CTSM Portfolio / Michael Mecham Page 1

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Showroom Graphics Collateral Impressions: up to 1,000 ct. based on actual appointments Net Target: buyers Format: signage up to 20” X 28” Content: brand lifestyle imaging, product message call outs, heritage art Desired Action: brand and product education and awareness Impressions: up to 1,000 ct. based on actual appointments Net Target: buyers Format: website, sales kit handouts, line lists, pricelists Content: detailed product information incl. sku, size range, pricing, ship dates Desired Action: product order placement Creative content is leveraged from Levi’s® Marketing and Creative Services teams. I partnered with these teams and applied my learnings from Seminars 31404 - Creating Winning Direct Mail Promotions for Improved Results and 61705 - Essential Graphic Basics to Wow! to develop each strategy and source each marketing solution. Visual Examples and Results The format and content changes for each show based on seasonal materials, marketing opportunities, and overall budget but message integration remains constant. Below is one of many successful examples and related result for each. Postcard Invite: Buyer appointments up 10%, entertained up to 200 guests at customer event. Program Guide: Exhibit traffic increased, new account inquires up 67%. Exhibit Graphics: Consistent brand recognition with product message delivered elevated perception and education for key customers, potential buyers, and competitors. CTSM Portfolio / Michael Mecham Page 16
LS&Co. brands have been exhibiting at MAGIC since the mid 1900s and partnership with this key show has become important to our success operationally. It provides a great opportunity to demonstrate brand prominence in the marketplace while efficiently meeting with a multitude of buyers. However, due in part to a post 9/11 economy shift, and an emphasis on cost containment, this partnership now requires a documented return on investment analysis in order to justify an annual spend of $760,000. Toward this end, I developed and implemented an annual Return on Investment (ROI) and Return on Objectives (ROO) process in early 2006 to measure and report the qualitative and quantitative benefits of exhibiting at MAGIC. Methodology I learned from Seminar 212V – Justify Your Program With Post Show Reporting - that all results are measured against clearly defined goals and objectives. This required a comprehensive understanding of the US Levi’s® Brand objectives. The chart below lists shows objectives at MAGIC, each of which are tied to a larger brand growth strategy and include alignment from top-management. Brand Goal / Objective Red Tab 1. Upgrade the Red Tab exhibit and overall brand experience 2. Create conducive and inspiring meeting environments for management meetings with Top Levi’s® Wholesale Customers Red Tab / Sales Center 3. Continue to make it easy for Sales Center Customers to buy Levi’s® Jeans 4. Grow new account inquiries Red Tab / Licensing 5. Continue to make it easy for Wholesale Customers to buy Levi’s® licensed products at MAGIC 6. Continue to integrate licensed product offering into customer experience Levi’s Capital E® 7. Make it easy for premium/specialty customers to buy Levi’s® Cap E, Levi’s® Vintage Clothing, & Little Levi’s® Vintage. Sponsorships 8. Drive brand equity and consumption by optimizing brand exposure at the show 9. Build relationships with Sales Center Customers via exclusive reception I also learned from Seminar 10806 – How To Measure The Value of Trade Shows that I needed to identify and quantify the main sources of value. including: 1. Revenue by division, 2. Cost avoidance - or expenses displaced should we not exhibit, and 3. Promotional value. Each of these sources comprehensively represent the total value for presenting at a key show like MAGIC. After rolling up the total show costs, including other team and licensee affiliate travel expenses, post show statistical information was gathered and input into the report. Results The good news is that we net a return of $13 to $19 for every $1 spent on participating in MAGIC. With the strategic goals and objectives in place, the Levi’s® Brand was rebuilt to a larger literal and perceptual size at CTSM Portfolio / Michael Mecham Page 17
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