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Levi's on track to sell as many jeans online as in its stores

By Don-Alvin Adegeest


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Image: Levi's

Levi’s is selling almost as many jeans online as it is in its stores. The company is well on its way to a 50-50 sales split, according to PYMNTS, a global news and analysis platform covering payments, retail, fintech, financial services and the digital economy.

The denim giant, which operates over 3,200 stores in 110 countries, has embraced a digital strategy which has boosted e-commerce via improved websites and apps. The brand is also focused on boosting its categories other than its jeans, such as polo's, footwear and tops.

“Our relentless focus on our strategic priority of being brand-led, DTC-first and diversifying the portfolio has delivered strong results, even with continued macro-economic uncertainty and persistent inflationary pressures,” Levi’s CEO Chip Bergh told investors on an earnings call last week.

Levi’s saw its direct to consumer (DTC) sales increase 22 percent in the first quarter of 2022, making up 37 percent of total revenue. The company has invested in modernising its flagship stores in London, Paris, New York and in its home base of San Francisco, where its headquarters are.

Levi’s said it is “looking to grow its portfolio of company-operated D2C stores to more than 1,500 locations, while also tripling its eCommerce sales at Levis.com over the next 5 years.”

“We see tremendous potential in e-commerce and with the leadership to drive its success, we will move more quickly to realize it,” Bergh stated. About expanding its categories Bergh said: “One of the biggest long-term opportunities we have ahead of us is to extend into true head-to-toe expressions of our brands and we’re making solid progress.”

Article source: PYMNTS