Nivea cosmetics brand has a presence in huge number of product categories and countries. Once upon a time Nivea's performance prompted a yahoo.com news article to name it the 'Queen of Mega Brands.' This title was appropriate since the brand was present in over 14 product categories and was available in more than 150 countries. Nivea was reportedly believed to be a brand of local origin - having been present in them for many decades. This fact went a long way in helping the brand attain the leadership status in many categories and countries. According to analysts, the brand was the single largest factor for the 4.4% increase in the company's(Beiersdorf) revenues (€ 4.74 billion) and 10.7% increase in after-tax profit (€ 290 million) for the year 2002. Beiersdorf never tried to disturb the umbrella branding of Nivea and got fruitful results.
Amiya Kumar 10EX-003 Mehul J. Sudra 10EX-025
Nivea “SNOW WHITE” Type Personal care Owner Beiersdorf AG (BDF) Country Germany(1911)
NIVEA story 1912 Introduced Crème in Europe 1922 In US and South America 1951 Introduce first deodorizing soap 1963 NIVEA milk-"for all-over body care" 1973 "Only Me" NIVEA ad campaign
NIVEA story… 1982 Internationalization of Brand 1992 NIVEA's BLUE HARMONY ad 2008 Launches -Nivea lip care 2010 Launches - Nivea Happiness Sensation
Brand Extension Objective… Evolve NIVEA from a skin crème brand into a skin care brand by providing a range of new products that would both complement NIVEA Crème and broaden the meaning of the NIVEA brand name.
Horizontal Brand Extension… When a company uses the established brand name to new categories. ENHANCEDBRANDEQUITY ADDEDVALUE FIT
Customers must be comfortable with the brand in the new setting.
LOGO One of the simplest logo ever seen. This logo says all the things it wanted to say to its customers. The logo gives the feel of freshness and beauty and displays the brand uniqueness in the market as well.
Brand Category Strategic Brand: A brand that is projected to reap future sales and profits. NIVEA Crème, NIVEA Deo, NIVEA for Men Linchpin Brand: A brand that holds the entire organization together. It is a number one brand that indirectly influences a business area providing a strong base for customer loyalty. NIVEA Crème Silver Bullet Brand: A brand or sub-brand that positively influences the image of another brand. NIVEA Baby, NIVEA for Men
Brand Category… Cash Cow Brands: Brands with significant customer bases that require less attention than other brands. The total sales may be on a decline, yet there are a group of hard-core loyal customers who do not leave the brand. The role of a cash cow brand is to generate resources that can be invested in other brands for future growth. Nivea Crème is one such example of a brand that has been extended to other skin-related products to provide resources for other brands by banking on its customer base.
Brand Health A global brand with a wide range of products catering to the full spectrum of consumer segments Widely recognized and respected brand, which it leveraged across a range of sub-brands Nurtured its existing sub-brands and moved into additional market segments by adding new sub-brands Sub-brand experienced sales growth and gained market share
Marketing Strategy Internationalize sub-brands by creating a universal name. NIVEA logo for all packaging. Adopted separate ad campaigns for each sub-brands, but a common message of quality and care exist in all ad. Implemented IMC by “Blue Bible” philosophy Same message in all the market
Marketing Strategy Direct Marketing :- Periodic mailings to more than one million database Non-Traditional Marketing :- NIVEA beach ball @ European beaches each summer Blue Santa Clause giving NIVEA cream in Germany Event Marketing :- Sponsored beauty contests in diverse market, Poland, UK & Thailand
New Market Rollout NIVEA Crème NIVEA Body NIVEA Visage NIVEA Deo Other Sub brands
Current Stories BDF reveals travel retail strategy for Nivea brand :- Introduce over 65 products and a variety of exclusive travel sets to be sold on airplanes, in airports, and on ferries and cruise lines. “With this selection of Nivea products, we’ll be able to meet the demands of previously underserved needs and price segments , and we see great potential for attracting new buyers to our stores.” ~ InkenMenck, director of purchasing for perfumes and cosmetics 26-Oct-2010 ~ Deodorant sales grow worldwide :- A number of launches in the deodorant category helped to boost sales globally by 10 per cent during the nine month period ~09-Nov-2010~ Courtesy :- www.cosmeticsdesign.com