Are Levi's Back in Fashion Again?

After years of falling popularity and failing sales, Levi’s seems to be getting over their slump. They reported a modest 1% sales gain in 2005 and are expected to report double digit gains in sales for 2006.

Levi's 503 Skinny Jean

New styles like their 503 skinny for women, and eye catching TV ads like the “Walk the Line” spots; seem to be helping the Levi’s brand gain strength in both image and sales.

The big question is whether they can make the strong connection they need with younger consumers. While 18-24 year olds make up the largest group of denim buying consumers, they are not the biggest fans of the Levi’s brand.

Levi’s has struggled for years to reconnect with the younger generation. Some attempts have had modest success, like their ultra-fashionable "Capital E" line; while others have been slightly disastrous. (Anyone in the market for an "ipod jean"?)

Levi's ipod jean

The main obstacle is a hard one to overcome; If Mom and Dad are wearing Levi’s, how can they be cool enough for junior too?

What do you think? Are Levi's back in style again?

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