Customer Relationship Management (CRM)

Week #12: Customer Relationship Management
 A company wide business strategy designed to optimize profitability, revenue and customer satisfaction by focusing on highly defined and precise customer groups is what we call "customer relationship management".

Levi's Jeans is a customer relationship management system because the company focus its energies on more consumer-driven approaches. The company's efforts to appeal to younger consumers. Levi's executives steps toward this new youth market led through predictable marketing territory: sponsoring music events, researching nightclubs, using web technology to establish a link with college-age consumers. The current youth market, which has embraced bell bottoms, straight legs, boot cut, hard fit, loose fit, baggy fit, relaxed, etc.. almost every wild and unusual style of blue jeans imaginable has sorely tested the stock management capabilities of retailers.

Levi's Jeans has the capability to identify each and every customer and their relationship with their products and services. Because they are concious that understanding customers' buying patterns allows them to control product distribution, inventory and spoilage.

It also gives the opportunity to cultivate a one-to-one relationship with each customer that is the final goal of customer relationship management system.

Integrated Marketing Communications (Part II)

Levi's Strauss & Co has managed to re-invent their jeans brand through the use of different fabrics and cuts that have given their product a new, youthful look. In the product life cycle Levi's Jeans are located on the maturity stage because competition becomes fiercer, and thus persuasive and reminder advertising are more strongly emphasized. Sales promotion comes back into focus as product sellers try to increase their market share. Over the years, the company maintaned profits by providing a wide range of products, capturing new markets and increasing its market shares. Levi Strauss & Co has maintained its corporate responsible image and progressive standards on social, labor and environmental issues, which may have long-run profit opportunities in the future.

Integrated Marketing Communications (Part I)

Week # 11: Integrated Marketing Communications

Levi's adopted brand extension strategy and branched out to introduce Levi's Dockers in 1986 where diversification was built on the trend to smart office wear. Levi's executives pioneered on the concept of "casual friday" and had since managed to establish a leadership position in casual fashion.

Marketing communication is the final and most flexible element of the marketing mix. Through marketing communication firms attempt to inform, persuade and remind customers directly or indirectly about the brands that they sell. We can say that marketing communication represent the voice of the brand and the connection to build relationships with the consumers.

Levi's Dockers has established a leadership position in casual fashion. It was created as the new pants for men as more formal than jeans. The real intention behind this new creation of Levi's Dockers was to satisfy an unfulfilled need in the men's pants market and to appeal to the baby boomers' fashion demands.

In an effort to establish Levi's Dockers new casuals line, Levi's jeans executives identify their key target distribution channel by concentrating distribution in department stores and chains where its majority target consumers of 25 to 49 years old men did their shopping and where one-third of all slacks were sold.

Product Concepts (Part II)

A brand is a name, term, symbol , design, or combination that identifies a seller's product and differentiates them from competitors' products.

The brand image perceived by Levi's products includes durable, affordable, casual, fashionable and adventurous. It is also confortable enough to fit into the workers everyday lives in physical and social sense.

The 501 trademark of Levi's is an original jean, the iconic fit that's cut straight through the seat, thigh and leg. Levi's 501 had become an icon and its brand name had become synonymous with jeans where people tend to associate jeans whenever they saw the Levi's logo. It had successfully been made known to millions of americans and had established its brand image in the hearts of every consumer.

 As we know Levi's jeans positioning is derived from the combination of the brand's personality, values and its rational associations. Levi's personality composes of several characteristics or values with emotional associations, which are defined as Original , Masculine Sexy, Youthful, Rebellious, Authentic, American, Individual and Freedom.

The brand experience is the most important step into a  product's life because customers will explore positive or negative experiences with brand purchase and use.

 

Product Concepts

Week #10: Product Concepts

A product may be defined as everything, both favorable and unfavorable, that a person receives in an exchange.

Over the last four years, Levi Strauss & Co, one of the most successful companies which produce jeans are constantly changing their products because the outside world keeps changing. Customers are more demanding and powerful. They want to offer something new to people, and at the same time only the proven best quality and highest value product ever.

 In the list of top market players in the fashion industry, the most shining name is Levis fashion brand. Levi Strauss & Co was named after its founder Levi Strauss in 1853. Levi's as leading jeans brand has entered into the international parlance and flooding the market with its designer apparels. Levi's products are marketed under various brand names like Levis, Dockers and Levi Strauss signature.

Sales Promotion and Personal Selling

Week #9: Sales Promotion and Personal Selling

"Advertising offers the consumer a reason to buy; sales promotion offers an incentive to buy".

In june 2009, apparel manufacturer, Levi's Strauss India Pvt. Ltd (Levi's), offered to sell its well-know Levi's brand of jeans and other Levi's products on equated monthly installments (EMI) payable though credit cards. Executives of Levi's jeans knew that this offer would increase sales against the chaotic economy downturn. They planned to arrest its decline in sales through this innovative offer.

On the other hand, Levi's Eco line brand support the "going green" movement in order to promote the Levi's brand, this manufacturer has come out with a promotional campaign centered around their new organic line, Levi's Eco.

Levi's eco line organic cotton will be used to manufacture the clothing. Levi's executives are trying to create change in the future. They want people to buy their new line but at the same time help the environment. They try to make people concious about helping the environment just by wearing the eco line while still being trendy, fashion and concious consumers.

The promotional method used are (print and Tv), personal selling at stores. The estimated cost of the entire campaign was $6.5 millions. It is incredible how much they are willing to spend in order to create interest and build awareness of the new Levi's Eco line. Of course the most attractive target for them are the young demographic of adults 18-34 of middle income who value quality clothing and the hottest trends. Levi's jeans is sending the message that you can look hot and still be eco-friendly.

In fact, creating interest is often considered the most important use of sales promotion. On the other hand, personal selling allows the marketer or seller to communicate directly with the prospect or customer and listen to his or her concerns, answer questions, provide additional information, inform, persuade and possibly even recommend other products or services.

Levi's - America (Go Forth) Commercial

The new campaign of Levi's was filmed in Braddock, PA. The campaign plays up the concept that Braddock residents are decendents of the pioneers who first wore Levi's in 1870s. Levi's jeans executives try to involve real people in this commercial with the idea that real people work hard and they would need sturdy pair of jeans or a trucker jacket to get down to work. Also, they want to show that everybody's work is equally important and we are all workers.