Francesco Longobardi
Final Project – Marketing
May 31, 2016
Joe’s Jeans
Executive Summary
Joe’s Jeans is a brand that has already established their reputation in the denim market
with their comfort, great &t and high quality materials. With this new marketing plan, they can
extend their reach to become a household name in America and increase their appeal to young
buyers who are looking for an investment. This plan will brand Joe’s Jeans as a stylish choice
that you can wear to concerts, dates and music festivals that are also comfortable enough to
wear at home. This marketing plan will highlight where, how and who to market this concept to
with highlights on the execution.
Company Description
Joe’s Jeans is a company founded at the start of the millennium in California. The
Creative Director and founder Joe Dahan rede&ned classic style by integrating a rock and roll
point-of-view with and Southern Californian sensibility. Since its inception Joe’s has grown from
a small company to a major stake in the luxury jean market with products nationwide and
available in most department stores. It has continued to grow even in the midst of other
clothing companies and styles becoming increasingly popular in the slight decline in the denim
market.
Core Competencies
Create stylish jeans that use incredibly so3 materials that are comfortable for people in
all sizes
Brand the products well through styling to &t in with the rock-and-roll vibe of the
company
Increasing jean sales within the company while the denim jean market is slowly
decreasing overall
Situation Analysis
Economic
Although jeans make up an extremely large $60-billion-dollar global market, recent cost cu7ng
measures like thin fabric and changes in the &ber content have created some dissatisfaction
from customers. Athletic pants and bottom have become more popular as some of the
comfort has been lost with the cost cu7ng measures. Companies like Nike and Adidas have
been able to capitalize on this and increase their sales immensely. In America, about 96% of
consumers own denim jeans, with an average of about 7 pairs per person. With the right
factors of production people are more likely to make an investment in high quality jeans, as
people do not buy them often.
Competitive Environment
The company is currently marketing through advertisements in video online, television
and print. It has been run by the creative director Joe Dahan, since 2001. It is currently
marketing to younger customers with its rock and roll image. Its advertisements are risqué and
“sex” driven. Another way they market is through word of mouth based on their extremely high
quality and comfortable clothes. Since the jeans market is saturated with many cheaper
alternatives that are cu7ng costs, the high quality does a lot to further the brand. Joes Jeans
has actually just had a merger with another company called Hudson jeans to create the
company Di@erential Brands Group. The current market price of their parent
company, Di@erential Brands Group is 4.88 USD. Their year end 2015 asset sales were valued at
around $80 million for Joes Jeans, which for this smaller company is fairly large. With this new
merger, many possibilities open for this once smaller company.
Social & Cultural
The social and value aspect of the jeans industry has remained unchanged for many
years. Jeans are obviously extremely popular for nearly every type of person that you can think
of. They are rooted in classic comfort and durability. It is hardly ever seen as taboo to be
wearing jeans, no ma8er where you are from or what your values are. The values of America
are and have been changing as time goes on but jeans have stayed constant through this. With
many of their jeans made in North America this can mean that people value their e@ort to keep
production local.
Technological
Joe’s Jeans already uses cu7ng edge technology in the production of their clothing,
which is what has helped them gain a reputation for high quality clothing. However, technology
is always changing, which means that they have to keep up in order to keep their place in this
highly competitive market.
Though many of its jeans are made in North America, a good portion of that is made in
Mexico, and their is much talk in politics about bringing these jobs back to the United States.
Joe’s Jeans, like any global company will have to keep a close eye on this as time goes on. With
this you also have laws that already apply to importing and exporting. Joes Jean’s will have to
adhere to the laws in whatever states, or countries it decides to manufacture or sell in.
Political & Legal
When the economy changes, and people have less money, they are more likely to spend
less money on high end jeans for an investment. Keeping up with these economic changes
could mean a major change in the way a company operates. Although with more people in
America becoming employed currently people may be more likely to make an investment on a
pair of jeans that will last, is fashionable and high quality.
Jean companies are seeing an increasing change in the way that people shop for clothes.
With the rise in popularity of athletic clothing which in many respects is more comfortable in
casual wear, jeans could be becoming less popular. Even more so there are huge companies
with great reputations like Levi’s that absolutely dominate the market. Keeping up with quality
and changes in the market is important for Joe’s Jeans success in the future.
SWOT ANALYSIS
Strengths:
1. Extremely high quality materials used
2. Owned by the larger apparel company Di@erential Brands Group
3. Jeans designed to &t every person well
4. Rock and roll image appeals to a younger demographic which sells well
5. The jeans industry is strong with the average person owning 7 pairs
6. Uses newest technology in jean making to increase quality of product
7. Increasing sales yearly shows growth
8. Available globally to make the jeans more accessible
9. A wide product line from classic &7ng, to more modern which reaches a large age group
10. Made in America
Weaknesses:
1. High price deters less wealthy buyers
