Levi Strauss generates growth with e-commerce innovation
Levi Strauss & Co. is citing efforts to develop next-generation e-commerce solutions as a key component of its financial success.
The denim giant has recorded 12 consecutive quarters of global double-digit growth, including a strong first quarter of fiscal 2025 it credited in part to global direct-to-consumer net revenues increasing 9% on a reported basis and 12% on an organic basis, as well net revenues from e-commerce growing 13% on a reported basis and 16% on an organic basis. DTC comprised 52% of total net revenues in the quarter.
[READ MORE: Levi’s Q1 tops expectations; sees ‘minimal’ tariff impact in Q2]
In addition, during the last five years, Levi’s e-commerce business has doubled, growing from 5% of total net revenue in 2019 to 10% in 2024.
"Our global e-commerce strategy is working, and day-by-day, we’re turning our strategies into reality," Jason Gowans, chief digital and technology officer, Levi Strauss & Co., said in a corporate blog post. "We’re creating a global digital flagship experience that not only is expanding our loyal fan base but also is giving them a reason to return. Our exceptional team’s dedication is generating impressive momentum that is steadily improving the overall health of our e-commerce business with global net revenues and EBIT margins improving double-digits on a compound annual growth rate over the last three years."
Gowans cited several specific digital commerce solutions it has developed, including a new search tool, high-quality content images, and more videos on product pages designed to create a dynamic online shopping experience and showcase items as they look in real life.
Visitors to the site can also use a new fit quiz tool, which lets shoppers answer a series of questions on fit preferences, returning a number of personalized recommendations.
And during the last year, Levi’s has added a "shop the look" feature and increased review coverage that the company says helps search engine optimization and has increased purchase intent.
"As of today, 80% of our products on the U.S. site have new, elevated imagery, and more than 700 product pages feature videos showing the product in motion,”"said Priya Buening, VP of e-commerce for Levi Strauss in the U.S.
Other steps Levi’s has taken to enhance its direct-to-consumer experience is extending its Red Tab loyalty program to the four new markets of Poland, Ireland, Denmark and Switzerland. The company is also extending its email lifecycle communications and targeting consumers with the right message at the right time, with the ultimate goal of increasing shopping frequency.
