CASE ANALYSIS:

LEVI STRAUSS
Q1. Suggest the positioning and message strategy for GWG jeans range, with reasons.

Positioning helps to create a distinct image of the brand and the product in the mind of the
consumers in comparison with other products or brands. To develop an effective positioning
strategy, the process can be broken up in the following steps:
i) Positioning statement: Going to the basic structure, a typical positioning statement looks like
For (target audience), (brand name) is the (frame of reference) that delivers (benefit/point of
difference) because only (brand name) is reason to believe

For Canadian baby boomer generation, GWG is the denim line, which can be considered as a
second skin that has a lot of experience in dealing with jeans and knows what its consumers
want in terms of style. It’s not just any other jeans for the youth which the baby boomer
generation is sceptical in adopting. It is crafted specially for them offering both comfort as well
as style. This is credible as GWG has been dealing with this for ages and no new brand can beat it
in the kind of designs and comfort which it provides to its consumers.

ii) Point of differentiation While the other brands focus on selling through exclusive stores, GWG
believes in ensuring the distribution is such that it reaches every consumer and reduces their
hassle.

iii) Current positioning The current position although targets the baby boomer generation,
however, it does not give the generation what it is seeking in a denim brand, It does not give
them a reason to believe in the brand which is highly crucial at this time where the competition
is too high. So, the focus should be to get the perfect reason to believe for consumers.

iv) Competitor & its positioning analysis Designer label jeans, private label jeans and new trendy
brands such as Fubu and Paris Blues. Other popular brands include GAP, Tommy Hilfiger, Diesel,
Calvin Klein and Guess. Their marketing message and strategy focuses on how they portray their
image in the advertising activities. GWG is still focusing on the functional aspect of advertising
message. It needs to move up the hierarchy of needs.

v) Testing the effectiveness of the positioning idea Testing out the positioning statement is very
essential as this is the most crucial part amidst all the competition. Focus group discussions, In-
depth interviews should be conducted to know the aspiration of the TG from a denim brand. We
should try to figure out the physiological aspects of their life such that an effective
advertisement campaign can be designed.

Q2. What would be the profile of the primary target segment at launch?

Problem with the jeans is its association with the baby boomers. As the generation is usurped,
the association becomes more skewed towards it being a garment for the older generation. The
current TG would think thus that Levi’s is an out-dated brand. Therefore, it is pretty important
that there needs to be a change marketed towards its appeal to attract the youth, the bulk
buyers of the product
GWG has built its reputation on the basis of its durability and ensuing quality. It has been a
heritage brand in Canada and it is viewed with positivity and considered also a workman-like
outfit, more considerably so, than that of Levi’s. The current strategy takes into consideration
the fact that the jeans would be available in the ilk like that of the discount stores, such as Wal-
Mart.
The current TG also considers the same with males and female both around the age of 30-40,
primarily either working in outdoor jobs, with physical orientation like that of construction,
trucking and farming or the ones who are also working from homes. The big difference from its
previous brand association is the fact that females need to be also targeted appropriately. During
the earlier times of the 1970’s there were not many women in these types of jobs, as prevalent
now, so sustained effort needs to be made to attract this particular segment. It will help in
establishing the brand as that of an all pervasive one.
In a shorter construct, the profile of the TG would be the upcoming working class people both
male and female, unlike the previous iteration of the GWG. They believe in working hard and
thus, jeans specifically tailored to them due to its comfort and durability will be a good addition
to their daily outfit and retain their workman like appearance. The usage pattern of them would
fit with that espoused by GWG that of a sturdy jeans for most activities which should last a long
time. The current TG is not including exactly the youth of current, as with them the private labels
such as the Gap and Calvin Klein are more popular, they have become the aspirational brands in
concoction with the current attitudes and preferences of the youth. GWG would not resonate
with them and that is why a specific TG has been designed to be targeted at, where there would
be lesser competition and probability of creating one’s own niche.
The current distribution strategy of availability in the smaller discount stores, as well as regional
stores is perfectly in sync with the current target segment. These are the places where they
mostly partake in shopping.

Q3. Suggest the media channels and other communications activities for the launch.

Traditional Media:
Given that our target segment is the upcoming working class people both male and female i.e in
the age group of 25-45 years: - television, hoardings, in store communications and magazines
would be the ideal channel.
Television: - As the people in this TG would be the people with family, channels on the television
should be selected in such a manner where family shows are the main shows. Also as the TG is
the working class ideal time for advertisement would be the (7pm – 10 pm). The message in the
advertisement should be around “the jeans tailored for hardworking people”.
Magazines: - Also the consumers in our TG are likely to read Fashion & House Decor Magazines,
Magazines would be one of the effective channels for communication. Also magazines have
added advantage of providing multiple impressions because magazines are shared among
different people.
Hoardings: - Placing hoardings at the major road crossings and flyovers will help in creating Top
of mind recall in the TG. Also major hoardings near the major supermarkets can be used for
more effective communication. The message on the hoarding should be short, crisp and
attention grabber because people generally have limited time and attention span while
travelling.
In-Store communications: - In store communications is very important because it is here that
marketing wars are won or lost. Even the aesthetics of the store are an important medium of
communication. The lighting and aesthetics of the store should be such that it matches the
positioning of GWG i.e. proper blend of classical and modern. Also the salesperson, merchandise
mix form an important part of in-store communication strategy.
New Media:
Given that the target group is above the age of 30, and aimed at both men and women, the
channels that are picked will have to be ones that are regularly visited by them. For example,
Instagram might not be the best place for this target group, even though it is place that is used
by a lot of fashion companies to market their products. Instead, Facebook is the go-to-
destination for most of the consumers in the target group. They regularly like to keep in touch
with their friends and are more comfortable browsing here than on websites like Twitter, or
SnapChat. Facebook ads are targeted and among consumer industries, apparel has the highest
conversion rate at 1.24%. In addition to this, the offline stores, which are being used, are
discount stores, since the target group is perceived to be price sensitive. Facebook should go for
ads that target ‘Fans like mine’ and prominently display the discount values, and should be the
social media channel of choice. The case also mentions how prominent ads can influence the
communication of the message, and hence ads with models in the age group, or at least the
body type of the age group, along with discounts displayed should be used.