket
Option 1- Suggested Order
◦ Investment
◦ 100 jackets= $3600
◦ 100x $36 per jacket
◦ Profit per Jacket :
MSRP- Investment per
jacket
◦ $59.95-$36.00= $23.95
◦ Profit for the entire order
◦ $23.95x 100= $2395 ROI
Payback Period
Number
of
Jackets
25
50
75
100
MSRP X #
of add.
Jackets=
PROFIT
$59.95 X
25=
1498.75
$59.95 X
25=
$1498.75
$59.95 X
25=
$1498.75
$59.95 X
25= $
1498.75
ROI=
Investme
nt-Profit
($3600) + ($2101.25)
1498.75=
+ $1498.75
($2101.25) =($602.50)
($602.50) $ 896.25 +
+
$1498.75=
$1498.75 $2395
=
$896.25
Option 2
◦ Investment
◦ 60 jackets= $2400
◦ 60x$40per jacket
◦ Profit per Jacket:
MSRP- Investment per Jacket
◦ $59.95-$40= $19.95
◦ Profit for the entire order
◦ $19.95 x60= $1197 ROI
Payback Period
Number
of
Jackets
15
30
45
60
MSRP X #
of add.
Jackets=
PROFIT
$59.95 X
15=
$899.25
$59.95 X
15=
$899.25
$59.95 X
15=
$899.25
$59.95
X 15= $
899.25
ROI=
Investme
nt-Profit
($2400) + $ ($1500.75)
899.25=
+ $899.25
($1500.75) =
($601.50)
($601.50)
+
$899.25=
$297.75
$
297.75
+
$899.25
= $1197
Option 3
◦ Investment
◦ 40 jackets=$1600
◦ 40x$40 per jacket
◦ Profit per Jacket
MSRP- Investment per jacket
◦ $59.95-$40= $19.95
◦ Profit for the entire order
◦ $19.95x40 = $798 ROI
Payback Period
Number
10
of Jackets
20
30
40
MSRP X #
of
Jackets=
PROFIT
$59.95 X
10=
$599.50
$59.95 X
10=
$599.50
$59.95 X
10= $
599.50
$59.95 X
10=
$599.50
ROI=
($1600) + ($1000.50) ($401) +
Investmen $ 599.50= + $599.50 $599.50=
t-Profit
($1000.50) =
$198.50
($401)
$198.50+
$599.50 =
$798
Order Guidelines
◦ The order takes 2 weeks to be processed
◦ The buyer is required to pay 50% of the investment upon
arrival of merchandise
◦ The remaining 50% of the investment is due 3 weeks
after the order has arrived
Warranty
◦ Full refund on damaged or faulty merchandise
◦ If you are not satisfied with the sales of the jackets you
can return unsold jackets for a full refund or credit to be
used towards other Levi Strauss items
◦ Levi Strauss sales representative will be able to assist with
the following:
◦ Product placement in order to maximize space
◦ Construction of free-standing display that will limit
back stock of jackets
◦ Further questions that may arise