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Levi Strauss & Co: 3 business strategies  

Levi Strauss & Co, famous for its jeans, highlighted three of its business strategies with which it aspires to be the best apparel company in the world.In the fiscal year ended last November 26, the company had net revenues of 6.179 billion dollars, an advance of 0.2% year-on-year.Since its beginnings in the gold rush of California, United States, Levi Strauss has become one of the largest branded apparel companies in the world.

Levi Strauss

With sales in 110 countries, the company reduced its net profit by 56.1% in the last fiscal year, to 249.6 million dollars.Its business strategies in commercial terms focus on its core strengths and prioritize the most important areas that the company believes will drive long-term success. Prospectively, Levi Strauss believes that these long-term business strategies will enable it to achieve annual net revenue growth of approximately 6-8%, reaching approximately $9 billion to $10 billion in total net revenue.At the same time, they will enable the company to increase adjusted EBIT margins to approximately 15% over the long term.The following three «where to play» options serve as its strategic framework for what it intends to achieve:

Brand-led

The company plans to continue to elevate and strengthen all of its brands by integrating product, design, positioning, marketing and consumer experience to ensure they are the «Center of Culture.» Levi Strauss will drive growth in women’s apparel and blouses through an increased focus on denim apparel and lifestyle, building end-to-end capability in key lifestyle apparel categories beyond jeans. 

DTC First

Levi Strauss believes its direct-to-consumer (DTC) channels enable it to showcase the full expression of its brands and drive category diversification, while enhancing consumer connections. As a result, the company plans to continue building a harmonized omnichannel marketplace where each channel reinforces the other, driving consumer engagement and increasing consumer satisfaction. This requires greater investments in its stores, expanding our physical retail presence with a focus on core expansion, technology to win over the consumer and its people, and enhancing its in-store, e-commerce and omnichannel capabilities to further elevate the shopping experience. 

Further diversify its portfolio

The company plans to accelerate growth in international markets, with a focus on high-growth markets.

 

Redacción Opportimes