NIVEA

100 YEARS OF NIVEA

NIVEA HISTORY - 100 YEARS IN

THE MAKING
OVER 100 YEARS AGO, WE INVENTED MODERN SKIN CARE WITH NIVEA
CREME. TODAY, MILLIONS OF PEOPLE ALL OVER THE WORLD, ALL WITH
DIFFERENT TYPES OF SKIN, RELY ON THE NIVEA BRAND. THAT IS WHY OUR
RESEARCHERS WORK EXTENSIVELY WITH DIFFERENT SKIN TYPES AND THE
DIFFERENT CARE REQUIREMENTS BROUGHT ABOUT BY CULTURE, GENDER
AND AGE. THANKS TO THIS APPROACH, WE HAVE DEVELOPED NUMEROUS
INNOVATIVE SKIN CARE PRODUCTS OVER THE PAST FEW DECADES – FROM
DEODORANTS TO SUNSCREEN PRODUCTS. WE WORK WITH OVER 50
INSTITUTIONS AROUND THE WORLD TO ENSURE THAT OUR PRODUCTS ARE
SUITABLE FOR YOUR SKIN. AT OUR HEADQUARTERS IN HAMBURG WE HAVE
EVEN SET UP OUR OWN LABORATORY FOR ASIA AND LATIN AMERICA, WHERE
WE CONDUCT RESEARCH SPECIfiCALLY AIMED AT SKIN TYPES AND CLIMATE
CONDITIONS FOUND IN THESE REGIONS. WE DO THIS SO THAT ONE DAY
EVERYBODY IN THE WORLD CAN PLACE THEIR TRUST IN NIVEA PRODUCTS.
 INTRODUCTION
THE DEVELOPMENT OF NIVEA CREME OVER 100 YEARS AGO
MARKED THE BEGINNING OF A UNIQUE SUCCESS STORY AND THE
BIRTH OF THE WORLD’S NO.1 SKIN CARE BRAND*. NIVEA IS THE
PRODUCT OF BRILLIANT RESEARCH, OUTSTANDING CREATIVITY, AND
SOUND BUSINESS ACUMEN. IN 1890, DR. OSCAR TROPLOWITZ
BOUGHT PAUL C. BEIERSDORF’S HAMBURG-BASED LABORATORY.
TROPLOWITZ’S SCIENTIfiC ADVISOR, THE LEADING DERMATOLOGIST
PROFESSOR PAUL GERSON UNNA, TOLD HIM ABOUT AN INNOVATIVE
EMULSIFYING AGENT CALLED EUCERIT (THE ANCIENT GREEK WORD
FOR BEAUTIFUL WAX). TOGETHER, THEY DEVELOPED THE WORLD’S
fiRST STABLE OIL-AND-WATER-BASED CREAM THAT WAS SUITABLE
FOR MASS PRODUCTION IN 1911 AND CALLED IT NIVEA.
CORE VALUES
CARE

NIVEA
TRUST Beiersdorf SIMPLICITY

Core values

COURAGE
CUSTOMER BEHAVIOUR
5 STAGE DECISION MAKING PROCESS

NEED EVALUATING POST PURCHASE

RECOGNITION ALTERNATIVES BEHAVIOR

INFORMATION PURCHASE
RESEARCH DECISION
SEGMENTATION
DEMOGRAPHIC

GEOGRAPHIC

PSYCHOGRAPHIC AND BEHAVIOURAL

 TARGET MARKET
AGE 18-25 26-32 33 & ABOVE

INCOME LOW MEDIUM HIGH

LIFESTYLE MEDIUM HIGH HIGH

PRICE SENSETIVE HIGH MEDIUM LOW

HIGH SELF-IMAGE BUYER OR BENEfiT BUYER

• IMAGE CENTRIC
• PREMIUM BRANDS
• THE POSITIVE EFFECTS OF THE PRODUCT ON THE SKIN

INTELLIGENT BUYER

• QUALITY BY CHECKING INGREDIENTS

• SAVINGS (PRICE)
• FUNCTIONS (MULTI-PURPOSE)
 MARKETING MIX

A MARKETING MIX IS A COMBINATION OF VARIOUS STRATEGIES

THAT AN ORGANIZATION USES TO ADVANCE THE INTEREST FOR ITS
IMAGE OR PRODUCT OFFERINGS. THE MARKETING MIX
INCLUDES THE 4P’S – PRODUCT, PRICE, PLACE, AND
PROMOTION.

LET’S EXAMINE THE MARKETING MIX OF NIVEA:

 PRODUCT

PRODUCTS ARE THE BACKBONE FOR NIVEA.

IN EVERY CORNER OF THE WORLD, NIVEA PRODUCTS STAND FOR

HIGH QUALITY AND GENTLE BODY CARE.

IT IS A BRAND THAT IS NOT ONLY ASSOCIATED WITH

TRUST AND SECURITY, BUT ALSO WITH SATISFACTION.

 PLACE
• A GLOBAL BRAND LIKE NIVEA HAS SPREAD ITS
PRESENCE IN MORE THAN 100 COUNTRIES. THE
COMPANY HAS ITS HEADQUARTERS IN HAMBURG.

• NIVEA HAS A VERY STRONG DISTRIBUTION CHANNEL.

• RETAIL- NIVEA SELLS ITS COMMODITIES MOSTLY

VIA ITS RETAIL OUTLETS.

• E-COMMERCE- PRODUCTS ARE AVAILABLE ONLINE.

NIVEA DOES NOT SELL PRODUCTS DIRECTLY VIA ITS
WEBSITE AS IT IS NOT COST-EFFECIENT FOR THE
COMPANY TO DEAL WITH SMALL ORDERS.
 PRICE
NIVEA PRODUCT IS GUARANTEED BY ITS GOOD PRODUCT QUALITY
AND THE REASONABLE PRICES.

REASONABLE PRICES FOR HELPS TO BUILD COST- BENEfiT

RELATIONSHIP WITH CUSTOMER.

NIVEA TAKE CARE OF ITS CUSTOMERS THAT THEY ARE GETTING

MORE

VALUE THAN WHAT THEY ARE PAYING.

NIVEA SELLS ITS PRODUCTS TO RETAILERS AT A SINGLE SET PRICE

AND HAS ADOPTED A CONSTANT PRICING POLICY.
 PROMOTION
NIVEA USES VARIOUS PROMOTIONAL TECHNIQUES TO ATTRACT THEIR
CUSTOMERS.

TO SPREAD THE COMMUNICATION TO ITS LARGER AUDIENCE, NIVEA

USES-

DIGITAL - ITS ONLINE MAGAZINE FYI- FUN,YOUNG AND

INDEPENDENT.

PR- SOME SPONSORS EVENTS LIKE LONDON OLYMPICS 2012. IT ALSO

GIVES PRODUCT TO INflUENCERS WHO INflUENCE PUBLIC AT LARGE.

BRAND AMBASSADOR- POTRAYING A STRONG AND CONSISTENT BRAND

IDENTITY HELPS CONSUMERS UNDERSTAND AND TRUST THE PRODUCT.
THIS CAN BE DONE BY BRAND AMBASSADOR. CURRENT BRAND
AMBASSADOR OF NIVEA INDIA IS TAPSEE PANNUU.
 SWOT ANALYSIS

STRENGTHS WEAKNESS OPPORTUNITY THREATS

CREAM FORMULA
MANY COMPETITORS
UMBRELLA BRAND NEW PRODUCTS
TOUGH COMPETITION
RECOGNITION
SMALL BUSINESSES
DEMAND FOR ORGANIC
CHANGING BRAND
ECONOMIC MIRACLE PRODUCTS
IDENTITY CONSUMER BEHAVIOR
PACKAGING EXPANSION OF THE
EXPANSION GOVERNMENT
TERRITORIES
REGULATIONS
GEOGRAPHICAL
PRESENCE
 VALUE CHAIN
Primary

INBOUND OUTBOUND MARKET &

OPERATION SERVICES
LOGISTICS LOGISTICS SALES

HANDLING &
SOURCING PRODUCING PACKING SERVICING
DELIVERING

Secondary

TECHNOLOGY HUMAN FIRM

PROCUREMENT
DEVELOPMENT RESOURCES INFRASTRUCTURE

GREATEST IMPACT ON
RELIABILITY GREATEST INflUENCE
THROUGH BRANDS
COMPETITOR ANALYSIS
POND'S

HAS AN AFFORDABLE PRICING STRATEGY AND STRONG DISTRIBUTION AND IS ONE OF THE TOP NIVEA COMPETITORS.

DOVE

IT HAS A MIX OF BOTH SOAP AND CREAM THEREBY PROVIDING CLEANSING AND SMOOTHING PRODUCTS.

VASELINE

VASELINE AND NIVEA SHARE ALMOST SIMILAR PRODUCT PORTFOLIOS AND HAVE STRONG DISTRIBUTION.

JOHNSON & JOHNSON

THIS BRAND HAS A STRONG PRESENCE WITHIN EACH CATEGORY OF PRODUCT. IT IS A TRUSTED BRAND BY MANY
MEDICAL PRACTITIONERS.

LAKME

DUE TO THE GREAT PRODUCT LINE AND ITS VISIBILITY, LAKME IS A TOP NIVEA COMPETITOR WITH KAREENA
KAPOOR KHAN AS ITS BRAND AMBASSADOR.
 FLAWS AND
SUGGESTIONS
•REPOSITIONING NEEDED TO CHANGE BRAND IMAGE: THIS IS A DOUBLE-EDGED
SWORD. ON ONE SIDE NIVEA HAS A FANTASTIC ADVANTAGE BY COVERING A
PROfiTABLE NICHE - COLD CREAM. IT IS DOING SO FOR THE MEN'S CREAM. BUT THE
OVERALL BRAND IS STRONGLY SKEWED TOWARDS COLD CREAMS.

•REGULAR ISSUES IN MARKETING: NIVEA HAS FACED SEVERAL RACIAL ISSUES IN THEIR
MARKETING AS WELL AS HUGE fiNES IMPOSED DUE TO WRONG MARKETING CLAIMS
MADE. SUCH WRONG MARKETING ISSUES MAKE A DENT IN THE BRAND AND WILL
AFFECT THE BRAND IF REPEATED.

•NO SEPARATE OUTLET FOR MEN: MEN'S PRODUCTS ARE USUALLY SOLD WITH WOMEN'S
PRODUCTS. THIS RESTRICTS BUYERS WHO ARE HESITANT TO GO INTO THE FEMALE SHOP
AND BUY THE PRODUCTS.

•NO SAMPLING OFFERED: THEY CAN TARGET NEW CUSTOMER BASES. FOR EXAMPLE,
GIVING SAMPLES OF SUN CREAM AT THE BEACHES CAN HELP GAIN VISIBILITY TO THE
PRODUCTS WHICH ARE NOT POPULAR.