Levi's Marketing Strategy In Relation To Type I Jeans Model.

3587 words - 14 pages

The Marketing Plan.1. Executive summary.2. SWOT analysis.3. Objectives and issues.4. Marketing strategy.5. Marketing mix - 4 P's - product, price, place, and promotion.6. Action programmes.7. Appendices.1. Executive summary.1. Analyse Levi's targeting of the jeans market with respect to:- product- price- place- promotion2. Using independent quantitative survey to analyse and compare the validity of Levi's marketing strategy in respect of market segmentation and promotion appeal.3. Analyse and comment on the strategy of Levi's and its approach in maintaining leadership in the jeans market.2. SWOT analysis.INTERNAL - StrengthsPosition: Levi's has a market leading position, Levi's is the most named brand of jeans bought or received in the last 2 years - 34% of men and 24% of women in a purchase survey.Brand Image: Huge promotion (August 2000) for 'Engineered' jeans (LEJ) positioned denim as 'cool' once again.Brand Image: Levi's pioneer position generates trust and loyalty through establishmentDistribution Control: EU law(*) prevents the import of cheaper goods from 'gray' markets outside the EU, without the 'brand' owners' permission. Therefore retailers such as Tesco can not sell imported Levi's at cheaper prices.Innovative Ability: Levi's definite talent to subtly change styles and create unique selling points parallels the spectrum of the segmented market (see *1)Levi's in the midst of a tough market: Internal productivity improvements are required in tough markets through well targeted investment in better merchandising systems, stock control and forecasting systems. Levi's supply chain developments have replicated these requirements. As well as improving controls Levi's has also shortened the time between stock ordering and supplyEXTERNAL - OpportunitiesSegmentation: The market has become segmented into a spectrum (*1) of looks, fits, cuts and finishes. This gives Levi's the opportunity to fully capitalize upon their strong NPD programmes. Recent conquests include Levi's Engineered jeans.Translated Desire: Youth market 'grown up' wearing brands have translated their desire toward stylish fashion brands that command premium prices.Strong Consumer Confidence: Expenditure growth faster then Personal Disposable Income growth (PDI) and individual's propensity to save decreased.Segmentation & Innovation: Levi's recognized talent to innovate and variant style (NPD) satisfies different customer groups and needs.INTERNAL - WeaknessesConcentrated Product Portfolio: Lack of diversification and placement of products in the segmented markets of the trouser market once dominated by denim.Concentrated Product Portfolio: Denim jeans are a winter range Levi's under-developed summer range leads to reliance on cold summersReducing market share: Between 1998 and 2000 Levi's (inl. Wrangler and Lee) lost market share whilst other designer (Diesel, CK) and premium brands gained market shareEXTERNAL - ThreatsDiversification: Trend to diversify into more type of...

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