Levi’s

Summary

What began as a partnership in 1873 between a dry fruits seller and a tailor, who wished to patent his enduring pants with rivets, transformed into a fashion brand that is a global leader in denim. What began as a partnership in 1873 between a dry fruits seller and a tailor, who wished to patent his enduring pants with rivets, transformed into a global leader in denim. The brand invented the blue jean in 1873 and reinvented khaki pants in 1986. It pioneered labor and environmental guidelines in manufacturing. And works to build sustainability into everything it does. Brands — Levi’s®, Dockers®, Denizen® and Signature by Levi Strauss & Co.™ — stand for freedom and self-expression around the world. And for more than 160 years, it has used the strength of its brands to lead with its core values and make an outsized impact on the world. Levi Strauss & Co. is also an equal opportunity employer and all qualified applicants will receive consideration for employment without regard to race, color, religion, gender, national origin, disability status, protected veteran status or any other characteristic protected by law. 

History

Levi Strauss, creator of the blue jeans, was born in Buttenheim, Bavaria in1829. He had six siblings. Two years after his father died due to tuberculosis in 1846, Levi and his three sisters shifted to New York, where his two brothers were running a dry goods business. When news of the California Gold Rush reached him, Levi travelled to San Francisco to make a fortune, though he wouldn’t make it panning gold. He represented the family business on the West Coast and named it ‘Levi Strauss and Co.’ In 1872, Levi got a letter from one of his customers, Reno Nevada-based tailor Jacob Davis, who revealed he had designed long-lasting pants using rivets at points of strain and suggested that the two take out a patent. Levi agreed; the patent was granted to Jacob Davis and Levi Strauss and Company on May 20, 1873 — and blue jeans were born. In 1886, the logo was introduced, depicting two horses attempting to pull apart a pair of Levi’s overalls and symbolised its strength.

After Strauss’ death in 1902, the reins of the company passed over to his nephews and, post- 1918, to his in-laws, the Haas. In the Twenties, Levi’s jeans were largely worn by cowboys, lumberjacks and railroad workers. It was introduced to the East during the dude ranch phase of the Thirties when tourists returned home with the hard-wearing pants with rivets and gleeful tales. Another catalyst happened in World War II when jeans were declared an essential commodity and sold just to people in defence work. The rivet and waist cinch were removed to conform to War Production Board requirements to preserve metal. Its appearance in Hollywood blockbusters, worn by John Wayne and Gary Cooper, made the blue jeans a must- have in the Thirties. Ginger Rogers and Carole Lombard wearing it convinced women that denim was for them too.

The fashion brand’s impressive growth happened post- 1946, when it left wholesaling and manufactured under its own label. In the Fifites, the shrink-to-fit Levis 501 became legendary among the youth and is in huge demand till date — in order to differentiate it, a Red Tab was added to the right back pocket. During this era, Marlon Brando and James Dean popularised the image of denim-clad teenage men with sex appeal; hippies wore it in the Sixties while feminists and women’s lib organisers chose jeans to show gender equity. Some high schools banned denim which served to further enhance its status. So it’s no wonder Levi’s experienced significant growth during this “blue jeans craze” in the Sixties and Seventies. When the company went public in 1971, it was present in fifty countries and annual sales in 1997 were estimated at $7.1 billion. Levi’s then added stone-washed jeans through acquisition of Great Western Garment Company.

In the Eighties, however, the brand closed roughly sixty manufacturing plants due to a financial slump. In 1985, the Haas, along with other descendants of Levi Strauss, staged a buyout and the brand took on multibillion-dollar debt to finance it. Dockers, launched the following year, transformed business attire as young professionals adopted the khaki pants. It helped the brand grow in the Nineties when denim sales declined. But Levi’s lost its flair for combining heritage with current trends, and in the early twentieth century, sales fell to reportedly $4 billion.

In 2011, the company hired Chip Bergh as President and CEO and he is credited with modernising its e-commerce division and expanding the overseas markets. Per Forbes, “He believed he could reinvigorate the brand, support and lead ever-strengthening humanitarian values and principles, and guide the company to sustained financial strength. It’s a decade later and, by all accounts, he’s done so, despite the financial hit from an unprecedented concurrence of ravaging global crises this past year.”

On July 13, 2017, Levi Strauss heir Bill Goldman died in a private plane crash near Sonoma, California. In 2017 Levi Strauss & Co. released a “smart jacket”, an apparel they developed in partnership with Google. After two years of collaboration, the result was a denim jacket set at $350. In March 2019, Levi’s debuted on the New York Stock Exchange under the ticker “LEVI”. Levi Strauss was valued at $6.6 billion as its IPO priced above the target.

In 2019, Levi’s became one of only two major clothing companies with commitments in line with the Paris Agreement’s goal of limiting global average temperature increase to 1.5 degrees Celsius. In 2020, Levi Strauss & Co. is expected to have completely replaced chemical usage to lasers in order to cut and design ripped parts of jeans. In December 2019, the Engage for Good organization awarded the company the Golden Halo Award for 2020 for their advancements in corporate social impact.

On August 5, 2021 Levi Strauss & Co. announced the acquisition of Beyond Yoga, entering into the activewear market. They expect the acquisition will contribute to more than $100 million to net revenue per year. It was announced senior executives are to speak with AI expert Blake Van Leer at the LA eCommerce Summit about their digital strategies and AI in 2023. It was announced in January of 2023 that Levi will begin accepting old pairs of jeans to recycle into more denim in a campaign to go green. The brans is recognised as the global leader in denim today.

Vision

Levi’s embraces its heritage of designing the most iconic blue jeans and khaki pants while staying relevant by placing customers’ needs at the center of everything it does. 

Mission

Sustained, commercial growth while preserving the values and leadership standards that helped the company to flourish. It reinvests a portion of its annual earnings to champion equality, support vulnerable communities and build a sustainable future for the planet.

Products and Services

Levi’s retails blue jeans for men and women including Straight Fit Jeans – Loose Fit Jeans – Jackets – Bootcut Jeans

Team

Charles Victor Bergh (CEO)
Stephen Neal (Chairman)
Michelle D. Gass (President)
Jason Gowans (Senior Vice President)
Karyn Hillman ( Senior Vice President and Chief Product Officer)

References

• Official website Levi’s
• Instagram profile of Levi’s Instagram
• How The Retail Industry Can Learn From Levi Strauss’ Transformation Forbes
• Google and Levi’s smart jacket The Guardian
• LinkedIn profile of Levi’s LinkedIn
• Vogue encyclopaedia: The history of denim jeans Vogue
• Levi’s, Whose Jeans Are a Rugged Symbol of Americana, Prepares to Go Public NY Times
• A Conversation With Chip Bergh Forbes
• Facebook profile of Levi’s Facebook
• Jacob Davis: Pioneer Jewish Tailor of Reno Nevada and His Copper Rivets Jewish museum
• How jeans giant Levi Strauss got its mojo back BBC
• Levi Strauss valued at $6.6 billion Reuters
• Levi Strauss & Co. Britannica
• Twitter profile of Levi’s Twitter
• History of jeans Fashion Time
• How Levi’s Keeps It Rocking For Investors and Fans Forbes
• Wikipedia page of Levi’s Wikipedia
• Levi’s jeans Nevada culture
• Levi Strauss plans to go public — again CNBC
• Levi’s cuts 700 jobs due to falling sales BBC