Levi’s bets big on luxury ‘Blue Tab’ $400 jeans as – Business News
Levi Strauss & Co. is doubling down on luxury denim, planning to roll out its new “Blue Tab” jeans — which value $300 to $400 — in more shops subsequent yr as it targets higher-end consumers whereas conserving its foothold within the mass market.
Levi’s exec Harmit Singh advised Reuters that the premium assortment — impressed by heavy Japanese selvedge denim — carried out so effectively in early assessments throughout Asia, Europe and the US that the company will “come back with a larger scale in ’26.”
Blue Tab jeans, priced between $290 and $410 in Europe, mark Levi’s boldest push but into the premium market, the place growth is outpacing the mid-tier denim class. The line additionally contains shirts and jackets that sell for as a lot as $800 in Europe.
Blue Tab jeans, priced between $290 and $410 in Europe, mark Levi’s boldest push but into the premium market, the place growth is outpacing the mid-tier denim class. Instagram/@levis
Levi’s nonetheless makes most of its income from its mid-market Red Tab vary and its low-cost Signature line, which is offered at shops like Walmart. But Singh, the long-lasting model’s chief financial and growth officer, advised The Wall Street Journal that Levi’s desires to develop its “addressable market” with out abandoning funds consumers.
“The price point is one thing, but it’s also the quality of the product,” Singh advised Reuters, pointing to the craftsmanship of selvedge denim — a tightly woven material identified for its clean edges and sturdiness.
The Blue Tab growth comes as Levi’s appears to recuperate from inflation and commerce headwinds that pressured it to scrap a prior purpose of hitting $10 billion in income by 2027.
The San Francisco-based company reported $6.4 billion in gross sales final yr and has logged high-single-digit growth in latest quarters. Singh stated Levi’s may define a new long-term income plan subsequent yr.
A prime Levi’s government stated that its premium assortment carried out so effectively in early assessments throughout Asia, Europe and the US that the company will “come back with a larger scale in ’26.” Instagram/@levis
The Blue Tab line additionally contains shirts and jackets that sell for as a lot as $800. Instagram/@levis
In the interview with The Journal, Singh stated the dual-track strategy — promoting $350 jeans alongside $20 pairs — is a component of a deliberate strategy.
“We don’t take anything for granted,” he was quoted as saying. “We have to earn [consumers’] trust on a more frequent basis.”
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Levi’s has used collaborations with high-end designers such as Kenzo and Miu Miu to burnish its image with prosperous shoppers.
The Blue Tab assortment launched in Asia earlier this yr and reached US shops in April. The quasi-cowboy couture is at the moment obtainable in 14 shops throughout the nation and 9 in Europe.
Blue Tab launched in Asia earlier this yr and reached US shops in April. It is at the moment obtainable in 14 shops throughout the nation and 9 in Europe. levi.com
The San Francisco-based company reported $6.4 billion in gross sales final yr and has logged high-single-digit growth in latest quarters. NurPhoto through Getty Images
Singh stated Levi’s expects a robust vacation season, with the company promoting more full-priced merchandise this yr and limiting reductions. Lower cotton costs are serving to cut back prices, whereas new collaborations with manufacturers like Barbour and Nike are drawing in contemporary prospects.
Despite tariffs on imports and a cooling international financial system, Singh stated the buyer stays resilient. “We’re not seeing any demand contraction,” he stated.
The company can also be eyeing future acquisitions to speed up growth past denim, including to its 2021 buy of activewear label Beyond Yoga for $150 million.
“Right now, we have two brands,” Singh stated. “We’ve left the door open for another brand.”
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