Sunday 29 July 2012

AdvertisingLevi Type 1 Jeans

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1) Introduction to the brand and a brief description. Who makes the product? Why is it successful? What message is the manufacturer trying to communicate to the target audience?

“Levi Strauss was a visionary businessman who believed in simple and enduring ideas, such as quality and integrity.” In 185 Levi Strauss arrived on the shores of booming San Francisco and founded a company which would later become one of the worlds leading branded organisations, marketing its products in more than one hundred companies world wide. Since its founding Levi Strauss has sold more than .5 billion pairs of jeans and was described by Times magazines millennium issue as the best fashion of the 0th Century beating out the mini skirt and the little black dress.

The company’s pivotal moment came when the idea of putting rivets at the points of strain on the pants, such as on the pocket corner and at the base of the button fly. Once the patent was in place the product was brought to life through mass production. Within time all working men were buying the innovative new pants and spreading the word of its unrivalled durability.

Phil Marineau was the president and chief executive officer of Levi Strauss & Co was quoted as saying,




“Levi Jeans have been virtually worn by everyone, from the cowboys who forged the American West to the young people who tore down the Berlin Wall. Generations of people have worn Levis as a symbol of freedom, individuality and fun. This is why the brand has stood the test of time and is so appealing to today to consumers of all ages in more that 100 countries world wide.”

Originality is at the core of Levi Strauss. A pioneering spirit that started with the invention of blue jeans and permeates through the business. This year Levi Strauss has inspired a new denim line of clothing, Levi Type1 Jeans, which is the particular product covered in this report.

Although time has passed and needs have changed the essence of Levi Jeans has remained the same. Grounded in the past but re�invented, this new innovation demonstrates the boldness, the strength and the true iconic style, which still lives on in Levis. Type1 Jeans are designed for the determined and uncompromising person, the new pioneers.

After 150 years in business, Levi Type1 jeans are a celebration of the rich heritage, amplifying everything that makes Levis bolder and stronger. Echoing and intensifying the iconic trade marks that have become synonymous with Levi Jeans the deep indigo colouring, exaggerated button, striking rivets, brighter stitching and enlarged button loops.

“Levi Type1 Jeans are sexy and streetwise, this is a radical new take on a timeless style.” (Type1 website)

Branding and Levi Strauss

Branding is about making choices, helping you protect who you are or more importantly who you want to be. So brands are just a way of short cutting your, not only decision making, but also helping you define your identity.” (Chris Nhurko brand expert). Levi Jeans has two particular trademarks, which are synonymous with its name creating a unique and distinct identity

1. The distinct double arc of stitching � known as the arcuate stitching design � has adorned the back pockets of Levi Jeans since their inception and is one of the oldster apparel trademarks still in use today. This stitching represents the durability and strength of the Levi product.

. Secondly, the red tab which is evident on every pair of Levi jeans. This is the Levi trademark symbol and is used to distinguish Levis from imitations and competitors.

There are 4 different strategies, which you can approach branding with

· Corporate

· Family umbrella

· Range branding

· Individual branding

Levi falls under the corporate banner because the Levi name is the most prominent feature of the products. It is not know financially how much the Levi brand is worth but Joe Middleton, the European President of the company states “Our brand is our most important asset. It’s more valuable than our factories, our buildings, our warehouses and inventory.” (www.bbc.co.uk) Levi jeans leads the denim market (key not bulletin), which makes it easier to launch new products using the company name. This doe have certain risks such as if the product fails it could damage the brand as a whole.

The following characteristics makes the Levi Type 1 jeans unique

1. Enlarged buttons

. Enlarge button loops

. Deep indigo colouring

4. Bright arcuate stitching

5. Striking rivets

The unique selling points aim to create a bold and striking new product. Which is why they adopted a “Bold New Breed.” This new product sets out to amplify the synonymous iconic features turning them into a bold pair of Levi Type 1 Jeans

) What is the Latest advertising used? Consider ads from the same campaign but using different media in this section.

This form of advertising is known as above the line promotions, which is advertising placed in paid for media, such as the press, radio, TV and cinema. The ‘line’ is one in an advertising agency’s accounts, above which are shown its earnings on a commission basis, form the buying of media space from clients.

The purpose of advertising is to

q Create awareness

q Increase sales

q Display a product image and create associations

q Inform people about products

q Remind people about the product

q Encourage trial

q Modify attitudes

For the two different types of advertising media used by Levi Type 1 Jeans I have selected magazines and television. The Levis Type 1 advertising campaign is part of an integrated campaign including posters, and print, digital and retail, TV and cinema. The multi million pound campaign is the most expensive yet � although the company is refusing to disclose its exact cost. The catch phrase through out the campaign is “A Bold New Breed” and the defining elements which make this product unique are displayed vividly the deep indigo denim, and exaggerated buttons, rivets, stitching, actuate red tab and patch icons.

TV

The commercial is shot in Sunset Boulevard, which shows a “Bold New Breed” of Mice hybrids turning the tables on their natural predator - the cat, by kidnapping it. The mice issue a ransom demand to its owner who has to hand over bundles of cash to get her beloved pet back.

Actual real life mice were screen tested for the mice hybrid parts. They were ultimately selected if their characteristics were similar to that of the human models. The head actions of the mice were achieved by tempting them with honey sticks and the mice were even groomed before their close ups. The human bodies were used so that the sexiness of the jeans could be retained.

The background music also is used to support the overall idea of the advert. It is entitled “Payback Time” and is quite a fitting choice due to the underlying theme of revenge and rebellion which is prevalent in the advert.

Television is a useful advertising tool to use and with the growth of digital Television it looks set to improve even more. The way was cleared for digital television to go ahead by the broadcasting act 16 and sine then the market has grown quite considerably. A communications agency has predicted by 005 55% of the population of the UK will have access to digital TV.

Levis has in the past benefited greatly from advertising on TV (The 185 advert featuring Nick Karmen stripping down to his boxer shorts was credited by boosting sale by 800%) (www.levi.com) and as the market continues to grow they will be able to get their message across to a wider audience.

Advantages Disadvantages

- Reach large audience - Most expensive of all media

With single exposure

- Allows for high degree of - High production costs

Creativity

- Allows demonstrations - Lack of selectivity

- Flexibility as to scheduling - Long lead times for booking

And production

Magazines

Through the use of magazine advertising Levis has set about distilling the product down to its defining elements, highlighting the features that make this product distinctive

· The enhanced stitching

· The indigo backdrop

· Enlarged belt loops and pockets

They have still however, been careful to retain the sexiness of the human form.

The ABC Advertising Association has just said that while readership of newspapers is in decline magazine readership continues to grow, 80% of UK adults read consumer magazines and Heat magazine grew by nearly 00,000 actively purchased copies year on year. (Which is where this example is from)

The Periodicals Publishers Association had published these statistics

· Circulation has increased by 11m or .4 percent

· Consumers spend £605 million more each year on magazines

· The number of consumer magazines has increased by 5% since 1

With these facts and figures it can be said that it would be wise to advertise in magazines. Apart from it being cheaper than advertising on TV and the growth rate of the market it is also easier to target your audience. For example Levi advertises in Heat, which is read by mainly 18 � 0 year olds and is the target market Levi aims for.

Advantages Disadvantages

- High circulation - High costs of production

- High quality of reproduction - Long lead times

- Potential high prestige

- Reader motivation

Hierarchy of effects

Ranges of models have been developed that propose a sequence of response that occurs as a result of a message being received by the audience. The principle that underlies these models is that promotions act as a stimulus which gives rise to a “conditioned response”. These models suggest that effective communication must carry its audience through the sequence of responses, hence its term ‘hierarchy of effects’.

The models have many weaknesses, the most significant being their simplification of a complex psychological and behavioural process. The audience is seen as a passive recipient of messages as opposed to an active seeker and participant in the communication process. Consumer research has shown that many consumers set pre-determined parameters within which a purpose decision might be made, such as price range and style of product.

The model, which will be used to demonstrate the launching of the Levi Type 1 Jeans, will be demonstrated through the Aida Model

ATTENTION - through its unique advertising campaign Levi Type 1 Jeans should capture the attention of the consumer.

INTEREST - once the attention gained, the information and product displayed should serve to interest the consumer.

DESIRE - the product needs to be displayed in such a way so that once interest has been achieved the advert needs to provoke a desire to purchase the new Levi Type 1 Jeans.

ACTION - finally once all these stages have been passed, it is the ultimate goal for the actual products to be purchased, hence, action.

The agency used by the manufacturer to promote the brand. Include a background of the agency, any other products they promote and their role in the advertising process of your selected brand.

Leadership

Nigel Bogle, CEO

JohnHegarty, chairman & creative director

Simon Sherwood, group managing director

Sovereigns Publishing Limited has described Bartle, Bogle and Hegarty as “one of those unusual agencies. Renowned for its creativity � it has consistently outflanked its rivals at Cannes and other festival � it has an approach to developing international campaigns that is virtually unique.” BBH is credited with winning the Queens Award for Export in 16 and 17 � the only ad agency to ever achieve this � and has continually shown to a conservative advertising world that international, unifying advertising solutions are frequently best produced in one place and in 001 Marketing Magazine (UK) named BBH its “Agency of the Year.

BBH has always based its structures and processes around one primary objective to ensure the very best strongest creative ideas for their clients. The agency operates through offices in London, New York City, Singapore and Tokyo offering local and global ad services to its clients. BBH -- which was founded in 18 by John Bartle, Nigel Bogle, and John Hegarty -- is 4% owned by the advertising conglomerate Leo Burnett. Advertising Age rank the agency as the # ad organisation worldwide in 001, with estimated gross income of $74m on billings of $581m.

BBH aims to create for their clients and to lead in creating shared noise and interest around brands, to make them more valuable. Very simply BBH is the fame factory.

Ever since it’s founding in 18 BBH has been making Levi Jeans a “gotta have” fashion. Levis were on of their founding clients and this year they celebrate working together to create truly famous advertising which has helped to build one of the best known global brands and a denim market leader worldwide.

In the early 80’s Levis was in a denim market that had no clear brand leadership, sales had peaked in 181but were now in decline. The challenge to BBH was how to present the Levi 501 brand as a cool and desirable product and to drive sales. In order to do this they decided to capture the enduring values of youth

· Sex

· Rebellion

· Freedom

· Individuality

And Levis was catapulted into super stardom as the product and its advertising campaign, thanks to BBH, became a smash hit and created enormous and long lasting fame for the brand. The campaign started an immediate brand turn both in image and in sales, and in the ten years following the 185 airing Levis volume of sales increased by 80%

Beliefs

1. The power of creativity and the primacy of the idea

. Encouraging ideas from any source

. The right of everyone to be listened to

4. The fundamental importance of effectiveness and accountability

5. Processes that liberate creativity

6. Client relationships that encourage equal status, allowing best advice

7. An organisation without politics

8. Providing opportunity, stimulation and consideration to all who work with us

. The need for honesty decency and integrity in al that we do

10. The obligations these beliefs place upon us

Major Clients

§ Audi

§ Diageo

§ Electrolux

§ Interbrew

§ Whitbread

§ Polaroid

§ Sony Ericsson

§ Unilever

§ X-box

§ Johnnie Walker

Details of at least below the line techniques used by the manufacturer to promote the brand

Definition

“The planned and sustained effort to establish and maintain goodwill and understanding between an organisation and its publics.” (Institute of Public Relations)

Mechanisms

· Press releases

· Publicity

· Product or service literature

· Product placement

· Promotional videos

· Exhibitions and shows

· Sports and art sponsorship

Publicity � generating editorial coverage

When Levi Strauss died the San Francisco bulletin headline read “Levi Strauss, merchant, philanthropist, dies peacefully at his home.” Levi gave blue jeans to the world, but also exemplified leadership in business ethics and social responsibility.

Levi Strauss has generated a great deal of positive publicity through its fight against AIDS campaign. In 18 Levi Strauss became the first corporation to tackle the emerging issue of HIV/AIDS. Since that time, the company has been a leader in organising the corporate world in the fight against HIV/AIDS. Numerous organisations have recognised the company for its leadership and in 187 The New York Times wrote “Levi Strauss, the jean maker long known for its unusual commitment to employees, and for its philanthropic activities, is considered a leader in the AIDS movement.” The Levi Strauss foundation has made more than $5 million in grants for HIV/AIDS care and prevention in the last two decades. This sort of publicity enables the company to be seen more positively in the minds of people.

Press Releases � damage control

If a company is going through a crisis a press release is released which will counter the crisis which is taking place. A press release, however, is not always about damage control it can also be about new developments the company is about to embark upon, for example, a merger or a launch of a new product.

A recent press release which Levi Strauss has just issued is the exciting new launch of its website as well as the launching of a new type of Jean (see appendix). With the supermarkets battling it out to sell Levi Jeans cheaply the company countered this with manufacturing a new type of jean which can be sold cheaply and thus not affecting the prestigious images which are synonymous with the product.

Websites

Most companies of any size now have a site on the Internet and Levi is no exception. As a celebrations of its 150 year old heritage the company has just unveiled a ground breaking website which “brings to the forefront the very soul of the Levi brand and kick starts a new generation of website”. (Press Release, see appendix)

A website is a collection of screens providing information in text and graphic form, any of which can be viewed simply by clicking the appropriate button, word or image on the screen. The user generally starts at the sites home page which sets out the contents of the site. Besides the improved central navigation bar the website offers not only brand information for 8 European markets, available in five different languages (English, German, French, Spanish, and Italian) but also three ways to experience the Levi brand online

- Historical timeline which guides the user through the history of the Levi brand

- A rational experience which allows the user to navigate the content in a classic, organised way

- A random experience where the content appears randomly onto the screen

This new approach renders the site “dynamic, flexible and scalable. It creates an organic, living site rooted in the Levis brand ethos of individuality, freedom rebelliousness and pioneering edge.” (www.levistrauss.com)

The Levi website was designed by Lateral, the brand digital marketing agency. The aim is to offer a true cutting edge platform for the brand without pop ups and multiple sub sites. The designers used the catch line “make them your own” to personalise the sight according to preferences so now each time an individual logs on he will receive a totally specific and unique experience, ensuring that the site is attractive, easy to use and appealing to return to.

The Internet is reckoned to be currently the fastest growing communications medium in Britain. It is thought hat use is growing at between 10% and 15% per month. Recent research has suggested that by the end of 001 m people will have access to the Internet through work or home. The figure accounts for almost half the UK population so that is why Levi saw fit to create such an innovative website. (see appendix for print out of front page)

“I am really proud that at the same time we are celebrating the 150th anniversary of Levi Strauss & Co. and the 10 year old heritage of the Levi brand we are able to challenge ourselves more than ever and push the boundaries to offer our consumers relevant product, look and communication innovation.” (Kenny Wilson, Brand president)

Levis has realised that the internet is an important communication device, especially in the day and age and have hence designed a sate of the art Internet experience in the form of their website, ensuring an informative, easy to use interactive experience. This enables the company to portray its ethos in an accessible as well as practical way.

Sales Promotion

The Institute of Sales Promotion (ISP) defines sales promotion as “a range to tactical marketing techniques, designed with in a strategic marketing framework, to add value to a product or service, in order to achieve a specific sales and marketing objective.”

Objectives

Increase awareness and interest amongst target audiences

Achieve a switch in buying behaviour from competitor brands to your company’s brand

Incentivise consumers to make forward purchase of your brand, thus shutting out competitor purchase opportunities

Increase brand display allocated to your store

Smooth seasonal dips in demand for our product

Generate a consumer database from mail in applicants

A current sales promotion which Levi Strauss is undertaking is through the use of a “Student Snapfax” which is a magnetic booklet which is supplied to students in 17 different cities nationwide with pages of student discounts in a variety of different stores. In order to demonstrate how effective this sales promotion is I undertook a survey firstly to see how many people used their Snapfax and then of those people who used their Snapfax how many actually used it to shop at The Levi Store.



8% Used 51% used it once in Levi Store

5% Never used it 10% used it more than once

6% lost it % never used it in a Levi Store

So potentially 68 people out of 100 at universities who have access to the Snapfax shop at the Levi store making use of the sales promotion. So it can be said that the Sales Promotion is a success due to the numbers who make use of it. It is quite apt for the Levi Company to advertise in the Snapfax due to their target audience being in the 18 � 0 year old range.

Conclusion

The integrated advertising campaign which Levi Strauss has launched has been, in my opinion and a number of people I have spoken to, been very effective. The television advert due to its uniqueness is quite attention grabbing and definitely arouses interest due to the unusual concept of mice hybrids. The magazine advert is very clear and simple and distils the product down to its defining elements. The unique selling points are displayed in a vivid and simple way. The website is very clear in indicating where products can be purchased, not only in a specific country but a specific continent too. The Levi Type 1 integrated advertising campaign is very clear in identifying the brand and organisation leaving no room for obscurity. The advertising campaign is also acceptable to a range of stakeholder audiences and won’t offend anyone.

As a recommendation I feel that the website should be made more accessible when I went to browse it on my computer it had to have a specific programme downloaded in order for the web page to run. This may be off putting for a prospective customer who can’t be bothered to download the programme needed in order to browse the Levi web site.

The television advert, although unusual, should not use the mice hybrids as many people found them quite off putting. Most people whom I spoke with decided that they were not a wise option and should not be used. They were described as “too weird.” A point to mention though is that everyone who watched the advert once remembered the hybrids, although not positively, they were successful in recalling the advert to people’s minds.

I think another recommendation should be that Levi Strauss should make the television advert less busy. There is so much going at once that no one really understands the message. It is not altogether clear and only after watching it a few times does the message come across clearly. The telephone call has no meaning to some people and then only at the end to people understand the kidnapping and ransom story. The fact that everyone is wearing Levi clothes too should be played on. There are people wearing new Type 1 mini skirts but no one realises this due to the speed and sometimes obscure approach which is used in shooting the advert.



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