Business studies

project

Marketing management (JEANS)

 Acknowledgement

I would like to thank my thank my business studies

teacher Mrs. Sopilla Nile for helping me out with
my selection for the project. She also helped me with
ideas and concepts for the project.

My parents who encouraged me and helped

finding the details and providing me with contacts
and helping me with the field reports.

My friend, ishwari who gave me ideas for my

product and would discuss and solve my problem
anytime.
 Introduction
Jeans are trousers made from denim or dungaree cloth.
Often the term "jeans" refers to a particular style of trousers
called "blue jeans" and invented by Jacob Davis and Levi
Strauss in 1873. Starting in the 1950s, jeans, originally
designed for cowboys, became popular among teenagers,
especially members of the greaser subculture.

Jeans were first designed as durable trousers for farm

workers and miners in the states of the American west. A
Nevada tailor, Jacob Davis, had the idea of
using copper bolt sat the corner of the pockets to make
them stronger. They became popular instantly and soon
many people bought them.

Although Davis knew that he had a great product which

many people wanted to buy, he didn’t have the money
to patent it. He asked Levi Strauss, who supplied him
with cloth, to help him out. The two worked together and
started making jeans out of denim, which was more
comfortable and could be easily stretched. It also became
softer as it got older. They were dyed with indigo because
it did not go through the cloth like other dyes do.
Initially, jeans were simply sturdy trousers worn by factory
workers. During this period, men's jeans had the zipper
down the front, whereas women's jeans had the zipper
down the right side

After James Dean popularized them in the movie Rebel

without a Cause, wearing jeans became a symbol of youth
rebellion during the 1950s. Because of this, they were
sometimes banned in theaters, restaurants and
schools. During the 1960s the wearing of jeans became
more acceptable, and by the 1970s it had become general
fashion in the United States for casual wear.

In 1885, jeans could be bought in the US for $1.50 .Today,

a pair of durable jeans can be purchased in the United
States for about $40.

Denim refers to the fabric and Jeans refers to pants made

out of denim. So actually, Denim can mean either pants,
skirts, jackets. Jeans mean specifically denim pants.
 1. Levi Strauss
Levi Strauss & Co. also known as LS&CO or simply Levi’s is a privately
held American clothing company known worldwide for
its Levi's brand of denim jeans. It was founded in 1873 when Levi
Strauss came from Buttenheim, Bavaria, to San Francisco,
California to open a west coast branch of his brothers' New York dry
goods business. In 1873 Levi Strauss and tailor Jacob Davis received
a U.S. patent to make the first riveted men's work pants out of denim:
the first blue jeans.

The price range:-

Denizen- 1099 to rs. 2999

Sykes- rs. 3000 to rs. 9000

Parent Company Levi’s Strauss and Co.

Category Apparel and Accessories

Sector Lifestyle and Retail

Go Forth; Levis. Original jeans. Original people; A style for every

Tagline/ Slogan story; Quality never goes out of style

USP Oldest Jeans Brand yet modern. ( curve ID, waste<less)

Segment Upper class and Upper Middle Class

Target Group People who want a blend of style and Comfort

Positioning Outgoing and stylish quality jeans

1.Strong Brand Name and popular top-of-the-mind brand

2. Expertise in Jeans Industry

3. Distribution Channels and Global Outsourcing

4. Has over 470 self operated stored globally managed by 16000+

employees
5.Levi’s marketing includes retro popular songs in its TVC ad
campaigns
6.Over 60 and 25 manufacturing plants in US and abroad
Strength respectively

1.High Pressures of Brand Protection

Weakness 2. Increasing competition means limited scope for growth

 2. Pepe jeans
Pepe Jeans London is a denim and casual wear jeans brand that
was established in the Portobello Road area of London in 1973.
From its origins as a tiny market stall to more than half a US billion
dollar brand, Pepe has transformed itself into a Jeanswear label
found throughout Europe.

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, Arun Shah and Milan Shah. Nitin and
his two brothers later started their own company Sholemay Ltd
trading, as Pepe Jeans. The brand was named "Pepe", because it was
a short word that could be written without much trouble.

Pepe Jeans was launched in India in 1989. The brand is currently a

leading player in the premium jeans and casual wear segment,
enjoying a market share of more than 25 percent.

The price range: starts from rs 999 to rs 3299.

Parent Company Pepe Jeans Incorporation

Category Apparel and accessories

Sector Lifestyle and Retail

Tagline/ Slogan Pepe Jeans London

A brand, which is really innovative, stylish changing with variety at an

affordable price. (animal prints , adults and children section, season
USP looks)

Men and women who like contemporary style of fashion with a

Segment rebellious attitude.

Target Group Young urban Men and women from the upper middle class

Pepe Jeans is a premium and international brand, which houses casual

Positioning wear with a heart of London in it.

1. Pepe Jeans is present over 100 countries and employs more than
5000 employees all over the world.

2. The brand had a different view of selling jeans and was against
hanging them and even fought with the retailers to change this
fashion, which was a big hit.

3. The brand has entered the elite segment of the top four denim
producers in the world.

4. The brand has signed international celebrity brand ambassadors

Strength which enhances the brand equity.

1. Constantly changing fashion trends means inventory issues

Weakness 2. The brand has several competitors hence high brand switching
 3. Lee
Lee is an American brand of denim jeans, first produced in 1889
in Salina, Kansas. The company is owned by VF Corporation, the
largest apparel company in the world. Its headquarters is currently
in Merriam, Kansas, just outside of Kansas City, Missouri. The
company states that they are an international retailer and
manufacturer of casual wear and work wear and that they have
more than 400 employees in the United States. In Australasia, the
brand is owned by Pacific Brands since 2007. The company was
formed in 1889 by Henry David Lee as the Lee Mercantile Company
at Salina, Kansas producing dungarees and jackets.

Price starts from: rs 1999 to rs. 2899

Parent Company VF Corporation

Category Apparel and accessories

Sector Lifestyle and Retail

Tagline/ Slogan A Lee is you; A Lee Dont Lie; Own the moment

A company which has rich heritage, Innovative designs and socially

responsible organization.( fit finder, vibrant colors offered , for rough
USP use, clearance offers)

Men and Women who want to wear stylish and innovative jeans at an
Segment affordable price.

Target Group Young urban men and women from the upper middle class

A stylish brand with a sporty look with an American imaginery to the

Positioning brand.

1. The brand has over 100 stores all over the world and employs over
500 people in the USA.
2. The brand has been known as one of the top jeans producers all
over the world.
3. The brand is known for its innovation through out the century and
known for inventing the zipper fly jeans.
4. Lee was one of the first jeans brand to start advertising through
Strength television and has continued extensive advertising throughout.

1.The brand has not established itself in the e-commerce arena that
well in Asia where the brand has a significant market share.
2.The brand has had problems in distribution of the updated stocks in
Weakness parts of Asia and Europe.
 4. Wrangler
Wrangler is an American manufacturer of jeans and other clothing
items. The brand is owned by the VF Corporation, who also own
Lee, Jan Sport, and The North Face, among others. Its headquarters
is in downtown Greensboro, North Carolina in the United States,
with production plants in a variety of locations throughout the
world. Wrangler Jeans were first made by Blue Bell, who acquired
the brand when they took over Casey Jones in the mid-1940s. Blue
Bell employed Bernard Lichtenstein ('Rodeo Ben'), a Polish tailor
from Łódź who worked closely with cowboys, to help design jeans
suitable for rodeo use

Price from: rs. 1695 to rs. 3295

Parent Company VF Corporation

Category Apparel and Accessories

Sector Lifestyle and Retail

Tagline/ Slogan No matter where the destination, where your heart out

Comfort and style at affordable rates. (jeans and jackets , dominated

USP by men section clothes, cowboy, rock cult cut)

Segment Casual wear

Target Group Men and women from the urban upper middle class

Positioning Tough and rugged, lasting quality

1. Wrangler has a wide distribution channel. They sell their jeans at

mass merchandisers such as Walmart and Target.

2. They also have their own flagship specialty stores located at many
places

3. Strong brand presence

Strength 4. Good marketing and advertising at stores and print ads

1.Competition from standalone specialty stores means limited market

share growth

Weakness 2. Lot of options available means high brand switching

 5. Diesel
Diesel S.p.A. is an Italian design company. It is best known for
luxury, prêt-a-porter clothing aimed at the young adult market.
The company is owned by its founder Renzo Rosso, and is based in
the former Laverda building area in Breganze, northern Italy. The
company was founded by Renzo Rosso in 1978. Diesel's milestone
years include 1985, 1988 the hiring straight out of fashion college of
ex-head designer and Creative DirectorWilbert Das, 1991
(beginning of the international marketing strategy) and 1996
(opening of Diesel's first flagship store on New York City's Lexington
Avenue)

Price starting from: rs 899 to rs. 2999

Parent Company Diesel S.p.A.

Category Apparel and Accessories

Sector Lifestyle and Retail

Tagline/ Slogan For Successful Living

USP Complete lifestyle brand. (diesel black gold,55dsl)

Segment Young men , women and children who are very fashion conscious

Target Group Urban upper-middle and upper class

Positioning A complete fashionable lifestyle brand

1.A complete lifestyle brand known for its luxury and pret-a-porter
clothing aimed at young adult market
2. The exclusiveness strategy which saw them intentionally shrink
from 10000 points of sale 5000 points of sale
3. Strong advertising strategy which sees them building stories
around pictures.
4.The diversification into other merchandise like sunglasses ,watches,
perfumes, footwear makes it a complete lifestyle brand
Strength 5. Has over 2500 employees serving in 80 countries

1.Their main product Diesel jeans is expensive and only available to a

select few
2.Majority of sales revenues come from designer jeans. A slight dip in
the demand of it may see a major drop in sales
Weakness 3.Replica products and fake imitation affects brand image
Why have I selected this product?
Jeans is for everyone, young and old. If you have an innate eye for
fashion, a jeans company is one business you can start.

Knowing what types of jeans sell best. Survey, checking magazines to know
what fashion icons and celebrities wear, attending fashion shows to form
network within the industry, and reading fashion reviews for updates) are
the knack . Customers usually look for style first then narrow it down to the
color of their choice and the size that fits them.

Jeans is a huge trend in nowadays as it is very comfortable, durable and

preferred by many people not considering the age bar.

The production and manufacturing of jeans is also very easy as no

particular license or permission is to be obtained for producing the jeans.
(For setting up a factory or shop licenses and permission are mandatory in
all the sectors). Obviously at the end there is a quality check which is
again mandatory in all goods after their production.

Thus manufacturing of jeans is preferred as not many legal restrictions

are imposed and has a mass and growing demand for them.

Nature of the product

Product is an element of marketing mix representing the tangible and
intangible elements offered to the customer in order to satisfy his need.

Product is the most visible component of the marketing mix.

Customers do not buy a product but rather they buy what the product does
for them ( core, expected and augmented benefits)

Jeans is a tangible good with associated attributes. Jeans is a consumer

good i.e it is used by the consumers directly.

It is classified as a shopping product which means it is purchased after a

comparative analysis of quality , price , warranty etc. of competitive
brands .
 The manufacturing process
A. Jeans’s manufacturer--sewing factory

First, sewing factory must select the right denim fabric, make many
pair of trousers leg, then send them to the washing factory to check
the shrinkage rate.

Second, to design or prepare the urgently needed accessories such as

trade mark, washing mark, size mark, printing, embroidery, etc. the
less urgent ones can be done next time.

B. Jeans’s manufacturer--Embroidery and printing factory.

After the denim fabric was selected, crafts factory must start to make
sample for embroidery and printing till approved, then immediately
start production.

C. Jeans’s manufacturer--Crafts factory.

When the jeans are sewed, desizing first by washing plant, then
crafts factory will treat the jeans by monkey wash, sand blast, winkle
treatment, etc. The crafts must be the same as customer’s
requirements.

D. Jean’s manufacturer--Washing factory

Jeans washing is of critical importance for all the work, if this is

done successfully, the jeans are almost finished.

E. Final treatment

A through quality check must be performed after the final treatment

is finished, final treatment are leather label stitching, ironing, rivet
punching, logo hanging, excessive thread cutting, packing, etc.
final treatment are done by the sewing factory or washing factory.
 Different varieties of jeans manufactured by
our company
Right hand twill - Using uniform yarns, this weave is considered
more rugged.
Left hand twill - The weave runs diagonally, resulting in a softer,
loftier feel.
Ring Spun Denim - The original denim fabric, which is known for
its characteristic slubs.
Open-End Denim - The most popular type of denim that results in
a consistent yarn thickness.
Dirty denim - Filler yarns are brown (instead of natural which is
woven with the indigo) which gives the denim a "dirty"
appearance
Stonewashed - Most jeans today are stonewashed, but not in
pumice stones like the original method. Now enzymes, sand,
ceramic balls and other methods give jeans their worn look.
Flares - Slim through the legs, flaring right above the ankle -- to
about an 21+ inch opening.
Bellbottoms - Start to flare at the knee, resulting in a 22+ inch leg
opening.
Peg legs - Extremely narrow leg opening (very '80s)
Boot cut - Slim through the legs, with a slight flare at the ankle to
accommodate a boot (about a 16-18 inch opening)

The product starts from the range of rs. 400 for the customers and
goes till rs. 1500 depending upon the cut, variety and wash of the
denim.
 Branding
Branding is a process of assigning a distinctive name or a symbol to
a product by which it is to be known and remembered.

The company’s brand has been named as INBORN..!! as our company

is targeting the masses of all income levels and wants our jeans to
not just be used by the urban crowd but also the rural crowd and
people with comparatively less income as India is a population with
70% people situated in the rural area. With the production being in
large scale the cost will also (economically) come down.
As the company has just started the production takes place in small
scale.

The brand name has been registered and so is the tagline and logo..

So for trademarks and branding of the jeans the above logo is used.

The reason behind the logo is that, blue is a universal color and
very passive. Even people with color blindness can identify it and the
red implies that it runs in your genes, your blood.

The tagline jeans in your genes imply that every person can afford
and wear the jeans manufactured by our company. We would like to
make our jeans a part yourselves just as your genes.

Our motive is to make our companies jeans popular to the masses at

an affordable rate with the best quality possible.
Product Usage:

Very frequent use of the jeans on almost all of the major occasions
including festivals, Parties, and other important Festivals and
Events.

Heavily used by the school and college students.

Purchase Influence:
Purchasing decision making is based on individual preferences
which can lead to the same product among other individuals as
well. For instance if a youngster purchase a particular brand of
jeans he/she can influence his or her friends or relatives to purchase
the same product. Word of mouth is also an effective means of
promoting sales of any product.
Life Style of the Users:
Life style does matter a lot on the purchase of a product. For
example if a student prefers jeans in his life style then his obviously
his consumption for jeans is certainly more than a person who wears
jeans occasionally. Similarly the social class level also matters in the
purchases.The upper class usually go for the quality, fashion and
status while the lowers are more conscious to price.
Market Attractiveness Factors:

Differentiated cuts and styles of inborn!! Jeans allow us to provide a

handsome look to our customers.

The company can make exclusive designs of inborn!! Jeans for

showbiz and fashion industry and by doing advertising of inborn!!
Jeans through actors.
 Price of the product
The term “price” denotes the money value of a product or service. It
is the amount of money the seller is asking for the product he offer
for sale or the amount which buyers are to pay for it.

Price is an important element in the marketing mix of a firm and

affects other components of the marketing mix.

The price of the item is different for the wholesalers and customers.
Customers commonly buy jeans in number of units but the
wholesalers buy in bulks. A bulk of jeans contains ten pieces of jeans.
The prices for wholesalers and customers are shown in the following
table for our main products for this segment.

Product customer retailer

Bell bottom 400 360

Boot cut 650 575

Flare cut 800 700

Straight cut 900 1000

Baggy jeans 1000 950

Our company has comparatively very low places as we first want to

establish ourselves in the market by providing our material to a lot
of people who can connect with them.

The cost of production of basic simple jeans in rs. 300. We sell it to the
retailers at a bit of higher amount obviously in order to incur the
costs and the retailers sell it to the customers.
The prices charged by the competitors are really high and hence our
prices would influence the buyers and the consumers to buy our
product.

It is basically targeted for all the income groups, so the price is less
with an incredible quality and for daily use.

There is not much risk involved either as jeans is always in trend

and the fashion of jeans never fades out.
 Distribution of the
product
Place element of marketing mix refers to distribution of products to
make them available to customers for purchase and consumption.
Distribution is very important as if the products are not distributed
and are not made available to the customers at the right place,
time and quantity they would not buy they products.

Warehousing: goods are produced in factories on a continuous

basis and these are not sold immediately after production.

Location of warehouses for storage of goods depends on the nature

of the product. Since jeans are a necessity widest possible distribution
is desirable.

Channel of distribution: a channel of distribution is the

route or path along which products flow from one point of
production to the point of ultimate consumption or use. It starts
from producer and ends with the consumer.
Our company has chosen the one level channel where the
manufacturer sells the product to the consumer directly.

This channel has been selected because it was it is the most

economical of all for a new entry to the market.

This channel does not require the producer to directly search for the
customers at the same time avoids overpricing as we are a new
company and want to establish ourseleves. Using the two level or
three level would be expensive for a new company as longer the
chain more would be the price of the product to the customers.
Promotion of the product
Promotion is the process of communication with the
potential buyers involving information, persuasion and
influence. It includes all types of personal and impersonal
communication with customers.

Radio Advertising
A catchy jingle and quick tag line can enhance a radio ad's
effectiveness. Matching the station you choose with your target
demographic is key. If you want to reach adults aged 35 to 64, an
adult contemporary station is a good bet. An alternative or urban
station is good to reach youth aged 18 to 24.

Door Hangers and Flyers

Canvassing the neighborhood, placing flyers in mailboxes or
hanging ads on doorknobs, is a good way to target a specific area
and to make sure your potential customers have seen your
information. Even if most homeowners will discard the information,
gaining a handful of clients may be enough for a positive return on
the marketing campaign investment.

The Print and Graphic Arts Media

Many retailers prefer advertising in local newspaper because it

provides maximum flexibility in terms of budget, timing, coupon
feedback, product and price mix. The perception rate is high because
the reader can get more than one impact from the same message.