CREATING A SUB-BRAND
Andrea Gutierrez and
Andres Garzn
1849
Levis is introduced for the first time as a workers garment
1930s
Levis jeans became fashionable attributed to Western mystique
1950s
Baby boomer generation attracted to hollywood fashion..namely jeans.
Sales touched $46 mn by 1959
1960s
LS & Co. expanded lines to include women and children apparel. Sales
touched $251 mn internationally.
1970s
Baby boomers enter college and sales reach $1bn by 1975. Co.s brand strategy
changed from western image to contemporary and hip image. However target
customer base of 12-24 could not identify with Levis
1980
Rapid expansion to counter jeans sales decline. Co. entered into major
expansions e.g. $185 mn purchase of Koracorp Industries which sold hats,
womens wear, suits etc. Start of decline phase.
TIMELINE
HISTORY
Levi Strauss & Co.
Originated in 1849 to sell
durable pants to gold miners
1890: 501 Jeans evolved into
an American icon
Levis brand name became
synonymous with jeans.
1980-1982: Sales fell 10% and net income dropped
76%
Decline in jeans purchases because the baby
boomers were aging
Slacks sales increased and companies were relaxing
their dress codes
BOB HAAS
FORMER
CHAIRMAN
OF LEVI
STRAUSS & CO.
COMBINES STYLE, VERSATILITY, &
COMFORT
1986
A brand for both professional and leisure activities.
More contemporary, less conservative, and more
casual than other leading slacks.
By 1993, Dockers was a $1 billion brand
NICE PANTS
Dockers was losing existing customers and failing
to attract new customers
To counteract this: Dockers launched
its wrinkle-free and nice pants
campaign
The sexed-up campaign led
to a reversal in sales
decline.
Sales went up by 21%
Dockers gained 26% of the
khaki market share
Despite sales gains, Dockers still wanted to appeal to
younger consumers.
Dockers modified their Nice Pants campaign.
SALES
DROPPED
AGAIN
SALIENCE
First mover in new casuals category
In-store concept shops
Strateic positioning and media
strategies in both consumer and trade
markets
Diverse choice
Fantastic alternative for an optimum
fit mid-way between formals and
casuals
Market leader in the segment
Superior Quality
Innovative conceptualizations-
clothesline, stores and ad campaigns
Casual
Sophisticated
Urbane
Edgy
Comfortable
Less stuffy
Versatile
High brand awareness
Strong market penetration
Channel support
RESONANCE
JUDGEMENT FEELING
PERFORMANCE
IMAGERY
1998-2004
DIVERSIFICATION
Dockers for Her
Dockers Recode
Dockers Mobile Pant
Dockers for Girls, Boys,
Toddlers, and Infants
Dockers Travel
Dockers Headwear,
Gloves, and Scarves
Dockers Tour (golf)
Dockers Hi-Tech
Dockers was going to sell
the company but didnt.
Dockers installed a new
president to the brand:
John Goodman
Goodman established a
new logo, a new tagline,
and a reorganized mens
line.
2004: 20% sales decline
Non-iron cotton,
Stain defender
technology,
Adjustable waist
pants.
Wrinkle-free,
Customized fit,
New
Technology &
Innovation.
Quality,
Casual
Dressing,
Premium
price,
Urbane
EXTENSION
AREAS
OUTER CORE
INNER CORE
BRAND CIRCLE: DOCKERS
FOUR WEARING OCCASIONS
work weekend dress golf
Makes consumers aware of an expanded range of
product lines
Sales held flat in 2005, but there was a higher profit,
meaning higher margins (more expensive products were
being sold)
A NEW SENTENCE EMERGE FROM
ADVERTISING IN THE SUPERBOWL
Dockers launches advertising for the rest of the super bowl:
an interactive e inspirational quote for men worldwide: wear
the pants (wear pants)
DOCKERS IN 2011
SUMMARY
There was a gap in the market for
new casuals/slacks and Levi
Strauss & Co. took advantage of
this opportunity.
Dockers felt that they had to
constantly restructure their brand
to keep up with the times and
with changing consumer tastes.
