Levi's jeans: the original online breakthrough

Levi Strauss & Co.
together with the Ketchum agency
Silver Anvil Award for 2000.

Overview

Back in 1997, the Internet was unfamiliar to consumers, and online shopping was considered unsafe and far from reality - only for "advanced" techies and computer geniuses. Internet addresses and e-commerce could have been passed off as words from a foreign language, media coverage was in its infancy, and the circle of communication was limited to the local area. A major book retailer, Barnes & Noble, did not appreciate a small Internet company called Amazon.com. Most major retailers took a wait-and-see attitude, not daring to enter this "virtual space". So why did LS&Co. decide to take the risk of opening an online store? After several years of declining sales and the media accusing the company of losing influence among young consumers, LS&Co. decided to use a new medium to get back into the youth market. In a first attempt, Ketchum developed an interactive go-to-market programme that appealed to the youth target audience and repositioned Levi's as a fashion brand, while directing those interested to the online store. For a business in this new area, it was essential that young people became regular customers, and Ketchum decided to invite three college students to try buying everything they needed online for an entire semester in real time, from cakes and toiletries to bicycle tyres and books. At the time, the media still had questions about whether it was possible to actually survive shopping online. The nationwide student selection process attracted hundreds of applications in one week, generating the buzz the fledgling online retailer needed. The success of the programme was built on attracting consumers to the site in order to introduce the brand to young consumers in a non-intrusive and unconventional way, rather than selling it. Provided with a weekly manual and special training, the students became the heroes of a branded weekly Internet show (in the spirit of MTV's Real World), which showed the excitement of their shopping (including Levi's products) and addressed the issues of concern to their virtual interlocutors.

Research.

College students who cannot live without the Internet were chosen as the main target audience. Trying to find out about their habits, the PR agency found out that even in the early days of online trading, they would spend hours on end looking at their computer screens.

•  In the course of additional research, Ketchum found the following characteristics of online shopping behaviour: 98% frequently surf the Internet; 56% prefer to buy goods from well-known manufacturers and are willing to pay extra for quality; 22% have made at least one Internet purchase in the last year. In addition, 74% have their own personal computer; 81 % have a modem (with Internet connectivity); 83% receive e-mail regularly; 60% spend at least an hour online daily; 36% have their own web pages; 30% go online daily.
• Then, at a convention of university journalists, Ketchum conducted a series of interviews for primary research. By asking college kids about their computer habits, the agency confirmed the secondary data. The idea of an online breakthrough received a positive response. Along the way, they collected successful expressions that could be used in the programme.
• Since reaching young people through the media is key for Levi's, the agency conducted a media audit with U Magazine, Bolt.com and Teen People to find out what they thought of the booming e-commerce industry. The only question was "can you really survive buying online", which set the stage for a risky online experiment.
• A secondary study showed that online shows were gaining traction because online informal communities were beginning to grow and young people wanted the Internet to become interactive and offer shows for students and schoolchildren. This proved the viability of the Real World of Generation Next. Levi.com Semester Online was a natural extension of the programme.

Planning

Objectives:

1. to double the number of young visitors to Levi.com;
2. to change their perception of Levi's "boring" image through vigorous media coverage.

Strategy:

1. to create an online community for college-age kids, where the same kids will be active and which will be interesting and interactive;
2. creatively capitalise on the e-commerce boom to attract the right media;
3. stimulate wider coverage through noteworthy events.

Audience:

1. consumers of student age;
2. Media targeting young people.

Budget: USD 460 thousand - initial investment; USD 140 thousand - additional costs.

Implementation

During the academic year, the Kelchum agency came up with several campaigns worthy of timely media coverage.
Cyber search. To kickstart the online breakthrough, Ketchum decided to find three volunteers who would become e-commerce experts and "cyber iconic characters". Radio spots filled the airwaves of youth radio stations in 29 markets with the highest college/university population, flyers were plastered on university dormitory walls, and ad banners occupied computer screens. In just one week, more than 500 students joined the search and answered questions such as "What's the most unusual purchase you've made online?" and "What piece of clothing can't you live without?". The five finalists were selected based on geographical criteria of media interest and fit with the Levi's image. Ketchum commissioned Jorge Ramon, Fashion Editor of Teen People magazine, to select the winners based on their answers to questions such as: "What's the craziest online purchase you've ever made?" or "If you had to name your computer and mouse, what would you name them?" Alanna, a senior at Chico State University in California, Tomiko, a senior at the University of Pennsylvania, and Scott, a sophomore at the University of Kansas, were the winners, the best of the best, selected to live a semester online.

Meeting the winners and "training the newcomers". Following the selection of Alanna, Tomiko and Scott, national and regional stories were written about each of the winners, and everyone was eagerly awaiting the start of the online semester. Just like during their first semester at college, the winners of the Levi.com Semester Online show were not lacking in experience in their new business. During a three-day crash course at the company's San Francisco headquarters, the winners met with Levi.com web designers who helped them create personal websites to track purchases and visitors to the Levi's website. Their preparation, which included interviews with an Internet show producer and a brand historian, was captured on film and video for use in advertising.
Semester of shopping. Who better to tell a teenager what's in and what's out than their peers? With this idea in mind, Ketchum focused on young people, while Alanna, Scott and Tomiko, using their weekly allowance, clicked on the internet for everything they needed to live. The only requirement was to buy new Levi Strauss clothes and report back. To keep their peers and the media informed, the students created personal websites on Levi.com - each according to their own taste. In early spring, Tomiko took on a project in Alanna's home area to assess the problem of the lack of online shopping in rural California. Each purchase was then documented through digital photos, virtual diaries and personal notes. Viewers could see what the new Internet celebrities liked to buy the most and follow who would "survive" online over the course of the semester.

The show. Ketchum took the Internet semester "experiment" to the next level by launching a unique weekly Internet show featuring Tomiko, Scott and Alanna that their peers could watch live on their computer screens (and find in the archives). For Levi Strauss, it was very important to create a community of teenagers: the more they visited Levi.com, the more opportunities the company had to interact with its key consumers. Armed with digital cameras and head phones, the Internet celebrities spent 7 February 1999 Over the next four months, thousands of teenagers logged onto Levi.com every Sunday night at 9 p.m. EST to watch their idols shop online and discuss relevant topics such as love and life, careers and cars, school and safe sex. A cheerful host kept the interactive dialogue flowing, and a chat room gave viewers the opportunity to talk to the stars in real time about private topics. The latest hot news was offered to the media at the end of the "season", namely LS&Co.'s ongoing commitment to the fight against AIDS. Gary Dell'Abate, a close friend of Howard Stern, helped host the last show and engaged viewers in an open discussion about AIDS prevention. As an additional incentive for viewers to visit the website and get informed, the company donated $1 for each person who attended the final show to its regular charity, Lifebeat, which represents music industry AIDS advocates.

Evaluation

While the media was largely critical of the company and its attitude towards young people, the Internet breakthrough generated positive coverage and feedback from the brand's cynical, marketing-averse target audience. It has also spawned several copycats, including the giant corporations Microsoft Network and USA Today. All of the results were achieved solely through PR efforts.
Objective 1 - to double the number of young consumers on Levi.com.

• Traffic to Levi.com jumped from an average of 3,000 people a day before the Levi's Semester Online experiment to 130,000 people a day after the experiment.
• During the Levi's Semester Online experiment, more than 20,400 visitors came to Levi.com to watch the weekly broadcasts. The student-oriented content attracted LS&Co's target audience. During the recruitment period alone, more than 500 students visited Levi.com to take part in the e-commerce experiment.

Objective 2 - to change the "boring" image of Levi's among young consumers through vigorous media coverage.

• The programme received more than 100 million media contacts through the online store and the Levi's Semester Online experiment. "More than 500 students from all over the country went to Levi.com to apply for Levi's Semester Online. You can go to the Levi's website and see what these online professionals are buying," Teen People Online.
• A large number of ads aimed at students appeared in the Howard Stem Show, People Magazine, Yahoo Internet Life, Mademoiselle, U Magazine, Teen People Online, Teenzine and numerous university newspapers across the country. "What would it be like if you only shopped online? Three cyber pioneers are about to find out thanks to Levi.com" - Yahoo Internet Life.
• There were numerous enthusiastic reviews of the experiment on the Internet: CNN, USA Today, New York Times, Wall Street Journal Interactive, Women's Wear Daily, Investor's Business Daily, The Industry Standard, Promo Magazine, Forbes Magazine, MSNBC.com, as well as more than 40 additional stories on regional TV and radio stations and in the local press. All of them considered the initiative promising. "What does it look like to shop online? The three students selected to participate in the Levi Strauss & Co. experiment don't think it's an easy task. They are in the middle of a new 20-week 'online semester' programme," Wall Street Journal Interactive.