A big brand's delimma.

Here's one to watch...Levi's, the denim icon since the late 1800's, is experiencing lagging sales. Their fix? Go head-to-head with the likes of  True Religion, Citizens for Humanity and Chip & Pepper.

Levi's finds itself in that dreaded place...the middle. (This is something The Gap knows all too well.) Competitor Vanity Fair is doing well with discount brands such as Wrangler and Lee. And the premium, designer jeans market has exploded with labels falling in and out of fashion based on the latest paparazzi photo of our favorite stars.

Levi's isn't just entering this market with an "improved jean", they're jumping in with a gimmick. Their latest, RedWire DLX, sells for $200 and contains a docking station, remote control, and headphones for the Apple iPod. Hmmmm. So that's what all those True Religion wearers have been seeking...a place to put their mp3 player. Right.

I think Levi's may be getting off at the wrong exit. While their sales have declined some, their brand is one of a handful that truly stands for something and has done so for over 100 years. And let's face it, people buy jeans with ridiculous names like Chip & Pepper because they are NOT Levi's.

This reminds me of Delta Airlines gunning for low-priced competitors such as JetBlue . Instead of doing what Delta does, but bigger and better, they responded by launching Song, a me-too discount airliner. Song didn't last long because it wasn't Delta doing what Delta does best.

Look, fashions come and go, especially those based on fads. But there is one fashion icon that has stood the test of time decade upon decade. And that's Levi's. Let's hope they discover a way to engage their loyal fans while continuing to be Levi's. If I want a new way to carry my iPod, I'll go to the electronics counter.

Comments

[olivier blanchard]

Great post. Levi's has been missing the boat for the past decade. I don't know what's up. Is it that they've completely run out of ideas, or is it that they're afraid to just make a move and take charge of the denimwear industry again?