Latest news with #Gass
Yahoo
6 days ago
- Lifestyle
- Yahoo
Is ‘Quiet Western' the New Quiet Luxury?
Is quiet western the new quiet luxury? It could be according to Michelle Gass, Levi Strauss & Co. president and CEO. In the company's Q2 2025 earnings call on Thursday, the exec said the cowboy trend is evolving into a softer and subtler aesthetic. More from Sourcing Journal Best Denim Style at Paris Men's Fashion Week Levi's and Holt Renfrew Plan Popups and Activations Consumers Demand Authenticity Over Rainbow-Washing Pride Collections 'With our robust denim lifestyle offering, we're seeing consumers find that perfect pairing more and more often. Women are pairing a classic blue cut or flared jean with our simple essential rib tank or one of our textured knits inspired from our heritage. And men are wearing a classic western shirt with a Khaki XX Chino. Quiet western is perfect for the Levi's denim lifestyle aesthetic and a natural place for us to lead,' she said. Net revenues for the Levi's brand increased 9 percent globally on an organic basis, energized by a 10 percent increase in direct-to-consumer organic revenues and a 7 percent increase in wholesale. Harmit J. Singh, LS&Co. executive VP, chief financial and growth officer, said the brand generated a 'healthy mix of revenue growth with two-thirds driven by higher volume and one-third by higher AURs.' Levi's bottoms business was up 8 percent, driven by double-digit growth in women's. Men's was up mid-single digits. In terms of products, Gass said the brand's lightweight Linen+ Denim launch is seeing strong success across both men and women, while baggy bottoms continue to gain popularity. 'Ahead of the summer, we saw this trend accelerate in our short offering, which grew double digits in both men's and women's,' she said. 'With the '90s and Y2K fashion in full swing, longer and looser style shorts are in high demand. We're confident we have the right newness and innovation like the Baggy Dad Jort in place to deliver for our fans and drive this trend.' Additionally, Singh said the 578 Baggy for men performed exceptionally well in Levi's DTC channels. The brand is also seeing momentum with tops. Gass reported that Levi's tops business grew 16 percent in Q2 with acceleration across genders and channels. In Q2, Levi's opened 16 new stores that better reflect the brand's improving lifestyle assortment. Levi's direct-to-consumer continues to be an area of growth and opportunity. Sales from the channel increased 10 percent in the quarter. Increased store traffic, better conversion rates and higher AURs, are leading to growth in Levi's stores and online across all geographic segments, Gass said. However, wholesale exceeded expectations with the channel up 7 percent, posting its third consecutive quarter of growth. 'Our wholesale partners are embracing our head-to-toe offerings, broader product assortment and fashion fits. Having a strong direct-to-consumer presence and focus gives us insights to product trends, enabling both us and our customers to have the confidence to buy and fill flows for our new product offers,' Singh said. He added that the company will remain 'prudent' when it comes to wholesale as it's a channel it doesn't control. On the horizon Given the positive first half of the year, continued strong execution and momentum in our business, LS&Co. raised its top and bottom-line guidance for the year, increasing organic net revenue growth by 1 percentage point to 4.5 percent to 5.5 percent. Gass said Levi's has everything it needs to continue momentum including 'a fresh lineup of product innovation, unique and exclusive product collaborations and globally relevant partnerships.' A fourth chapter of Reiimagine, Levi's ongoing women's campaign with Beyoncé, will launch as well as a new campaign focused on underscoring the brand's relevancy and authenticity with men. Levi's will also diversify its fit portfolio with more loose and baggy styles, fresh skinny and straight silhouettes and more bootcut and western-inspired fits. Additionally, the 501 will get a performance fabric update with thermoregulating technology. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Fashion Network
16-07-2025
- Business
- Fashion Network
How Levi's is blending music, tech and fashion to drive growth
Levi Strauss is riding a fresh wave of momentum, posting a 9% increase in like-for-like sales for the first half of its 2025 financial year. Building on that growth, the denim giant now expects full-year sales to rise by 1% to 2%. But according to CEO Michelle Gass, the results reflect more than a temporary boost—they validate the vision and restructuring she has led since taking the helm in 2023. Under her leadership, Levi's has made bold moves, including divesting its Denizen brand in Asia, exiting its footwear division, and selling Dockers, the iconic chinos label. The company's ' Project Fuel' transformation plan, launched in early 2024, also included a major reorganization of its regional headquarters. These decisions align with Gass's broader ambition to turn Levi's into a global lifestyle brand rooted in denim, with a direct-to-consumer focus. 'The brand has never been stronger, and that's thanks to a combination of things,' Gass told analysts during a recent earnings call. 'We have a rich heritage, but you have to earn that relevance every day. That means showing up wherever the consumer is—on social media, in music, at cultural events, through Beyoncé or Shaboozey's wardrobe.' The Beyoncé partnership, linked to her 'Cowboy Carter' album and tour, is a powerful example of how Levi's continues to blend culture and commerce. 'This quarter, we launched the third chapter of our 'Reiimagine' campaign with Beyoncé, recreating a classic Levi's ad from the archives,' Gass said. 'We rolled out a limited-edition product line and worked directly with her team through our House of Strauss platform to design exclusive, custom looks for her tour. Staying deeply connected to music culture remains a pillar of our marketing strategy.' Levi's music push doesn't end there. In Europe, the brand recently partnered with Barcelona's Primavera Sound festival, launching a capsule collection and branding three performance stages. It also released a special-edition collection in tribute to the legendary British band Oasis. Still, Gass is quick to point out that Levi's rebound isn't built on celebrity campaigns alone—particularly in Europe, where sales rose 15% year over year on a like-for-like basis. 'Last month, I visited key cities like Paris, Barcelona and Milan. I was genuinely impressed by the brand's strength in these markets—both in-store and with younger consumers. Our teams have made real improvements in how and where Levi's shows up,' she said. The group's operating margin hit 17.2% in Q2, a 210 basis-point improvement. France, the UK, Italy and Spain all posted double-digit sales growth. Gass said she met with key franchise partners as well as retail heavyweights like Zalando and Galeries Lafayette —and sees continued potential for growth across Europe. Another bright spot is Levi's 'tops' category, which includes T-shirts, dresses and jumpsuits. 'Last year, we restructured our tops division—and it's paying off. This category is driving our evolution from jeans-only to full lifestyle,' Gass noted. The brand also introduced a new fast-track design function to bring tops and graphic tees to market faster and respond to trends through its direct channels. The brand is leaning into the westernwear revival, citing strong sales for subtle western-inspired silhouettes. Long, baggy shorts—a nod to the Y2K aesthetic—have also performed well. Levi's is branching out from its denim roots with fabric innovations like the 'Linen plus Denim' blend, designed for warmer climates and now used across a wider range of product categories. These innovations support Levi's shift toward a more premium segment. The brand recently partnered with high-end label Sacai and launched its elevated Blue Tab line—moves that allow it to justify selective price increases. Still, Levi's remains a mass-market brand at its core. Gass is focused on leveraging technology and data to refine product offerings and enhance profitability. 'We've streamlined our assortment and introduced newness with discipline,' she said. 'That's helping us drive better productivity and more full-price sales. These choices are key to maintaining our market leadership and growing the average spend per customer.' That discipline appears to be paying off. With strong investor confidence, Levi's and its ambitious CEO are now one step closer to hitting their goals of 5% annual organic growth and 15% operating margins.
Fashion Network
16-07-2025
- Business
- Fashion Network
How Levi's is blending music, tech and fashion to drive growth
Levi Strauss is riding a fresh wave of momentum, posting a 9% increase in like-for-like sales for the first half of its 2025 financial year. Building on that growth, the denim giant now expects full-year sales to rise by 1% to 2%. But according to CEO Michelle Gass, the results reflect more than a temporary boost—they validate the vision and restructuring she has led since taking the helm in 2023. Under her leadership, Levi's has made bold moves, including divesting its Denizen brand in Asia, exiting its footwear division, and selling Dockers, the iconic chinos label. The company's ' Project Fuel' transformation plan, launched in early 2024, also included a major reorganization of its regional headquarters. These decisions align with Gass's broader ambition to turn Levi's into a global lifestyle brand rooted in denim, with a direct-to-consumer focus. 'The brand has never been stronger, and that's thanks to a combination of things,' Gass told analysts during a recent earnings call. 'We have a rich heritage, but you have to earn that relevance every day. That means showing up wherever the consumer is—on social media, in music, at cultural events, through Beyoncé or Shaboozey's wardrobe.' The Beyoncé partnership, linked to her 'Cowboy Carter' album and tour, is a powerful example of how Levi's continues to blend culture and commerce. 'This quarter, we launched the third chapter of our 'Reiimagine' campaign with Beyoncé, recreating a classic Levi's ad from the archives,' Gass said. 'We rolled out a limited-edition product line and worked directly with her team through our House of Strauss platform to design exclusive, custom looks for her tour. Staying deeply connected to music culture remains a pillar of our marketing strategy.' Levi's music push doesn't end there. In Europe, the brand recently partnered with Barcelona's Primavera Sound festival, launching a capsule collection and branding three performance stages. It also released a special-edition collection in tribute to the legendary British band Oasis. Still, Gass is quick to point out that Levi's rebound isn't built on celebrity campaigns alone—particularly in Europe, where sales rose 15% year over year on a like-for-like basis. 'Last month, I visited key cities like Paris, Barcelona and Milan. I was genuinely impressed by the brand's strength in these markets—both in-store and with younger consumers. Our teams have made real improvements in how and where Levi's shows up,' she said. The group's operating margin hit 17.2% in Q2, a 210 basis-point improvement. France, the UK, Italy and Spain all posted double-digit sales growth. Gass said she met with key franchise partners as well as retail heavyweights like Zalando and Galeries Lafayette —and sees continued potential for growth across Europe. Another bright spot is Levi's 'tops' category, which includes T-shirts, dresses and jumpsuits. 'Last year, we restructured our tops division—and it's paying off. This category is driving our evolution from jeans-only to full lifestyle,' Gass noted. The brand also introduced a new fast-track design function to bring tops and graphic tees to market faster and respond to trends through its direct channels. The brand is leaning into the westernwear revival, citing strong sales for subtle western-inspired silhouettes. Long, baggy shorts—a nod to the Y2K aesthetic—have also performed well. Levi's is branching out from its denim roots with fabric innovations like the 'Linen plus Denim' blend, designed for warmer climates and now used across a wider range of product categories. These innovations support Levi's shift toward a more premium segment. The brand recently partnered with high-end label Sacai and launched its elevated Blue Tab line—moves that allow it to justify selective price increases. Still, Levi's remains a mass-market brand at its core. Gass is focused on leveraging technology and data to refine product offerings and enhance profitability. 'We've streamlined our assortment and introduced newness with discipline,' she said. 'That's helping us drive better productivity and more full-price sales. These choices are key to maintaining our market leadership and growing the average spend per customer.' That discipline appears to be paying off. With strong investor confidence, Levi's and its ambitious CEO are now one step closer to hitting their goals of 5% annual organic growth and 15% operating margins.
Fashion Network
16-07-2025
- Business
- Fashion Network
How Levi's is blending music, tech and fashion to drive growth
Levi Strauss is riding a fresh wave of momentum, posting a 9% increase in like-for-like sales for the first half of its 2025 financial year. Building on that growth, the denim giant now expects full-year sales to rise by 1% to 2%. But according to CEO Michelle Gass, the results reflect more than a temporary boost—they validate the vision and restructuring she has led since taking the helm in 2023. Under her leadership, Levi's has made bold moves, including divesting its Denizen brand in Asia, exiting its footwear division, and selling Dockers, the iconic chinos label. The company's 'Project Fuel' transformation plan, launched in early 2024, also included a major reorganization of its regional headquarters. These decisions align with Gass's broader ambition to turn Levi's into a global lifestyle brand rooted in denim, with a direct-to-consumer focus. 'The brand has never been stronger, and that's thanks to a combination of things,' Gass told analysts during a recent earnings call. 'We have a rich heritage, but you have to earn that relevance every day. That means showing up wherever the consumer is—on social media, in music, at cultural events, through Beyoncé or Shaboozey's wardrobe.' The Beyoncé partnership, linked to her 'Cowboy Carter' album and tour, is a powerful example of how Levi's continues to blend culture and commerce. 'This quarter, we launched the third chapter of our 'Reiimagine' campaign with Beyoncé, recreating a classic Levi's ad from the archives,' Gass said. 'We rolled out a limited-edition product line and worked directly with her team through our House of Strauss platform to design exclusive, custom looks for her tour. Staying deeply connected to music culture remains a pillar of our marketing strategy.' Levi's music push doesn't end there. In Europe, the brand recently partnered with Barcelona's Primavera Sound festival, launching a capsule collection and branding three performance stages. It also released a special-edition collection in tribute to the legendary British band Oasis. Still, Gass is quick to point out that Levi's rebound isn't built on celebrity campaigns alone—particularly in Europe, where sales rose 15% year over year on a like-for-like basis. 'Last month, I visited key cities like Paris, Barcelona and Milan. I was genuinely impressed by the brand's strength in these markets—both in-store and with younger consumers. Our teams have made real improvements in how and where Levi's shows up,' she said. The group's operating margin hit 17.2% in Q2, a 210 basis-point improvement. France, the UK, Italy and Spain all posted double-digit sales growth. Gass said she met with key franchise partners as well as retail heavyweights like Zalando and Galeries Lafayette—and sees continued potential for growth across Europe. Another bright spot is Levi's 'tops' category, which includes T-shirts, dresses and jumpsuits. 'Last year, we restructured our tops division—and it's paying off. This category is driving our evolution from jeans-only to full lifestyle,' Gass noted. The brand also introduced a new fast-track design function to bring tops and graphic tees to market faster and respond to trends through its direct channels. The brand is leaning into the westernwear revival, citing strong sales for subtle western-inspired silhouettes. Long, baggy shorts—a nod to the Y2K aesthetic—have also performed well. Levi's is branching out from its denim roots with fabric innovations like the 'Linen plus Denim' blend, designed for warmer climates and now used across a wider range of product categories. These innovations support Levi's shift toward a more premium segment. The brand recently partnered with high-end label Sacai and launched its elevated Blue Tab line—moves that allow it to justify selective price increases. Still, Levi's remains a mass-market brand at its core. Gass is focused on leveraging technology and data to refine product offerings and enhance profitability. 'We've streamlined our assortment and introduced newness with discipline,' she said. 'That's helping us drive better productivity and more full-price sales. These choices are key to maintaining our market leadership and growing the average spend per customer.' That discipline appears to be paying off. With strong investor confidence, Levi's and its ambitious CEO are now one step closer to hitting their goals of 5% annual organic growth and 15% operating margins.
Fashion Network
16-07-2025
- Business
- Fashion Network
How Levi's is blending music, tech and fashion to drive growth
Levi Strauss is riding a fresh wave of momentum, posting a 9% increase in like-for-like sales for the first half of its 2025 financial year. Building on that growth, the denim giant now expects full-year sales to rise by 1% to 2%. But according to CEO Michelle Gass, the results reflect more than a temporary boost—they validate the vision and restructuring she has led since taking the helm in 2023. Under her leadership, Levi's has made bold moves, including divesting its Denizen brand in Asia, exiting its footwear division, and selling Dockers, the iconic chinos label. The company's 'Project Fuel' transformation plan, launched in early 2024, also included a major reorganisation of its regional headquarters. These decisions align with Gass's broader ambition to turn Levi's into a global lifestyle brand rooted in denim, with a direct-to-consumer focus. 'The brand has never been stronger, and that's thanks to a combination of things,' Gass told analysts during a recent earnings call. 'We have a rich heritage, but you have to earn that relevance every day. That means showing up wherever the consumer is—on social media, in music, at cultural events, through Beyoncé or Shaboozey's wardrobe.' The Beyoncé partnership, linked to her 'Cowboy Carter' album and tour, is a powerful example of how Levi's continues to blend culture and commerce. 'This quarter, we launched the third chapter of our 'Reiimagine' campaign with Beyoncé, recreating a classic Levi's ad from the archives,' Gass said. 'We rolled out a limited-edition product line and worked directly with her team through our House of Strauss platform to design exclusive, custom looks for her tour. Staying deeply connected to music culture remains a pillar of our marketing strategy.' Levi's music push doesn't end there. In Europe, the brand recently partnered with Barcelona's Primavera Sound festival, launching a capsule collection and branding three performance stages. It also released a special-edition collection in tribute to the legendary British band Oasis. Still, Gass is quick to point out that Levi's rebound isn't built on celebrity campaigns alone—particularly in Europe, where sales rose 15% year over year on a like-for-like basis. 'Last month, I visited key cities like Paris, Barcelona and Milan. I was genuinely impressed by the brand's strength in these markets—both in-store and with younger consumers. Our teams have made real improvements in how and where Levi's shows up,' she said. The group's operating margin hit 17.2% in Q2, a 210 basis-point improvement. France, the UK, Italy and Spain all posted double-digit sales growth. Gass said she met with key franchise partners as well as retail heavyweights like Zalando and Galeries Lafayette—and sees continued potential for growth across Europe. Another bright spot is Levi's 'tops' category, which includes T-shirts, dresses and jumpsuits. 'Last year, we restructured our tops division—and it's paying off. This category is driving our evolution from jeans-only to full lifestyle,' Gass noted. The brand also introduced a new fast-track design function to bring tops and graphic tees to market faster and respond to trends through its direct channels. The brand is leaning into the westernwear revival, citing strong sales for subtle western-inspired silhouettes. Long, baggy shorts—a nod to the Y2K aesthetic—have also performed well. Levi's is branching out from its denim roots with fabric innovations like the 'Linen plus Denim' blend, designed for warmer climates and now used across a wider range of product categories. These innovations support Levi's shift toward a more premium segment. The brand recently partnered with high-end label Sacai and launched its elevated Blue Tab line—moves that allow it to justify selective price increases. Still, Levi's remains a mass-market brand at its core. Gass is focused on leveraging technology and data to refine product offerings and enhance profitability. 'We've streamlined our assortment and introduced newness with discipline,' she said. 'That's helping us drive better productivity and more full-price sales. These choices are key to maintaining our market leadership and growing the average spend per customer.' That discipline appears to be paying off. With strong investor confidence, Levi's and its ambitious CEO are now one step closer to hitting their goals of 5% annual organic growth and 15% operating margins.
