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Advertising Plan of Levis Strauss Company

Table of Contents

Dedication …………………………………………………………………….. 01
Acknowledgement …...
Advertising Plan of Levis Strauss Company

Market Segmentation …………………………………………………….

22

Target Market ………………………………………………...
Advertising Plan of Levis Strauss Company

DEDICATION

• This humble effort is dedicate to the last Holy Prophet
Hazrat

M...
Advertising Plan of Levis Strauss Company

Who is the only perfect ideal of life for human peace.

• This struggle is also...
Advertising Plan of Levis Strauss Company
help. We feel motivated and encouraged every time we attend his class.
Without h...
Advertising Plan of Levis Strauss Company



To inform, persuade and remind the potential customers about its products

...
Advertising Plan of Levis Strauss Company
building upon strong heritage and brand equity as they position the company for ...
Advertising Plan of Levis Strauss Company
according to different segments defined further under segmentation. They are doi...
Advertising Plan of Levis Strauss Company
apparel. Levi's® jeans have captured the attention, imagination and loyalty of
g...
Advertising Plan of Levis Strauss Company
No. 1 khaki pant brand in the United States .In 1988, the brand launched Dockers...
Advertising Plan of Levis Strauss Company
•

COTTON PANTS

•

ACCESSORIES

•

BELTS

•

SUNGLASSES

•

WALLETS

•

LADY’S ...
Advertising Plan of Levis Strauss Company

VISION STATEMENT:
12
Advertising Plan of Levis Strauss Company
When LS & Co. describe the future of Levi they are talking about a building on t...
Advertising Plan of Levis Strauss Company
and services. We will conduct our business ethically and demonstrate leader ship...
Advertising Plan of Levis Strauss Company

Situation Analysis

15
Advertising Plan of Levis Strauss Company

Situation Analysis
Levi Strauss and Company is approaching to the saturation of...
Advertising Plan of Levis Strauss Company

Completive Analysis:
Levi Strauss & Co. was threatened by competition, because ...
Advertising Plan of Levis Strauss Company
 Up Up-to to-date European product designs (low rise, tighter)
 Advertise jean...
Advertising Plan of Levis Strauss Company

SWOT Analysis:
Bases on the Levis Strauss unique resources and capabilities as ...
Advertising Plan of Levis Strauss Company

Weaknesses:


Levi’s products are considered as very expensive. Therefore a la...
Advertising Plan of Levis Strauss Company

KEY PLANNING DECISIONS

21
Advertising Plan of Levis Strauss Company

Marketing Objectives:
 To improve leadership market position and superior prod...
Advertising Plan of Levis Strauss Company

SCANNING THE MARKETING ENVIRONMENT:

Like other successful companies, Levi’s al...
Advertising Plan of Levis Strauss Company
suggested that brand extensions would sap market clout from the established prod...
Advertising Plan of Levis Strauss Company
population in cities, regions, and country; age distribution and ethnic mix;
edu...
Advertising Plan of Levis Strauss Company
 Occupations:
In the occupational segmentation they have segmented their market...
Advertising Plan of Levis Strauss Company
Italy, Jordan, Latvia, Liechtenstein, Lithuania, Luxembourg, Kazakhstan,
Kuwait,...
Advertising Plan of Levis Strauss Company
 Brand loyalty
 Usage rate
 Benefits

Segmentation

Data

Variables
Geographi...
Advertising Plan of Levis Strauss Company

Psychographic

Social class

Working class, Middle class, Upper class.

Lifesty...
Advertising Plan of Levis Strauss Company
•

Upper Class
People who belong to this class they always to experience those p...
Advertising Plan of Levis Strauss Company
JEANS is fulfilling the conditions for effective segmentation.
Segments are stro...
Advertising Plan of Levis Strauss Company
and promotion. Note that the four Ps represent the seller’s view of the marketin...
Advertising Plan of Levis Strauss Company
•

Size

VARIETY:
Levi’s products today are perceived by many as a symbol of you...
Advertising Plan of Levis Strauss Company

Brand Personality of Levi’s:
Brand personality is a set of human charectraristi...
Advertising Plan of Levis Strauss Company
Competitive Advantages
 Levi’s never compromises on quality.
 Levi’s

products...
Advertising Plan of Levis Strauss Company

Execution Plan

TV Ad
Levi’s is very famous all over the country, people who we...
Advertising Plan of Levis Strauss Company
that they wear is not the actual jeans. In our ad we have shown just products es...
Advertising Plan of Levis Strauss Company
The same print media ad will be show in these selected medium to create long ter...
Advertising Plan of Levis Strauss Company

Evaluation

Evaluation:
After implementation our plan our next step that is ver...
Advertising Plan of Levis Strauss Company

Before Execution:
Before execution evaluation strategy helps to make decision w...
Advertising Plan of Levis Strauss Company
After the execution sales have checked. The sales of 30 days after execution of ...
Advertising Plan of Levis Strauss Company

Budgeting

All You Can Afford:
Levis Strauss Company has a very big market and ...
Advertising Plan of Levis Strauss Company
are very renowned personalities and they charge a big amount for it. So the adve...
Advertising Plan of Levis Strauss Company
19:3022:00

25000/30
sec

This is Prime
time
includes
major
running
dramas

10

...
Advertising Plan of Levis Strauss Company
TV for external
information
like
politics,
economy,
national and
international

...
Advertising Plan of Levis Strauss Company
medium. These ads would be played 20 times a day on hourly Basis in form of Time...
Advertising Plan of Levis Strauss Company

Billboard of different sizes will be displayed in major shopping areas and loca...
Advertising Plan of Levis Strauss Company
the newspaper on which the advertisement will be shown. Rates and size are given...
Advertising Plan of Levis Strauss Company

Media Strategy

Media Strategy:

49
Advertising Plan of Levis Strauss Company
Media strategy is choice of media to attain desire results from the ad. If our a...
Advertising Plan of Levis Strauss Company

Reasons to Choose Newspapers:
The reason to choose newspapers is, we can attrac...
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  1. 1. Advertising Plan of Levis Strauss Company Table of Contents Dedication …………………………………………………………………….. 01 Acknowledgement …………………………………….…………………….. 02 Executive Summary ………………………………………………………….. 03 Introduction …………………………………………………………………… 04 History …………………………………………………………………………... 05 Brands ………………………………………………………………………….. 06 Values ………………………………………………………………………….. 09 Vision Statement …………………………………………………………….. 10 Mission Statement …………………………………………………………… 11 Aspiration Statement ……………………………………………………….. 12 Situation Analysis …………………………………………………………….. 14 Competitive Analysis ……………………………………………………….. 14 Current Market Need ………………………………………………………. 15 SWOT Analysis ………………………………………………………………… 17 Objectives …………………………………………………………………….. 20 Scanning Environment ……………………………………………………... 21 1
  2. 2. Advertising Plan of Levis Strauss Company Market Segmentation ……………………………………………………. 22 Target Market ………………………………………………………………. 28 Marketing Mix ………………………………………………………………. 30 Product Attributes ………………………………………………………… 31 Brand Positioning …………………………………………………………. 32 Brand Personality …………………………………………………………. 32 Features Analysis Chart ………………………………………………….. 33 Implementation …………………………………………………………… 35 Evaluation ………………………………………………………………….. 38 Budgeting ………………………………………………………………….. 41 Media Strategy ……………………………………………………………. 48 2
  3. 3. Advertising Plan of Levis Strauss Company DEDICATION • This humble effort is dedicate to the last Holy Prophet Hazrat MUHAMMAD (PEACE BE UPON HIM) 3
  4. 4. Advertising Plan of Levis Strauss Company Who is the only perfect ideal of life for human peace. • This struggle is also dedicated to our beloved PARENTS • By the virtue of whose prayers and show hands are always raised for pray, for our well being, even at this moment of time. ACKNOWLEDGEMENT First of all we would like to thank ALLAH ALMIGHTY, who blessed us the courage to accomplish this project. Apart from the efforts of us, the success of this project depends largely on the encouragement and guidelines of many others. We take this opportunity to express my gratitude to the people who have been instrumental in the successful completion of this project. Then, there is a great contribution of our family members, who supported us with all the aspects at every stage of this project. We would like to show my greatest appreciation to Mr. Ahmad Sohail Khan. We can’t say thank you enough for his tremendous support and 4
  5. 5. Advertising Plan of Levis Strauss Company help. We feel motivated and encouraged every time we attend his class. Without his encouragement and guidance this project would not have materialized. A pleasure gratitude to The guidance and support received from all the team members who, was vital for the success of the project. We greatly mention the cooperation of team members. Team of Concept Creators, MBA 3rd, Executive Summary This integrated marketing communications plan is designed for new advertising campaign for Levis Strauss Company. Levis Strauss Company is manufacturer of jeans and many other clothing products. Brands are very famous due to style and quality and people feel prestige while using the products of Levis. The plan includes introduction history of the company and it also includes promotion analysis, corporate strategies, Objectives, relevant advertisings through different mediums like TV, Radio, Newspapers, billboards, budgeting for the entire campaign etc. After then evaluation and finally media plan has described. The overall goals for this plan are: 5
  6. 6. Advertising Plan of Levis Strauss Company  To inform, persuade and remind the potential customers about its products  Increase awareness and build primary demand  To build strong brand equity.  Build Company’s image as innovator.  To create bonds between public and Levi Strauss by helping the people.  To create the importance of its products INTRODUCTION: Levi Strauss & Co. (LS&CO.) is one of the world's largest brand-name apparel marketers with sales in more than 110 countries. There is no other company with a comparable global presence in the jeans and casual pants markets. Today, the Levi's® trademark is one of the most recognized in the world and is registered in more than 160 countries. The company is privately held by descendants of the family of Levi Strauss. Shares of company stock are not publicly traded. The company employs a staff of approximately 8,850 people worldwide, including approximately 1,000 people at its San Francisco, California headquarters. Levi Strauss & Co currently makes jeans in approximately 108 sizes and 20 finish fabrics. With 2007 net sales of $4.1 billion, the company is committed to 6
  7. 7. Advertising Plan of Levis Strauss Company building upon strong heritage and brand equity as they position the company for future growth. HISTORY Today, the Levi’s® brand is an authentic American icon, known the world over. Levi Strauss started it 150 years ago & forever earned a place in history. In 1847, Levi Strauss, his two sisters & mother sailed for America where they joined half-brothers Jonas & Louis in New York. Levi joined their dry goods business. In 18are offering many products 7
  8. 8. Advertising Plan of Levis Strauss Company according to different segments defined further under segmentation. They are doing business all over the world and expanded their outlets throughout the world. On the other side they are manufacturing their jeans and other products through outsourcing from different countries. In Pakistan Crescent Bahuman Ltd and Nishat Mills are their main manufacturers. The brands that are offering by them are given below under product offer. Product Offerings: By segmenting their target market they are offering different products to different consumers detail is given below: BRANDS: The products of Levi Strauss & Co are sold under three brands: Levi's®: Invented in 1873, Levi's® jeans are the original, authentic jeans. They are the most successful, widely recognized and often imitated clothing products in the history of 8
  9. 9. Advertising Plan of Levis Strauss Company apparel. Levi's® jeans have captured the attention, imagination and loyalty of generations of diverse individuals. As the inventor of the category, the Levi’s brand continues to define jeans wear with widest range of products available from quintessential classics, such as the famous Levi's®501® Original jean to favorite fits and styles in our Red Tab™ and Levi's® Premium collections. . Dockers®: Launched in 1986 in the United States, Dockers® brand products and marketing played a major role in the creation of a new apparel category for men's pants and the shift to casual clothing in the workplace. Dockers® Khakis quickly became the 9
  10. 10. Advertising Plan of Levis Strauss Company No. 1 khaki pant brand in the United States .In 1988, the brand launched Dockers® for Women, a feminine interpretation of Dockers® brand apparel. The line offers fashionable tops, dress and casual pants and a full range of accessories — designed to fit a variety of different body types and sizes. Today, the Dockers® brand has expanded to more than 50 countries in every region of the world with a complete assortment of stylish and innovative products — including a full line of tops, footwear, outerwear and accessories — for a broad range of consumers. Levi Strauss Signature™: The Levi Strauss Signature™ brand was launched in 2003 exclusively for consumers who shop in the mass channel. The brand gives value-conscious consumers access to highquality, affordable and fashionable jeans wear from a company and name they trust. The Levi Strauss Signature™ brand includes a collection of denim and non-denim pants, shirts, skirts and jackets for men, women and children. All designed with the high quality. Other Products offerings” • SHIRTS 10
  11. 11. Advertising Plan of Levis Strauss Company • COTTON PANTS • ACCESSORIES • BELTS • SUNGLASSES • WALLETS • LADY’S BAGS • JACKETS • SHOES VALUES: Levi Strauss & Co. has four major core values. These are 1. Empathy 2. Originality 3. Integrity 4. Courage Levi Strauss & Co. says, “Our corporate values -- empathy, originality, integrity and courage -- are the foundation of our company and corporate values -- empathy, originality, integrity and courage -- are the foundation of our company and define who we are. They underlie how we compete in the marketplace and how we behave. Define who we are. They underlie how we compete in the marketplace and how we behave.” 11
  12. 12. Advertising Plan of Levis Strauss Company VISION STATEMENT: 12
  13. 13. Advertising Plan of Levis Strauss Company When LS & Co. describe the future of Levi they are talking about a building on the foundation they have inherited: affirming best of their Company’s tradition, closing gaps that may exist between principles and practices and updating some of their values to reflect contemporary circumstances. MISSION STATEMENT The mission of Levis Strauss & Co. is to sustain responsible commercial; success as a global marketing company of branded apparel. We must balance goals of superior profitability and return on investment, leadership market positions, and superior products 13
  14. 14. Advertising Plan of Levis Strauss Company and services. We will conduct our business ethically and demonstrate leader ship in satisfying our responsibilities to our communities and to society. Our work environment will be safe and productive and characterized by fair treatment, teamwork, open communications, personal accountability and opportunities for growth and development. ASPIRATION STATEMENT: They want a company that make them proud of and committed to, where all employees have an opportunity to contribute, learn, grow and advanced based on merit, not politics or background. They want their people to feel respected, treated fairly, listened to and involved. Above all, they want satisfaction from accomplishments and friendships, balanced personal and professional lives, and to have fun in our endeavors. 14
  15. 15. Advertising Plan of Levis Strauss Company Situation Analysis 15
  16. 16. Advertising Plan of Levis Strauss Company Situation Analysis Levi Strauss and Company is approaching to the saturation of Jean Market. The fast changes in the consumer tastes, competition from both lower and high-end brands, the fast development in the modern distribution and sales technology has brought a continuous lose of market share. A new series of Engineered Jeans has been developed and launched as part of program intending to meet the needs of their major target, in order to regain lost marker share and maintain their position the industry. Their expertise in Jeans and causal dress industry will be fully exploited at world basis. This year, they intended to strengthen the promotion of this new brand. Certain resources will be allocated to their existing brands, to maintain market share of 501, enlarge market share of Dockers and slates. Communication with their customers is important for us. They will also improve their relation with them, and track the changes in the taste and need of their main target market. Information system will also be improved to enhance their ability to adapt the market change. On the other side in the Pakistan Levi Strauss & Co is facing few problems. Here due to decrease n the income level of the people people are not in this condition to buy high priced products of Levi Strauss & Co. Other issue is that the local manufacturers use the tag of highly reputed brands that’s why consumer traped and purchase these products. 16
  17. 17. Advertising Plan of Levis Strauss Company Completive Analysis: Levi Strauss & Co. was threatened by competition, because barriers of entry were relatively low in the jean market. (excluding the of entry were relatively low in the jean market. (excluding the patent) patent) •Some of Levi Some of Levi’s competitors include: s competitors include:  Calvin Klein  Gap Jeans  Denim Jeans  Stone age  Tommy Hilfiger •The entrance of new competitors had many effects on Levi’s.  Levi’’s no longer has monopoly power so now they have to set more competitive prices due to that lower profits they gain.  Availability of substitutes firm faces increase in elasticity of demand  The prices of competitor’s products are lower so consumers prefer other brands. So when their consumers purchase products from the competitors its minimizes its market share.  Competitors successfully were able to take from Levi’s market due to heavy advertising and branding. . Branding was especially effective for companies like Calvin Klein that targeted high-end consumers.  Some of the marketing strategies that competitors like Calvin Klein used to differentiate their product and brand included:  Celebrity endorsements (Calvin Klein and Brooke Shields) 17
  18. 18. Advertising Plan of Levis Strauss Company  Up Up-to to-date European product designs (low rise, tighter)  Advertise jeans as “designer.”  These advertisements were used as a barrier to entry, because of spurious product differentiation. Although Levi’’s jeans may physically the same as its competitors, consumer preferences are affected by brand name. Current Market Need: Its not just how good a product is that determines if consumers will buy it. Many people find themselves motivated by several factors when that all-important decision to purchase a specific product is made. For us it is as simple as comparing the prices, but many others there are many emotional factors that weigh heavily on their decision. Does this product make me feel good about myself? What image does this product present me with? What effect will owning this about myself? Consumers ask themselves questions such as these when making decisions about whether or not to buy something. Do people want to be like someone they see in as advertisement? This question is the basis for marketing, particularly in the clothing industry. Buyers over the years have liked the rugged. Confident, individualistic and laid back image that Levi’s give them. This image, which has been created through the company’s intelligent marketing scheme, has allowed to company to maintain its prosperity over the year. 18
  19. 19. Advertising Plan of Levis Strauss Company SWOT Analysis: Bases on the Levis Strauss unique resources and capabilities as to be the first mover in the industry and one of the ten top US recognized brand name has continue developing new products (as the Jacket with MP3) and looking after new markets this will allow to adapt to the fast consumers taste changes and to move away from the saturation of the jeans market. Strengths:  History  Pioneer in Jeans  Levi’s enjoys high brand equity. People all around the world recognize the brand name.  Levi’s products are unique and innovative in the style.  A lot of variety is offered by Levi’s ranging from sunglasses to skirts and shirts.  Diversity  The products are renowned and are considered as the most durable i.e. the long lasting products.  Levi’s follows a high standard of quality.  Expertise in jeans industry  Finance and access to international markets  Its highly expertise and intelligent management  Distribution channels and Global sourcing 19
  20. 20. Advertising Plan of Levis Strauss Company Weaknesses:  Levi’s products are considered as very expensive. Therefore a large percentage of people are reluctant to buy the products.  As no discounts are present and products are sold at fixed prices many customers are lost.  Levi’s does not provide any services like free delivery etc  Lack of control on distribution decisions ( Retailers pressure to stop selling on web) Opportunities:  Levi’s can do more well in the women section. This section is give less importance as compared to the men section.  The kid’s section, which has been started from few years, should also be given proper attention to gain customers.  Sales promotion can be increased by increasing the advertisements expenses so as to enjoy a large number of customers.  Low manufacturing and production cost in various international markets like Pakistan and Bangladesh. Threats:  Saturation of jeans market.  Local competitors in expanded markets  The threats that Levi’s faces are the competitors. Although it does not have any competitor in Pakistan but it does have some competitors at the global level.  Fast change in the consumer taste.  Economic downfall in many countries like Pakistan. 20
  21. 21. Advertising Plan of Levis Strauss Company KEY PLANNING DECISIONS 21
  22. 22. Advertising Plan of Levis Strauss Company Marketing Objectives:  To improve leadership market position and superior product and service  To maintain and protect the global brand  Increase the market share in products by annual average of 12.8% in the next five years.  Also, to maintain the global market share of denim products in the same period. Advertising objectives:  To inform, persuade and remind the potential customers about its products  Increase awareness and build primary demand  To build strong brand equity.  Build Company’s image as innovator.  To create bonds between public and Levi Strauss by helping the people.  To create the importance of its products 22
  23. 23. Advertising Plan of Levis Strauss Company SCANNING THE MARKETING ENVIRONMENT: Like other successful companies, Levi’s also has realized that the marketing environment presents a never-ending series of opportunities and threats. The major responsibility for identifying significant changes in the macro environment falls to a company’s marketers. More than any other group in the company, the marketing managers of Levis are the trend trackers and opportunity seekers. Many opportunities are found by identifying trends (directions or sequences of events that have some momentum and durability) and mega trends (major social, economic, political and technological changes that have long-lasting influence). Within the rapidly changing global picture, the marketers of Levi’s are monitoring the following six major “Environmental Forces”: • Demographic Environment • Economic Environment • Natural Environment • Technological Environment • Political-Legal Environment • Social-Cultural Environment Products, Positioning, and Market Segmentation: Advertising professionals realize that the heart of any campaign is the product and the position it holds in people's minds. Products and their brand names are newsmakers themselves. Understanding the complexities of a brand identity and its position is no easy task. One of the most controversial areas of product concepts is the brand extension. A new product gets to share the name of an older, established brand. Early theorizing 23
  24. 24. Advertising Plan of Levis Strauss Company suggested that brand extensions would sap market clout from the established product, but these fears proved groundless. Today brand extensions occur not only within the company, but companies are licensing their brand names to all kinds of products in the hope of increasing brand awareness. Target Audience- basis for segmentation: Market Segmentation: Segmentation is the basis for developing targeted and effective marketing plans. Furthermore, analysis of market segments enables decisions about intensity of marketing activities in particular segments. A segment-orientated marketing approach generally offers a range of advantages for both, businesses and customers. Market segmentation is the selection of groups of people who will be most receptive to a product. The most frequent methods of segmenting include demographic variables such as age, sex, race, income, occupation, education, household status, and geographic location; psychographic variables such as life-style, activities, interests, and opinions; product use patterns; and product benefits. Much segmentation involves combinations of these methods. No matter how segments are defined, however, they are characterized by considerable change over time. The readings in this section exemplify areas of rapid change. BASIS OF MARKET SEGMENTATION Levis Strauss Company segments its market on different basis. The detail of each segment given below in detail:  Demographic Segmentation There’s little excuse for being surprised by demographic developments. The main demographic force that marketers monitor is population, because people make up markets. Marketers are keenly interested in the size and growth rate of 24
  25. 25. Advertising Plan of Levis Strauss Company population in cities, regions, and country; age distribution and ethnic mix; educational levels; household patterns; regional characteristics and movements. The company makes clothes foe men, women, children & teens. So everyone is a potential customer for LEVI’S. LEVI’S generally appeals to more mature generations not necessarily looking to make fashion statement. LEVI’S makes an effort to appeal to all Customers in one way or another, which has been a key to their success over the years. Assuming that the world population is growing LEVI’S can infer that the market for jeans is also growing. Consist of dividing the market into groups bases on variables such as age, gender, family size, income, occupation, education, religion, race and the nationality. Levis Strauss Company’s main segmentation variables are summarized below:  Age: Few years ago Levis Strauss Company segmented its customers according to their age. Its provides all type of brands for the people of all ages for example Levis Strauss Company has huge product line from children to old people. The target audience is the young people who wear jeans as fashion. On the other hand the because LS & Co offer products for all ages so mature and old people are also come under age segmentation of target audience.  Gender: Gender segmentation of Levis Strauss Company is for male and females. They manufacture brands for both genders. Income: High income people are come in this segmentation. The prices of Levis Strauss Company is high so they only target those people who earn a good income and afford to purchase the brands. 25
  26. 26. Advertising Plan of Levis Strauss Company  Occupations: In the occupational segmentation they have segmented their market in different ways. Students, professionals, business men & women and executives.  Education: Well educated people. • Geographic Segmentation Geographic segmentation calls for dividing the market into different geographical units such as nation, states, regions, countries, cities, or neighborhoods. The company can operate in one or a few geographic areas, or operate in all but pay attention to local variations. Levis Strauss Company has segmentise ite market accordint to region that are given below:  Levi Strauss Americas Levis Strauss Americas in the company’s largest region. The Americas region markets products under the Levi's®, Dockers® and Levi Strauss Signature® brands and includes four businesses: Levi Strauss U.S., Levi Strauss Canada, Levi Strauss Mexico, and Levi Strauss Latin America.  Levi Strauss Europe, Middle East and North Africa Levi Strauss Europe, Middle East and North Africa (LSEMA) is responsible for designing, manufacturing and Countries in this Region: LSEMA markets and sells products in the following countries: Albania, Algeria, Andorra, Austria, Azerbaijan, Bahrain, Belarus, Belgium, Bosnia and Herzegovina, Bulgaria, Croatia, Cyprus, Denmark, Egypt, Estonia, Finland, France, Germany, Greece, Georgia, Hungary, Iceland, Ireland, Israel, 26
  27. 27. Advertising Plan of Levis Strauss Company Italy, Jordan, Latvia, Liechtenstein, Lithuania, Luxembourg, Kazakhstan, Kuwait, Kyrgyzstan, Malta, Mauritius, Moldova, Monaco, Montenegro, Morocco, Northern Cyprus, Norway, Oman, Poland, Portugal, Qatar, Romania, Russia, San Marino, Saudi Arabia, Serbia, Slovakia, Slovenia, Spain, Sweden, Switzerland, The Czech Republic.  Levi Strauss Asia Pacific Division: Levi Strauss & Co.'s Asia Pacific Division is comprised of subsidiary businesses, licensees and distributors throughout Asia Pacific, the Middle East and Africa The division sources, manufactures and markets Levi's®, Dockers®, and Levi Strauss Signature® products through affiliates. Countries in this Region: India, Indonesia, Japan, Singapore, Pakistan, Philippines, Korea, Malaysia , Taiwan, Vietnam. • Psychographic Segmentation Basis of Psychographic Segmentation are given below:  Life style  Activities  Interests  Personality  Values • Behavioral Segmentation In this segmentation following segments are consider by Levi Strauss Company:  Occasions 27
  28. 28. Advertising Plan of Levis Strauss Company  Brand loyalty  Usage rate  Benefits Segmentation Data Variables Geographic World region Asia Country Pakistan Cities All major cities of Pakistan Density Urban Demographic Age All Ages Gender Male, Female Family Life Cycle Young , Single; Young, Married, no children; Young, Married with children; Older, Married with children; Older, Married with no children under 18; Older, Single; Other Income 15000 and above Occupation From middle class to upper class Education Schools, College, Universities Religion Major religion of Islam, Christianity Race Asian Nationality Pakistani 28
  29. 29. Advertising Plan of Levis Strauss Company Psychographic Social class Working class, Middle class, Upper class. Lifestyle Actualizes, Fulfilled, Believers, Achievers, Strivers, Experience’s makers and Strugglers Behavioral Occasions Parties, Birthdays, Regular Islamic Occasions Benefits Quality, Style, prestige, Durability Attitude towards product Positive User Status Regular users and new users Target Market: Once the firm has identified its market-segment opportunities, it has to decide how many and which one to target. Levi Strauss has oppertunies in different segmentation. They target its market according to their brands and relating segmentation. In evaluating different market segments, the firm must look at two factors: the segment’s overall attractiveness and the company’s objective and resources. Because we are making advertising plan to keep the market of 501® JEANS targets its market by evaluating different segments. Mostly Levi’s targets its market among the following classes: 29
  30. 30. Advertising Plan of Levis Strauss Company • Upper Class People who belong to this class they always to experience those products which provide them prestige and quality products. Due to high income class they do not consider the price factor. So Levi’s is the brand that has eared popularity throughout the world and it is symbol of prestige and quality which is demanded by this class. So Levi Strauss Company is targeting this class and people from all age rang and both genders will be targeting from this class. • Upper Middle Class In this class people having good education professionals and corporate executives and business owners belongs. They have a great touch with the world and have good income. They can afford to wear costly products. So people from this class will also targeting. Target Market Strategy: Target market strategy adopted by Levis is basically on having long-term relations with their customers and to provide them with better product. Through their good quality products and best services they always attract customers. Benefits of Segmentation: Levis has got customer oriented approach by segmentation. Company is promoting its products effectively within segments by print media as well as electronic media, e.g. Newspapers, Signboards, Television commercials, Internet, etc. Company is providing their customers with stylish better quality and different product keeping in view its cost. Conditions for effective segmentation: 30
  31. 31. Advertising Plan of Levis Strauss Company JEANS is fulfilling the conditions for effective segmentation. Segments are strong enough to make profit. Segments of company are measurable Limitation of Segmentation: Because of segmentation, Levi’s faces some limitations. Lack of awareness in middle class. Company has to pay extra cost for multi-advertisement. In Pakistan they have to face several Cultural Barriers. Marketing Research: According to Levi’s marketing logistic manager, their company conducts a research to know • What’s in trend? • What are the needs of customers? Sources of Data: Levi’s gathers data from both primary and secondary sources. Secondary data is already available in the company. To gather primary data, they organize radio shows and music concerts by sponsoring. MARKETING MIX The marketing mix is the set of marketing tools the firm uses to pursue its marketing objectives in the target market. Marketing-mix decisions must be made for influencing the trade channels as well as the final consumers. McCarthy classified these tools into four broad groups that he called the four Ps of marketing: product, price, place 31
  32. 32. Advertising Plan of Levis Strauss Company and promotion. Note that the four Ps represent the seller’s view of the marketing tools available for influencing buyers. PRODUCT: “Product means set of tangible and intangible attributes which may include packaging, color, price, quality and brand plus the seller’s services and reputation. A product may be a place, service, good or promotion.” BRANDS: Brand is a name, term, sign, symbol or design that adds value to the products. LS & CO. earns remarkable revenues throughout the year coz its products are considered to be the world’s largest quality products.LS & CO. is basically divided into 3 sub brands i.e. Levi’s, Dockers and Levis Strauss Signature. All the three brands are providing different quality products. PRODUCT ATTRIBUTES: Products are usually considered to be the No.1 factor contributing towards building goodwill of a firm. A product should be unique, durable, reliable, comfortable and economical. Following are some of the basic attributes of LS&CO.’S product • Variety • Features • Design • Color 32
  33. 33. Advertising Plan of Levis Strauss Company • Size VARIETY: Levi’s products today are perceived by many as a symbol of youth, freedom, confidence, individualism, independence & comfort. LS & CO. provides a wide variety of products including: Competitors: We are much proud to say with surety that our products completely satisfy our consumers, that’s why we don’t face much competition in our business. But yet there are some competitors e.g. • CK • GAAP Jeans • Stone age • Tommy Helifiger • Our prices are not influenced by the competitors. • Such a stuff, design and fashion which don’t have the enough sales are recall back to the company. Brand Positioning: Positioning differs between countries and market segments. For example, in America and much of Europe the emphasize is on jeans as casual attire. In contrast, Pakistanis wears indicates to social fashion awareness and high status, For adolescents and youngsters adults ( 14 to 24) who want casual attire, engineers jeans by Levis provide a unique fit and functional status, unlike other competitors. 33
  34. 34. Advertising Plan of Levis Strauss Company Brand Personality of Levi’s: Brand personality is a set of human charectraristics associated with a brand. Personality is how the brand behaves. Refers to the outcome of all the consumer’s experiences with the brand, in other words, the brand personality is the weighted average of previous impressions. In the consumer’s mind, these impressions merge to form an overall concept of what to expect from brand. “We can define brand personality of Levi’s as Rebellion, sensuality and being cool.” Features Analysis of Levi’s with its competitors: Sr. Important to Prospect Levi’s CK Gap Stone Age TH 1 Quality + + - + + 2 Price - - - - + 3 Style ++ + + + - 4 Availability + - + + -- 5 Prestige ++ + + + + 34
  35. 35. Advertising Plan of Levis Strauss Company Competitive Advantages  Levi’s never compromises on quality.  Levi’s products are available in cities and towns where it has more demanded.  Levi’s is using the latest technology in its production units.  Levi’s offers a wide range of products available in its outlets. Implementation 35
  36. 36. Advertising Plan of Levis Strauss Company Execution Plan TV Ad Levi’s is very famous all over the country, people who wears jeans almost know that Levi’s products are very unique and a name of quality and prestige. For the advertising campaign of Levi’s, a ad is also made in order to give a live message to the audience about that the people who wears jeans should only wear LEVI’S jeans because the actual jeans only made by them . In the ad initially we have not shouted a video ad as run in the foreign countries because in this phase we only want to tell people that JEANS IN LEVI’S. Our message through our ad campaign will force people to think that the jean 36
  37. 37. Advertising Plan of Levis Strauss Company that they wear is not the actual jeans. In our ad we have shown just products especially jeans pints by using the photos to show people the offerings of Levi’s. Print Media Newspapers: For fashion magazines and newspapers LS&Co. is a target due to its grand brand equity ,it has become a benchmark for all the others to follow. The newspaper gives a coverage to the social events in which LS &Co takes part with great interest. Whereas fashion magazines are always dealing with the gorgeous models working with LS& Co and the unique outfits of the models Radio Because students and young blood is one the main segment of our campaign and now a days radio is very important mean to reach them because due to short time to see TV and availability of FM radio in almost every cell phones model we can easily send our message. The musical ad that will give the message about the outlet and the latest products availability will be delivered through the radio. The message will again remind the target audience our core message that “ JEANS IS ONLY LEVIS”. Internet:Levis provides up-to-date information to their customers through electronic media i.e. from their website. Billboards & banners: 37
  38. 38. Advertising Plan of Levis Strauss Company The same print media ad will be show in these selected medium to create long term brand loyalty. The billboards having pictures of products will be displays on the important places of major cities where outlets are opened. The message that will shown through billboards and banners will again the same that “ JEANS IS LEVI’S”. When people see this message again and again where they go they will definitely feel that the jeans they wear is not the actual jeans and they will rush towards the Levi’s outlets to have the real jeans. 38
  39. 39. Advertising Plan of Levis Strauss Company Evaluation Evaluation: After implementation our plan our next step that is very important is to evaluate our campaign to check our track whether we are going towards the right direction which we planned or our targets will not achieve through this campaign. The evaluation strategies that will be use are 1. Before execution 2. After Execution Now we tell you how this evaluation will be run. 39
  40. 40. Advertising Plan of Levis Strauss Company Before Execution: Before execution evaluation strategy helps to make decision wither we should run this ad or not. Many factors have to observe and after evelating the elements that were under observation decisions are made. Before execution we will observe our ad on different perameters that are given below: Storyboard Idea: For TV ad this methodology is very effective. Ad has being evelauted that what message is being conveyed and what results or how effective the message is. The actual purpose of this methodology to check that the message we have developed through our ad is receiving in the same sense or not. Behavior Analysis: This strategy has made to check the behavior of people when the ad has being exposing to them. Observers are there to watch the behavior and expressions of viewers and see whether they are receiving the actual idea and how they perceive the ad. Questionnaire Technique: In this method ad has exposed to viewers and then asked them to answer the questions given in the quetionair and then match the answers with the benchmark answers. If the answers are matcing with the benchmark answers then the ad has worked. After execution: After execution evaluation used to check wether the compieghn is getting the planned outcomes or not. Few methodologies used to evaluate the ad. Those techniques are given below: Sales volume: 40
  41. 41. Advertising Plan of Levis Strauss Company After the execution sales have checked. The sales of 30 days after execution of ad has compared with the previous few months sales volume if the sales volume has increase then the ad has done what we are expecting from it. Feelings analysis: After execution of ad the feelings of people about the brand will also check. Whether the campaign has created the good image of the brand or not. Results of Evaluation: After the evaluation phase we evaluate that the desires results that we were expecting from our campaign are meeting. The sales volume has increase and the popularity of the product has also increase. The customers who were detracted by the competitors were coming back. The purpose of campaign to tell the people that the JEANS IS LEVIS and making this phrase very popular among the consumers is achieving through this campaign. 41
  42. 42. Advertising Plan of Levis Strauss Company Budgeting All You Can Afford: Levis Strauss Company has a very big market and they sell their products almost all over the word. Their advertising budget in every region is very high and invests a big share of their earnings on the advertising. They made very costly ads because usually in their ads they use big stars like Brad Pitt and Shahid Kapoor in their ads. Their brand ambassadors 42
  43. 43. Advertising Plan of Levis Strauss Company are very renowned personalities and they charge a big amount for it. So the advertising budget has to set high. The basic purpose for choosing this method in Pakistan is that they are running advertising campaign very first time in the country. So to choose the best media and covering all targeted location through different kind of Medias to reach the target audience. The approaximately totoal budget for this campaign is 8 millions but it can be change according to situation. The allocation of budget to the different media are given below: The channels for TV ad are selected:  Geo News  Hum TV  Express News  Ten Sports Detail of time when the ad will run, duration , rates and approximately budget is given below: Hum TV: Timing Pricing Basis of Selection Days to run Time to run per Day Total Cost per day Total Cost in campaign 43
  44. 44. Advertising Plan of Levis Strauss Company 19:3022:00 25000/30 sec This is Prime time includes major running dramas 10 5 75000 750000 TOTAL 750000 Express News: 10:0000:00 10000/30 sec Mostly youth class at this time watch TV for external information like politics, economy, national and international 10 Days with little time variati ons on select ed 30 sec ad 6 time during this time 60000 Total 600000 60000 Geo News: 10:0000:00 10000/30 sec Mostly youth class at this time watch 10 Days with 30 sec ad 6 time 60000 600000 44
  45. 45. Advertising Plan of Levis Strauss Company TV for external information like politics, economy, national and international little time variati ons on select ed during this time Total 60000 Ten Sports: Timing Pricing Basis Selection During the cricket ODI Series 25000/30 sec Pakistani nation love cricket and both genders and people from all age levels see cricket matches. Total of Days to run Time to run per Day Total Cost per day Total Cost in campaign All Series 25/ each match 625000 3125000/ for one series approximately ODI 3125000 app Cost of Radio: Levis is not only advertising on Television but they are also advertising on radio. They play the vocal ads on Fm 90 and 89. Advertising on radio is basically for the people who are on roads; on the other side young generation is very good listener of fm. Due to fm availability in the cell phones, so the message can be easily convey to them through this 45
  46. 46. Advertising Plan of Levis Strauss Company medium. These ads would be played 20 times a day on hourly Basis in form of Time Check and after every time check the vocal message of Levis will announced. 100,000.00 Total Cost per city: Total Cities covered: 05   Islamabad  Lahore  Faisalabad  Total Cost: Karachi Peshawar 500,000.00 Billboards & banners: Billboards: 46
  47. 47. Advertising Plan of Levis Strauss Company Billboard of different sizes will be displayed in major shopping areas and locations near to outlets. Budget for Billboards: 10000000 Budget for Print Media: Print media is big mean to convey our message to the larg number of people. For that the newspapers like DAWN, The Nation, The News, Jang, Express, and Nawa-e-Waqt are 47
  48. 48. Advertising Plan of Levis Strauss Company the newspaper on which the advertisement will be shown. Rates and size are given below: Sr.No. Name of Newspapers No. of ads /month Size of Advertisement Rate of front Page ad/day Amount Monthly Charged 1 Dawn 5 27x4 50000 250000 2 Nawa-e-Waqt 5 27X4 45000 225000 3 Express 4 27X4 40000 160000 4 News 5 27X4 45000 225000 5 Jang 5 27X4 40000 200000 Total=1060000 48
  49. 49. Advertising Plan of Levis Strauss Company Media Strategy Media Strategy: 49
  50. 50. Advertising Plan of Levis Strauss Company Media strategy is choice of media to attain desire results from the ad. If our ad made superb but we fail to select the right media for our ad we cant successful. We selected the media for few basis, these basis are given below: Reason to choose Hum TV: Our target market is not only men or boys we are targeting ladies and children as well because of wide product range for both genders and all age levels. The bases of choosing hum TV are:  Very popular Home entertainment  Has a good market share  Young girls and ladies watch dramas and the dramas of Hum TV are very popular among them. Reason to Choose Geo News and Express News: Now a days Geo News and Express News are most popular news channels and almost every one watch these channels on routine basis. The time we have chosen for our ad is very perfect coz the programs like Aj Kamran Khan k Sath and Mere Mutabiq programs on Geo News are very popular and Kal Tak by Javed Ch is also most viewed TV show. On the other hand they cover a big market share and message through these channels can reach to maximum audiance. So for these most important reasons we choose these channels and these programs. Reason to choose Ten Sports: No doubts currently Geo sports has launched by the Geo group but this channel due to live broad casting of all cricket series has same popularity among the market we are targeting. During the matches almost whole the target market is capture by the single match and ad will be rum after every 2 or three over which will again and again reinforce our message that is Jeans is Levis with our ad that will definitely force to think people about to make a purchase for the actual Jeans. 50
  51. 51. Advertising Plan of Levis Strauss Company Reasons to Choose Newspapers: The reason to choose newspapers is, we can attract more target audience because the market we are targeting is a regular reader of newspapers and on the other hand people of all income levels, education and profession read newspapers and it covers a big target market. The printer ad on from pages with eye catching color scheme and latest designs and trends of jeans are shown to target audience with our same reinforcement message that Jeans is Levis. The basic purpose for chosen newspaper is because it gives single thought for the one topic. When people see again and again our message with our latest styles and message definitely they will rush towards the outlets for having the actual jeans. Reason to Choose Billboards: Billboards are the very good medium to convey our message to the target audience. When we display our big billboards on the most famous location which covers the most important places definitely is will work. Reason to choose Radio: Currently we can deliver our message to the large target audience through this meodium. People while driving, walking, sleeping almost evrytime they listen radio. So the message can be deliver through the radio easily. 51

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