A brief presentation on Nivea

1. Nivea
100 years of skin care for life
100 years?

2. A little about Nivea
Established in 1911
Parent Company: Beiersdorf AG
Sector: FMCG
Segment: Personal Skin care Products
Target Group: Middle class all age groups for skin care
Positioning : Positioned in the platform of “gentle care” and “wellness”
Global brand awareness for Nivea
is 93%
Around 30% of all women around
the world use Nivea

3. Strengths
• Huge Brand recall and equity
• Strong distribution network
• Product differentiation through distinct packaging
design
• Century old legacy
Weakness
• Past Controversy over ads that were termed
racist.
• Intense Competition in the skin care segment.
• Catering only to the middle class segment.
Opportunities
• Can widen its product mix to include hair care
products.
• Can increase depth of product mix.(eg. aloe vera
variant).
• Explore entry into the higher segment.
Threats
• Aggressive marketing by competitors, especially
using celebrities.
• Requirement of continuous innovation.
SWOT
ANALYSIS

4. Major Competitors

5. Nivea has been able to maintain a
leading position in the skin care
market for close to a century.
But How?

6. 1)Recognizing Changes in the society and responding accordingly.
Initially marketed as a cream that
protects woman’s skin and made
them look as white as snow.
White skin stood for
ideal beauty in Europe
Changes in standards of
beauty
Changed its marketing position
to one that allows a healthy tan.

7. Nivea has made several changes to its packaging over the years, but kept its
trademark blue colour consistent since 1925. The Blue colour has now become
an identifying feature of all Nivea products.

8. 2)Successfully able to grow both its:
a)product line: Expanded into deo drants, men’s products,
lip care

9. b) Presence in different countries: Achieved through recognizing the
different needs of the people in different regions and providing
products accordingly.

10. 3) Successfully able to differentiate its products through quality and design.
4) Continuously revising its core values and has added and removed products according
to these core values and continuous innovation.

11. What strategy does a global brand
like Nivea follow in respecting
cultural diversity?

12. The cultural norms of a society strongly affect the product choices in that
region.
For example saree would be a popular clothing item in India but may not be
so in Europe.
A Hindu person might actively avoid eating a beef burger but a person of
any other religion can be indifferent to it.

13. Nivea has a strong international presence.
• Achieved by adapting its products according to local needs, while
keeping its brand appearance standard.
Specific packaging for Mexico,
which prefers to buy in bulk
Introduced the special musk
scented products for the Middle
East

14. What’s next for Nivea?

15. Nivea can look to grow and expand further by:
a) Widening its product mix by giving a greater push to its hair
care segment.

16. b) Increasing the depth of its product mix. Example introducing new
variants such as strawberry etc and marketing its existing variants such
as aloe vera better

17. c) Exploring the market for skin friendly make up

18. d) Stretching upwards to target the higher segment
Nivea can
expand to
include a
premium
skin care
range

19. A Quick Recap
• Nivea, established in 1911, provides personal skin care products
• It’s major competitors include Dove, Vaseline, ponds
• It has been able to change with the changing needs of the society
and has hence remained relevant for the past 100 years
• Nivea is identified by its trademark blue and white colours
• While maintain one global brand image it has successfully adapted its
products according to the needs of the different regions.
• Nivea can look to expanding into new segments, introducing new
variants and targeting newer markets to continue expanding and
growing

20. References
https://www.google.co.in/search?q=premium+face+creams&dcr=0&source=lnms&tbm=isch&sa=X&v
ed=0ahUKEwiD58upxKnYAhWK5IMKHc7zD_8Q_AUICigB&biw=1536&bih=747#imgrc=_
https://www.brandingmag.com/2013/01/18/nivea-redesign-yves-behar-fuseproject/#
https://www.nivea.in/products/products
https://en.wikipedia.org/wiki/Nivea
Philip Kotler Kevin Lane Keller Marketing Management 15th Edition

21. Disclaimer
Created by Agrima Agarwal, Jesus and Mary college, during an internship with Professor Sameer Mathur, IIM Lucknow