CTSM Portfolio / Michael Mecham Page 1

These brands and sub-brands comprise the entire portfolio for the Levi’s® Brand Business U.S. Unit. LS&Co.
offers additional brands in the US (Dockers®, Dockers® Golf & Resort, and Levi Strauss Signature - which is sold
in MASS Channel retailers such as Target and Wal-Mart) but they will not be a focus of this portfolio. Likewise,
similar brands are managed in the LS&Co. Europe and Asian Business Units – which creates the corporate triad of
business units.
U.S. Levi’s® Brand Growth Initiatives
The US Levi’s® Brand is all inclusive for consumers from stylish urban trend setters looking for premium fits and
finishes to rural farm and ranch consumers looking for quality and durability. The company is inherently masculine
with a strong tie to Western Heritage culture. However, the current growth initiative is in the more premium market
segments ($60-$78/pair) with a strong focus on becoming the choice for Women as well as Men age 15-25.
Additionally, the company is focusing on growing beyond jeans by increasing market share in tops for Men and
Women as well as fashion for Kids, shoes, accessories, and home goods.
U.S. Levi’s® Brand Competition
Competition in the apparel market has recently intensified, particularly in the denim market segment as jeans are
becoming fashionable for diverse wearing occasions. In the US, the Brand competes both as a Wholesaler (selling
goods through retailers such as Macy’s, JCPenney, and Kohl’s) and as a Retailer (selling goods through owned and
operated Levi’s® Stores) in the vertical channel.
Refer to the chart below for an overview of sample competitors by channel and distribution:
Channel Sample Distribution Sample Competitors
Wholesale:
Department Stores
Chains
Multi-Brand Specialty Stores
Macy’s, Dillard’s
JCPenney, Kohl’s, Sears, Mervyn’s
Pac Sun, Urban Outfitters
Private Label, Lucky, Guess, DKNY, CK
Private Label, Vanity Fair
Lucky, AG, Union Bay, Diesel
Retail:
Levi’s® Owned and Operated Stores selling
premium, classic, and iconic goods
Gap, Lucky, Guess, Abercrombie &
Fitch, Diesel
It is fair to say that Vanity Fair - who owns Lee, Wrangler, Earl Jeans, and now 7 For All Mankind - is the second
largest share holder and our strongest competitor in wholesale. Additionally, “private label” jeans, or jeans brands
developed and marketed by our customers (i.e., Macy’s, JCPenney’s), are quickly becoming large market share
holders in the denim segment. While the brand works to protect its market share in wholesale, the retail business
continues to grow rapidly and the organization intends to get from 40 stores to at least 250 in the next 20 years.
CTSM Portfolio / Michael Mecham
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