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Levi Strauss sets up its own operation in Thailand

Levi Strauss & Co has opened its own operation in Thailand after finishing a 25-year distribution contract with DKSH that ended last month.

The denim-led brand said the change will allow it to connect directly with Thai customers through its subsidiary LS&Co Thailand.

Sameer Koul, GM for Southeast Asia, told local media that Thailand is the second country, following Singapore, where the company has opted to run its own business 100 per cent. It’s part of a strategy for Levi to push its growth and reach a wider customer base.

“Thailand has a huge opportunity to grow our business due to a favourable customer demographic,” Koul told the Bangkok Post.

“Levi’s has very strong brand recognition among Thai fans. Moreover, Thai customers love to express themselves.”

Koul said that during the pandemic, global fashion sales decreased by 20 per cent, however, Levi reported strong financial performance with net revenue of US$5.8 billion last year, similar to 2019.

In addition, Levi also plans to accelerate sustainable growth and expand its business in East Asia Pacific (EAP) region. The company will launch an unspecified number of new stores and refurbish existing stores throughout the region.

A new retail store design format called NextGen Indigo Stores will be rolled out aiming to offer consumers an elevated store experience with digital tools. Eight NextGen Indigo Stores have opened in Thailand already, including outlets at Siam Paragon, Emporium, Central Lat Phrao and Central Festival Chiang Mai.

“We are committed to the future success of our business at every level and are reimagining what we do and how we win in today’s marketplace,” said Nuholt Huisamen, MD and senior VP at Levi Strauss & Co.

“At the same time, we are embracing the technologies of tomorrow to power innovation and better serve our customers and deliver greater value to stakeholders. We will do this by placing people at the heart of our business and through responsible practices because being a force for positive change is integral to being the world’s best apparel brand.”

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