Marketing Management

Case Study : Jeans


straight. and Wrangler. Jeans are trousers made from denim. boot cut and flare.INTRODUCTION Jeans are now a very popular form of casual dress around the world. Historic brands include Levi's. Often the term "jeans" refers to a particular style of pants called "blue jeans" and invented by Jacob Davis and Levi Strauss in 1873. Starting in the 1950s. Jeans come in various fits. tapered. especially the American Old West. "blue jeans" are particularly identified with American culture. however. became popular among teenagers. including skinny. jeans. They come in many styles and colors. . Lee. originally designed for cowboys. especially members of the greaser (subculture). and have been so for decades.

jean cloth was made from a mixture of things. which made jean cloth a dark blue colour. gold was found in California (not too far from San Francisco) and the famous Gold Rush began. The word 'denim' probably came from the name of a French material. where he started a wholesale business. supplying clothes.. jean cloth was made completely from cotton. was named after sailors from Genoa in Italy. called jean. DYE: (v) to change the colour (n) used of a to PLANTATION: (n) a large farm where a single crop is grown something. Strauss later changed his name from Leob to Levi. in the eighteenth century as trade. slave labour. The history of jeans Denim and jeans . something's WHOLESALE BUSINESS (n) buying large amounts of something & selling it to shops . In 1853. chemical change colour The 19th century – The California Gold Rush In 1848. serge de Nimes: serge (a kind of material) from Nimes (a town in France).where do the names come from? The word jeans comes from a kind of material that was made in Europe. It was usually dyed with indigo. However. The 18th century At first. and cotton plantations increased. The material. because they wore clothes made from it. a dye taken from plants in the Americas and India. The gold miners wanted clothes that were strong and did not tear easily. a man called Leob Strauss left his home in New York and moved to San Francisco. Workers wore it because the material was very strong and it did not wear out easily.

A man called Jacob Davis had the idea of using metal rivets (fasteners) to hold the pockets and the jeans together so that they wouldn't tear. so in 1872.who often wore jeans in the movies-became very popular. Cowboys . OVERALLS: (n) a loose fitting garment that covers the legs and chest How jeans became popular The 1930's: Westerns In the 1930's. which easily tore away from the jeans. Hollywood made lots of western movies. DUDE RANCH: (n) a holiday resort in the western US where people can ride horses and pretend to be cowboys Many Americans who lived in the eastern states went for vacations on 'dude ranches' and took pairs of denim 'waist overalls' back east with them when they went home. Davis wanted to patent his idea. After the war.Rivets A big problem with the miners' clothes were the pockets. PATENT: (v) if you patent something it is legally your invention and other people RIVET: (n) a strong metal fastener cannot steal it. Strauss accepted. but 'waist overalls' were introduced to the world by American soldiers. and he started making copper-riveted 'waist overalls' (as jeans were called then). he wrote to Levi Strauss and offered Strauss a deal if Strauss would pay for the patent. The label showed a picture of a pair of jeans that were being pulled between two horses. but he didn't have enough money. Levi OFF DUTY: (v) time when a soldier is not working . Levi sewed a leather label on their jeans. This was to advertise how strong Levi jeans were: even two horses could not tear them apart. In 1886. who sometimes wore them when they were off duty. The 1940's: War Fewer jeans were made during the time of World War 2.

RIVAL: something (n) in competition with you BAN: (v) forbid.and the name stayed. Rival companies. Some schools in the USA banned students from wearing denim. denim became popular with young people. like Wrangler and Lee. It was the symbol of the teenage rebel in TV programmes and movies (like James Dean in the 1955 movie Rebel Without a Cause). The 1950's: Rebels In the 1950's. began to compete with Levi for a share of this new market. Teenagers called the waist overalls 'jean pants' . order people to stop doing something .began to sell their clothes outside the American West.

The craze for jeans began to fade. The 1990's: Recession Things changed in the 1990s. Sales of jeans went up and up. In many non-western countries. painted jeans. A company that once had a 90 per cent of the market and made 90 per cent of its jeans in the US started to fray. For the dot-com dudes. . Today it has branched out to khakis and other apparel and it now parcels out 90 per cent of its production far and wide so that it can have a leg up on the fast evolving market. US companies said that they often received letters from people all around the world asking them to send the writer a pair of jeans.The 1960's: Hippies & the Cold War In the 1960's many. Blue collar made way for the white. jeans became a symbol of 'Western decadence' and were very hard to get. Denims made way for Dockers. psychedelic jeans. with their own labels on them. many university and college students wore jeans. to match the 60's fashions: embroidered jeans.. The rock-and-roll generation gave way to the hip-hop crowd. when famous designers started making their own styles of jeans. the sartorial key was khakis. Different styles of jeans were made.. The 1980's: Designer Jeans In the 1980's jeans finally became high fashion clothing.

lee. Losing market to newer and more trendier brands. The choice of youth keeps on changing. Weakness : They only focus mainly on youth that makes company weaker in marketing areas. It is a globally recognized brand all over the world. It is the oldest manufacturing company of jeans. so a company solely targeting youth needs to . shoes. and others create tough competition. jackets make the company more profitable. It is registered in more than 160 countries. Variety of products like T-shirts. STP Segmentation : Target : Positioning : SWOT Analysis Strengths : The main strength of Levi’s is its popularity. Threats : Brands like pepe. bags. The company’s products are sold in more than 60000 outlets and in around 110 countries worldwide. Opportunity : The company has more than 5000 trademark registrations and pending applications in more than 180 countries. Category : Apparel and Footwear Sector : Lifestyle and Retail Tagline : Go Forth USP : The brand id known for its denim apparels especially jeans. Competing prices with the rivals.LEVI’S Parent Company : Levi Strauss & Co.

Lifestyle. USP : The brand id known for its denim apparels especially jeans. Sector : Lifestyle and retail. and the exclusive outlets. 3. Positioning : With culture. Pantaloons etc. SWOT Analysis Strengths : 1. . The company has an in-house processing unit giving the company the competitive edge in consistently producing quality denims 4. apart from the large format stores like Shopper's Stop. Target : Young men and women from the urban areas. The company is an Indian denim brand and hence has an Indian mass appeal. Tagline : Bring it on. 2. The company has strict code of conduct and quality with almost negligible attrition rate.SPYKAR is available at over 450 MBOs across the country. SPYKAR Parent company : Spykar Category : Apparel and accessories.innovate a lot. Globus. STP Segmentation : Men and women loving denims and western comfortable clothing.

Spykar can benefit. Local market and international brands poses a risk. Limited global presence as it restricted to a small market. campaigns and stores. Opportunity : 1. The Company can do aggressive marketing in colleges and youth events. Similar designs available in other brands hence switching cost is less.The brand has tough competition and there is high brand switching 2. Weakness : 1. 2. The brand also has a stylish website giving complete information relating to its products.5.Levis 2. Competitors 1. Pepe 3. With 100 per cent FDI in single brand retail getting the nod and 51 per cent in multi-brand likely to happen.Wrangler . 2. Threats: 1.

stylish changing with variety at an affordable price. Category : Apparel and accessories. Positioning : Pepe Jeans is a premium and international brand. Nitin and his two brothers later started their own company Sholemay Ltd trading. which houses casual wear with a heart of London in it. USP : A brand. Sector : Lifestyle and Retail Tagline : Pepe Jeans London. STP Segmentation : Men and women who like contemporary style of fashion with a rebellious attitude. as Pepe Jeans. PEPE JEANS History In 1973 it was originally just a weekend road side stall on the Portobello Road Market located in west London established by three brothers: Nitin Shah.3. Target : Young urban Men and women from the upper middle class. Parent company : Pepe Jeans Incorporation. which is really innovative. Arun Shah and Milan Shah. .

The brand uses extensive advertising where the brand often teased the boundaries of acceptable social imaginary and norms. which the brand is very famous for across Europe. The brand had a different view of selling jeans and was against hanging them and even fought with the retailers to change this fashion. Opportunities : 1. 8. Pepe Jeans is present over 100 countries and employs more than 5000 employees all over the world. 2. 6. . which had a big attraction among young consumers. 5. The brand is the fastest growing denim brand and is 500 million denim and casual wear brand. The brand should expand its products and services throughout the world. The brand has signed international celebrity brand ambassadors which enhances the brand equity. Constantly changing fashion trends means inventory issues 2. 3.SWOT Analysis Strengths : 1. The brand has always been constantly producing unique silhouettes. Weakness : 1. The brand has several competitors hence high brand switching. The brand has a heavy brand following and is has a strong financial position in the denim industry. 2. The brand has entered the elite segment of the top four denim producers in the world. which was a big hit. The brand can enter into the kid’s wear segment. 7. 4.

Lee 2. levis is increasing never like before. Wrangler Wrangler Parent Company : VF Corporation Category : Apparel Sector : Lifestyle and Retail Tagline : There's a bit of the West in all of us. USP : Comfort and style at affordable rates. STP . so there are regular price wars among competitors. Competitors 1.Threats : 1. Switching cost between brands is very low. Levis 3. Increasing Competition from brands like Lee. 2.

SWOT Analysis Strengths : 1. Fluctuating currency values and economic scenario. They also have their own flagship specialty stores located at many places. Threats 1. 3. Denim industry is expected to grow at a faster rate 2. Good marketing and advertising at stores and print ads. lasting quality. Lot of options available means high brand switching. With increased interest in their own flagship brands mass merchandisers like Walmart are beginning to decrease shelf space allocated to these premium denim brands. Competitors .Companies are using new media to reach consumers 3. Weakness : 1. Increasing competition 3. Wrangler has a wide distribution channel. 2. They sell their jeans at mass merchandisers such as Walmart and Target.Segmentation : Casual wear Target : Men and women from the urban upper middle class Positioning : Tough and rugged. More global penetration and enhanced visibility.Competition from standalone specialty stores means limited market share growth 2. 2. Opportunity 1. Strong brand presence 4.

Levis 2. Strong brand presence with over 1600 points of sale in the form of MBO’s with chains a. Diversification into other product line like Killer Tees. like Shopper’s Stop. Lifestyle and their exclusive brand outlets like Klounge in all Tier-1 cities. Positioning : Denim brand with an attitude. innerwear. STP Segmentation : Fashion conscious and trendy youth Target : Youth from the Urban upper and upper middle class. Killer for her. Central. Pepe Jeans KILLER Parent company : KewalKiran Clothing Limited Category : Apparel and Accessories Sector : Lifestyle and Retail Tagline : Worship the night. Lee 3. SWOT Analysis Strengths : 1. eyewear . footwear. What’s your cut? USP : India’s first international denim brand. 2.1.

 2. Though the brand has stretched its portfolio with many diversifications it still has to heavily depend on denim wear for its revenues. The company can look to expand its manufacturing capabilities in emerging markets which would be a great boost for the brand. The entry of several international players in the retail industry after opening up of FDI . 
 3. Innovative ad-campaigns have made a strong connect with the youth which is their main target audience. Weakness 1.
 2. South-East Asia since make it a complete lifestyle brand. Africa. The brand is facing increasing competition from the other sibling brands of the parent company like Lawman and Integriti which too are emerging in denim wear. Opportunity 1. Threats 1. The brand can also start online stores for selling its merchandise as it has emerged as an effective medium for selling. The brand is facing increasing competition from the other sibling brands of the parent company like Lawman and Integriti which too are emerging in denim wear. Weakness 1. The government tax policies on apparel are set to increase the unit cost. The brand effective in its advertising can also look at green campaigns which is attracting a lot of attention these days.
4. Self-procurement and manufacturing facilities has been a great strength for the brand as it 5 units with an annual capacity of over 30 lakh pieces. Brand has been termed as India’s first international denim wear brand with it exporting denim wear to Middle East. 
2. 3. Highly fragmented fashion industry which would involve low customer loyalty.
 3. USA. Though the brand has stretched its portfolio with many diversifications it still has to heavily depend on denim wear for its revenues.

Flying machine.e. Market Share based on Gender : .would also pose as a threat for the brand. Other brand includes UCB. Diesel Market Share Now let us see the market share of the above brands in India. followed by Pepe at 14%. Pepe Jeans 2. Levis 3. GAS. Competitors 1. etc. 49%. The Market Share for Levis is the highest i.

we can .Average rating : Brand Loyalty In the end looking at all the brands and considering the brand loyalty of all the brands.

wikipedia.conclude that Levis has the highest brand http://en. Bibliography .wikipedia.

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