US jeans maker Levi Strauss has begun selling its denim on credit in India, offering shoppers the chance to buy a US$30 pair of its famous trousers in three installments.
The technique of allowing deferred payments is an age-old commercial strategy more common for sales of washing machines or cars, but the company has embraced the concept to tempt aspirational Indians with restricted budgets.
“This is the first time the world over that apparel like jeans and shirts are being sold on credit that will be deducted by the bank in three monthly installments,” Levi Strauss India managing director Shumone Chatterjee said.
The group, which claims to have created the first blue jeans in 1873, has teamed up with India’s largest private bank, ICICI Bank, to launch the initiative in the IT hotspot of Bangalore.
Buoyed by the response, Levi’s said it was in talks with other private banks such as HDFC to offer credit to a wider range of buyers and in other cities around the country.
Bangalore, with its large young population of IT workers, was an obvious starting point.
“Ever since we introduced the buy now, pay later’ scheme without interest or hidden charges in June, our sales have surged by [between] 10 [percent and] 15 percent,” Levi’s franchise manager M. Aaron said from his showroom in Bangalore.
The only condition for the credit is that the bill should be for at least 1,500 rupees (US$30), which means interest-free repayments of 500 rupees a month.
The lowest price for a pair of jeans in Aaron’s store is 1,600 rupees.
Judging by the customers walking out with shopping bags, Levi’s are a hit among Bangalore’s college students, young tech-savvy individuals and middle-aged professionals who were busily swiping their credit cards.
The move is an attempt by Levi Strauss to tap into the burgeoning demand for Western-branded clothes among India’s growing middle class.
Changing lifestyles, rising incomes and the influence of Western culture have fueled demand for designer clothing in India, an obvious symbol of wealth in the status-conscious country.
“With rapidly changing and globally exposed lifestyles, tastes and desires, consumers in India are seeking means to upgrade and update their wardrobes,” Levi’s brand manager Vishal Bhalla said.
Harish Bijoor, a brand specialist who runs an Indian consultancy, said he expected the installment plan to tempt buyers who might have been put off by the total price tag.
It could also boost sales at a time when consumer spending has weakened because of a broader slowdown in the Indian economy in the wake of the global financial crisis.
“The Levi’s scheme is a trendsetter in the jeanswear or apparel industry, which has been growing in double-digits over a decade,” Bijoor said. “The scheme makes branded products like Levi’s jeans affordable to a critical mass.”
SECURITY: As China is ‘reshaping’ Hong Kong’s population, Taiwan must raise the eligibility threshold for applications from Hong Kongers, Chiu Chui-cheng said When Hong Kong and Macau citizens apply for residency in Taiwan, it would be under a new category that includes a “national security observation period,” Mainland Affairs Council (MAC) Minister Chiu Chui-cheng (邱垂正) said yesterday. President William Lai (賴清德) on March 13 announced 17 strategies to counter China’s aggression toward Taiwan, including incorporating national security considerations into the review process for residency applications from Hong Kong and Macau citizens. The situation in Hong Kong is constantly changing, Chiu said to media yesterday on the sidelines of the Taipei Technology Run hosted by the Taipei Neihu Technology Park Development Association. With
CARROT AND STICK: While unrelenting in its military threats, China attracted nearly 40,000 Taiwanese to over 400 business events last year Nearly 40,000 Taiwanese last year joined industry events in China, such as conferences and trade fairs, supported by the Chinese government, a study showed yesterday, as Beijing ramps up a charm offensive toward Taipei alongside military pressure. China has long taken a carrot-and-stick approach to Taiwan, threatening it with the prospect of military action while reaching out to those it believes are amenable to Beijing’s point of view. Taiwanese security officials are wary of what they see as Beijing’s influence campaigns to sway public opinion after Taipei and Beijing gradually resumed travel links halted by the COVID-19 pandemic, but the scale of
A US Marine Corps regiment equipped with Naval Strike Missiles (NSM) is set to participate in the upcoming Balikatan 25 exercise in the Luzon Strait, marking the system’s first-ever deployment in the Philippines. US and Philippine officials have separately confirmed that the Navy Marine Expeditionary Ship Interdiction System (NMESIS) — the mobile launch platform for the Naval Strike Missile — would take part in the joint exercise. The missiles are being deployed to “a strategic first island chain chokepoint” in the waters between Taiwan proper and the Philippines, US-based Naval News reported. “The Luzon Strait and Bashi Channel represent a critical access
Pope Francis is be laid to rest on Saturday after lying in state for three days in St Peter’s Basilica, where the faithful are expected to flock to pay their respects to history’s first Latin American pontiff. The cardinals met yesterday in the Vatican’s synod hall to chart the next steps before a conclave begins to choose Francis’ successor, as condolences poured in from around the world. According to current norms, the conclave must begin between May 5 and 10. The cardinals set the funeral for Saturday at 10am in St Peter’s Square, to be celebrated by the dean of the College
RSS