Levi’s may merge sales as jeans slump bites

Levi-Strauss is mooting merging the sales operations for its Levi’s and Dockers brands across Europe to cut costs in the face of a slump in sales in jeans.

Jack Cosgrove, Levi-Strauss UK managing director, says: “There is a possibility of sharing support services at retail level and we are currently looking at that.”

Such a move would involve the merging of the sales operations, the planning divisions and in-store trading, such as merchandising.

He adds: “As our retail co-ordinators support a specific list of Levi’s customers, there is a possibility they could also be used to serve both Levi’s and Dockers customers.”

However, he stresses that the marketing of the brands will remain separate. Bartle Bogle Hegarty is responsible for Levi’s and Dockers advertising across Europe.

The discussions involve all European markets which stock both brands. These include the UK, Sweden, Germany, France and Italy.

Both brands are supported by heavyweight advertising. Levi’s recently changed its advertising policy, abandoning its 13-year campaign supporting its 501 brand and instead backing a broad range of Levi’s clothes.

ACNielsen-MEAL figures show that sales of Levi’s fell by 7.8 per cent in the year to April (MW August 6).

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