BRAND EQUITY PYRAMID

Brand Salience: Achieving right brand identity involves creating right brand
salience. It relates to the aspects of consumer awareness/salience of the brand. It includes
the place that is been occupied by brand in the minds of the consumers.

It stands for customer’s linkage with the name, logo, and symbol of the brand.
It includes the understanding of utility of brand for consumers and the category in which
it competes.

1 Durable pair of jeans that could withstand rugged lifestyle.

2 “Two Horse Brand “leather patches(America’s first apparel trademark)
3 Once became essential for defense workers(during world war II)
4 First company to bring the Denim in the market.
5 One of the best jeans maker company in the world.

Brand meaning: Brand salience is important phenomena for building the brand, but
usually not sufficient in and of itself. Other considerations such brand meaning or image
is another important aspect of brand building i.e what the brand is characterize by and
should stand in the mind of the customer. It can be define on the basis of performance
and functional considerations or on the basis of imagery which is more abstract in nature.

LEVI’S 501

1 A tough pair of jeans (Performance)

2 Stylish design and rugged style.

3 Design and stitch for young people (User profile IMAGERY)

4 Available at good retail stores and specialty stores(Purchase and usage situations)

5 Rugged, rebellious Personality (Personality)

6 Affordable price, highly durable and reliable stuff.

7 Has honor of first jeans making company and been the first trademark apparel
company.(History and heritage)

Brand response: It refers to how customers respond to the brand, its marketing activity,
and other sources of information, that is, what customers think or feel about the brand.
Brand responses can be distinguished according to the brand judgments and brand
feelings.

Brand judgments: It focuses upon customer personal opinions and evaluations with
regard to the brand. Brand judgments involve how customers put together all the different
kind of opinions. Judgments are made on the basis of perceive quality, credibility,
consideration and superiority.

Brand feelings: It is the customer’s emotional responses and reactions with the respect to
the brand. Brand feelings also relate to the social currency evoked by the brand. What
feelings are evoked by the marketing program for the brand or by other names? Feelings
can be neutral, positive, negative in nature. Some important brand building feelings are:
Fun, Warmth, Excitement, Security, Social approval, Self respect,

Levi’s 501

Levi's personality composes of several characteristics or values with emotional

associations, which are defined as Original, authentic youthful, sexy. It symbolizes
freedom, individuality, high quality, adventurous streak, comfort, affordability, and
rebellious nature.
Brand resonance: It refers to the nature of the relationship that customers have with the
brand and the extent to which they feel that they are in “in synch” with the brand.It is
characterize by the depth of psychological bond that the customers have the brand. It can
have four categories

Behavioral loyalty, Active engagement, Sense of community, Attitudinal attachment.

Levi’s 501

It has high behavioral loyalty. As it was the brand that symbolizes the very zest of baby
boomers that’s why it became a commodity that necessary for every young American to
have in the time from 1900 to 1970 and enjoyed high brand loyalty.

As it was the age when the turbulence was all around the globe and feeling of rebel,
individuality, and freedom was on hilt so Levi’s provide them a sense of community and
attitudinal attachment.

DOCKER’S STRATEGY
Foreseeing that the existing product lines did not sufficiently satisfy the needs of the
25-49 year old male customers, LS &Co. decided to address the opportunities in the
casual slacks market by identifying its challenges to increase Levi's slacks brand
share. Levi's slacks were considered to be more contemporary, less conservative and
more casual than other leading slacks. However, it's Action Slacks line fail to
address the customer needs and fail to reflect the core values which the recent 501
jeans campaign had established successfully. This give rise to the idea of having a
different market segment with a new product that will motivate and retain
customers within the Levi's brand franchise which promise to be different from
anything it had sold before. To establish a leadership position in casual fashion,
Levi's Dockers& reg; was introduced where it was positioned as the new pants to
men as more formal than jeans and less casual than dress slacks. It was also
designed to satisfy an unfulfilled need in the men's pants market and to appeal to
the baby boomers' fashion demands.

It was created as the sub brand because Levi’s 501 was already been the establish brand
in denim jeans and it’s image was rugged, freedom seeking and dynamic in nature,
getting in an casual pants market with the name of Levi’s would have diluted the brand
image of Levi’s and Levi’s have already committed that mistake earlier by diversifying in
several apparel segments which tarnished the image during 70’s and 80’s and Levi’s has
made it’s image again with lot of efforts and hard work so it became essential for Levi’s
to create a brand which can have it’s own image so Docker’s was created as sub brand of
Levi’s.

MARKETING GIMMICKS
In order to achieve brand association and to create brand awareness, Dockers was
eventually package with a unique logo & a colourful pocket flasher which consisted of
interlocked wings and anchors to integrate the brands' name with its symbols. To enhance
the brand, the pocket flasher was attached to the back of all pants and the Levi's moniker
was incorporated in the Dockers' winged logo to establish an understated association with
the Levi's name. Part of Levi's communication strategy involved marketing Dockers
pants to the retail trade as a major fashion statement – an alternative to jeans - and the
driving force in the "new casuals" category. In an effort to establish Levi's Dockers new
casuals line, LS & Co. identify their key target distribution channel by concentrating
distribution in department stores and chains where its majority target consumers of 25 to
49 year-old men did their shopping and where one-third of all slacks were sold. Levi's
work closely with retailers in order to generate excitement and support for its new pants
and had resorted to "woo" retailers nationwide, including those department and specialty
stores that had previously curtailed business with LS & Co - with aggressive marketing
strategy with extensive presentations, sell-in brochures and swatch books. Trade
promotions such as sales support, sales kits for retail-based marketing, cooperative
advertising and sales promotion programs were provided. In additionally, supplemental
financial support was also offered for advertising and promotional activities to important
high image department stores. A critical component of the company's marketing effort
was the establishment of Docker's shops within main floor men's area of major
department stores. With such vigorous marketing promotion techniques, retailers were
getting more confidence in Levi's products and were showing greater interest in
innovative merchandise techniques. Being sensitive to the market trend, the first in-store
concept shop was introduced for the men's main floor area and key trade show was set up
introduce Dockers casual pants to retailers. The Dockers in-store shop sought to create a
friendly, accessible environment, prominently displaying the sporty Dockers logo and
linking consumer advertising with point-of sale signage and posters. Levi's also adopted
point-of purchase advertising through shelf talkers to give consumers an entirely different
kind of shopping experience which the concept proved to be very successful. Point-of
sale displays were established in stores where shops were experiencing space or financial
constraints. All the above product positioning and marketing strategy was able to
overcome the initial reluctance of retailers and ultimately generated an exceptionally high
level of pre promotion excitement in which Levi's Dockers was also seen as the leader in
the new casuals category and moved the pants ahead of its competitors. Following that,
LS & Co. shifted its attention to the development of an effective communications
program focused on the consumer. They recognized that a focused comprehensive
consumer marketing effort would be required in order to establish Levi's Dockers as a
major brand. Given the market opportunity for casual pants, Levi's believe that a high
impact consumer marketing program would accelerate the growth of the Docker's line
and generate consumer support. Part of the advertising strategy was defining target
audience accordingly by demographically, attitudinally, clothing needs and purchasing
behaviour and a focus group was selected for determination on the type of ads that appeal
to the target group. To advertise Dockers, consumer advertising was adopted,
commercials were aired during selective prime time slots and spot TV was used in all 11
major regional markets. Also Levi's brilliantly chose the notorious fashion garment
district - the New York City for their advertising executions in a bid to reach out to more
consumers where TV spots were supplemented with subway signs and mobile billboards
located primarily around the city's garment district. In addition to TV, co-op advertising
with retailers, point-of-sale displays, sales promotion during advertising kick-off party,
publicity campaign and follow up visits to key retail accounts also contributed to Levi's
successful communications strategy.

Brand identity prism of DOCKERS

Physique: A brand first of all, has it’s physical qualities, key product and brand attributes
it’s ‘physique’.

Personality: A brand has the personality of it’s own. By communicating, it gradually

builds up character. The way in which it speaks of its products shows what kind of person
it would be if it were human.
Culture: A brand has its own culture, from which every product derives. Here culture
mans the set of values feeding the brand’s inspiration. It is one of the main key in
understanding the difference between ADIDAS, NIKE, and REEBOK.

Relationship: A brand is the relationship, indeed brands are often at the crux of
transactions and exchanges between people.
Example: DIOR symbolizes grandiose and ostentatious, flaunting the desire to shine like
gold.

Reflection: A brand is the reflection of the desired image of the brand user.

Self-image: A brand speaks to our self image. If reflection is the target’s outward mirror,
self image is the target’s internal mirror. Through our attitude towards certain brands we
can develop a inner relationship with ourselves.

DOCKER’s

Physique: Dockers pants to the retail trade as a major fashion statement – an alternative
to jeans - and the driving force in the "new casuals" category. Pants that can be wore in
office, parties, gaming etc and yet comfortable and affordable.

Personality: Dockers represent itself as sincere (down to earth, honest, cheerful and
wholesome) and competent (successful, intelligent, and reliable).

Culture: Dockers represent the culture of young America .The America which is young
and dynamic which want to stay stylish and fashionable but at the time want to look
sincere towards it’s work and competent to beat any hurdle.

Relationship: Dockers brand function with ideal man. A man who is fun loving but
sensitive, a man who is dynamic but responsible, a man who is successful but down to
earth, a man who is fashionable but not the slave of it and need comfort and affordability
in things.

Self image: As it the image of oneself so a person purchasing dockers consider himself
successful, freedom loving, caring, sincere and competent in nature.
Reflection: As it denotes the desired image of the user of the brand and for dockers the
person perceives it as the brand of authentic, freedom loving, fashionable yet friendly,
sincere and reliable in nature.

BACK TO BASICS

“Back to Basics” a ad campaign which focused on the individuality of young jeans

wearer turned out to be the savior of Levi’s brand image because it was the time when
Levi’s was facing the loss in market share and severe competition from other brands and
due to intense diversification and diluted brand image Levi’s was unable to overcome
these problems. In october1984 when Tom Tusher became V.P and C.O.O of Levi’s he
decided to concentrate on product and building of relations with departmental and
specialty stores again in order to rebuild the brand and the main objective was to preserve
and cater the original values and traditions of Levi’s. This $36 million campaign set out
to create an image for 501 jeans with LS&Co’s corporate philosophies and values. This
campaign was designed in hope that it will remind the people the uniqueness of Levi’s
and it’s association in their daily life. It was built around common people, American
heritage, individuality, and relaxed lifestyle. Other than this many rock stars, actors were
featured in the ads. The ads, a mix of product and image building ads, told stories with
characters of distinctive features in the plot that often involved action, humor, conflict
and romance. In U.K 501 was known as LAUNDERATTE , In Japan with slogan
“HEROES WEAR LEVI’s”.

All these marketing gimmicks and restructuring in the company brought turn around in
the image of Levi’s and helped it in rejuvenate it’s original image of honest, classic,
contemporary, rugged American brand.

Dockers in India

When it hit the Indian scene in 1995, it was called the "khaki revolution". It came in
several avatars (wrinkle-free, cargo, stretch, never iron, classic fit) that allowed the
working man to play all his roles in one comfortable pair of trousers: an office meeting, a
drink at the bar or an impromptu cooking session.

The historic S-fit, in particular, had ITwallahs ushering in "business casuals" by fitting in
mobiles, palmtops, USB ports, digital diaries and sunglasses in trousers lined with anti-
radiation technology. And the fact that the coveted Dockers label almost always turned
heads was a bonus.

But after more than a decade, the label is taking its "casual attitude" too seriously. Owner
Levi Strauss, the US-based denim wear marketer, is phasing out the Dockers brand that
was instrumental in adding a casual touch to men's office attire. The brand, which re-
entered the Indian market in 2005 after a year's break. Dedicated stores in Colaba, Khar
and Andheri have all quietly shut down. Leftover inventory is being sold through factory
outlets of Levi's. The average selling price of a pair of Dockers is Rs 2,000-2,500.

The change in strategy is a result of the company putting all its resources behind its
denim brands. The eureka moment came after research conducted by the company threw
up interesting findings: Indians purchase more than 100 million pairs of jeans every year.
Levi's is the market leader in the premium segment and the company wants to build the
Levi Strauss Signature in the standard segment. Obviously, this hasn't boded well for
Dockers.

When Dockers came to India, it expanded distribution significantly across the top nine
cities and became popular in the 25-40 age segment and was among the top two khaki
brands in 2001.

In the span of time market got soften and khaki category got affected the most and
actually got sandwiched between jeanswear (totally casual apparel) and formal pants with
blended fabrics..

In 2004, when Dockers sales plummeted sharply, parent Levi Strauss put the brand on the
block. However, the deal didn't materialise as the $800 million price tag was expensive
for several buyers, including private equity funds. In 2008, Levi Strauss noted in its
annual report that Dockers sales had been disappointing in many regions, including its
biggest market, the US, and was in the process of overhauling the brand.