Levis were the ultimate jeans in the 70s for purists - and yes, they were relatively more expensive than other brands - their closest competitor being Lee.
That rectangular leather patch on the rear waistband was the status symbol of the Pepsi generation - lol. To be honest ... often a particular model of Lee would be more flattering - better cut, value for money ... but they were not Levis. 'Nuf said.
Speaking of the shrink to fit, as someone mentioned above - I remember my older cousins buying 501s, putting them on, and sitting in a bathtub full of warm water until the jeans were saturated. Then they'd get out and keep them on until they'd dried (a full day, at times). But wooo-hooo ... those pants fit like second skin. Come to think of it - you could call them the original skinny jeans!
Anyway - yes ... they cost more than their competitors, which were Lee jeans - and far more than the generic Sears/Penneys type brands.