Levi’s Sales Strategy and Plan
I. Defining Sales Objectives
1. Analyzing the Business Environment
SWOT Analysis
Strengths:
Iconic brand with over 150 years of heritage in denim.
Strong global presence with a robust distribution network in 120 countries.
Commitment to sustainability, appealing to eco-conscious consumers.
Direct-to-consumer model enhances customer experience and margins.
Weaknesses:
Higher price points compared to competitors, limiting appeal to price-sensitive markets.
Limited awareness of high-profile collaborations (e.g., only 46% of consumers aware of
Deepika Padukone partnership).
Reliance on wholesale channels historically, requiring a shift to direct sales.
Opportunities:
Growing demand for sustainable and comfortable fashion, especially among millennials
and Gen Z.
Expansion into emerging markets like Latin America and Asia-Pacific.
Leveraging digital platforms and influencer marketing for broader reach.
Threats:
Intense competition from affordable brands (e.g., H&M, Zara) and premium denim
brands (e.g., Diesel).
Supply chain disruptions due to global trade policies and tariffs.
Rapidly shifting consumer trends and microtrends on platforms like TikTok.
Competitor Analysis
Competitors: H&M, Zara, Diesel, Wrangler, and unbranded retailers.
Strategies: H&M and Zara focus on fast fashion with lower prices, while Diesel targets
premium denim with bold aesthetics. Wrangler emphasizes rugged, affordable denim.
Unbranded retailers dominate price-sensitive segments in markets like India.
Market Share: Levi’s holds a significant share (~INR 50 crore in India’s denim market),
but unbranded retailers dominate the broader INR 30,000 crore market.
Strengths/Weaknesses: H&M and Zara excel in speed-to-market but lack Levi’s
heritage. Diesel competes in premium segments but has less global reach. Unbranded
retailers lack brand loyalty.
Market and Customer Research
Target Customers: Fashion-conscious consumers aged 18-35, particularly millennials
and Gen Z, with incomes of $30,000-$45,000. Female consumers are a growing focus,
representing one-third of sales but with potential for more.
Needs and Preferences: Customers prioritize comfort, sustainability, and trendy designs.
They value Levi’s heritage but seek versatile, affordable options. Active on platforms like
Instagram, TikTok, Zomato, and Myntra, they engage with influencers and seek social
validation.
Market Segments: Women’s denim (INR 3,000 crore in India), sustainable fashion
enthusiasts, and emerging markets (Asia-Pacific, Latin America).
