Abhaya SJB Rana

Anish C. Gautam
Ujwal Khadka
 Introduction
• NIVEA: MANAGING A MULTI-CATEGORY BRAND
• NIVEA, one of the oldest and biggest cosmetic
brands in the world has successfully
transformed itself from a single skin care
brand to a trustworthy and contemporary
personal care brand for all family types. The
brand stretched itself by sub-branding to many
new segments, always nursing the core
mother brand NIVEA and its “Gestalt”.
 Company Overview
• Nivea is brand of Beiersdorf a German based
company owing various other cosmetics
brand.
• In year 2003, company was present in over
14 product categories.
• These product categories were serving
peoples of 150 countries.
• Nivea began its operations in the year 1911.
 Cont…………..
• Mr. Oscar Troplowitz was the owner of this
company and also he was the person who
named it Nivea.
• Nivea comes from the latin word
niveus/nivea/niveum (meaning snow-white).
• The brand had a 15% market share in the
global skin care products market in 1990.
 Product Quality
• Nivea products are all made up of recyclable plastic and
no animal testing takes place.
• Beirsdorf is currently in the process of removing alcohol
from their products and adding natural elements.
• Over 98% of the ingredients within NIVEA Creme are
natural.  
• One challenge Nivea is facing is their
new line of hair products and still
maintaining mostly natural ingredients.
 Product Design
• Depending on the product and certain sub-brand,
the design varies with the target market. It always
includes the original blue and white Nivea title but
includes character and personality into each line.
• Along with all these different designs of each sub
brand. On the website , men, women, kids and
teenagers all have different links to view according
to what they are looking for. Advice, games and
information according to the consumer is given.
 Cont…..
• In Ireland. Smith & Nephew sold the NIVEA
brand back to Beiersdorf in 1992. From then a
huge Programme of new product launches
and advertising began.
 Brand Strategy
• NIVEA’S first competitive challenge: 1970s
• For first 50yrs, the market for multi-purpose
cream grew up steadily
• 35% in Germany and a major market share in
Europe.
• In late 1960s and early 1970s it faced strong
competition.
• The brand had an ‘older’ image and was not
viewed as young, dynamic, and modern.
Depending on the product and certain sub-brand, the
design varies with the target market.

Girls
Kids

Men Women
 Revitalizing Nivea Crème
• “Only Me” campaign ran internationally and
made a new brand promise: Nivea Crème
meets all skin care needs.
• They built on the image of the blue tin where
they are number one almost everywhere in
Europe.
• NIVEA’s strong association of ‘general skin
care’ so upgrades NIVEA’s image into the
1990s.
 Brand Extensions
• The company’s long-term objective was to
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.
 Cont…..
• To clarify the new brand extensions, the company established
a set of guidelines that any possible new products had to
satisfy:
• 1. Meet a basic need: clean and/or protect
• 2. Offer the special care/mildness benefit of NIVEA cream
• 3. Be simple and uncomplicated
• 4. Not offer to solve only a specific problem
• 5. Maintain a leading position in terms of quality
• 6. Offer the product at a reasonable price so the consumer
perceives a balance cost-benefit relationship.
• 7. Offer the broadest possible distribution.
Cont….
 Cont………..
• Skin Care—Nivea Body, Nivea Visage, Nivea
for Men, Nivea Sun, Nivea Baby, Nivea Crème,
Nivea Vital, Nivea Soft, Nivea Hand, and Nivea
Lip.
• Personal Care—Nivea Deo, Nivea Beaute,
Nivea Hair Care, Nivea Bath Care, and Nivea
Intimate Care.
 Product Services
• Nivea provides numerous advice, information,
games and personal attention to each consumer.
• Beiersdorf opened the world's first 'House of
NIVEA' in Hamburg, Germany. The house offers
different accommodations to its customers such
as massages, and product.
• There is a monthly newsletter available to sign up
for free for customers to keep track of new
product lines and news.
Products
Nivea Visage
Nivea Beaute
Nivea Haircare
Nivea Creme
Nivea Body
Nivea Body
Nivea Sun
Nivea for Men
Nivea Hand
Nivea Deodorant
Nivea Lipcare
 Brand Portfolio
• In 1980- Men’s Skin Care
• By 2005, the NIVEA brand portfolio had grown from
six product groups in 1993 to fifteen, including
• Skin Care—NIVEA Body, NIVEA Visage, NIVEA for
Men, NIVEA Sun, NIVEA Baby, NIVEA Crème, NIVEA
Vital, NIVEA Soft, NIVEA Hand, and NIVEA Lip.
• Personal Care—NIVEA Deo, NIVEA Beauty, NIVEA
Hair Care, NIVEA Bath Care,and NIVEA Intimate Care.
 Cont….
• Market leader in: -
– skin creams and lotions in 28 countries.
– facial cleansing in 23 countries.
– facial skin care in 18 countries.
– suntan products in 15 countries.
• Nivea was believed to be the brand of local
origin in many of these countries which
helped them in becoming the market leader.
video
 Branding Strategy
• In the mid-1990s, NIVEA began standardizing its
advertising formats to establish a consistent look
among its sub-brands.
• Cosmed worked with agencies FCB and TBWA to
develop the marketing concepts and ad executions.
• “Pictures travel, words don’t”
• Blue Bible- “key anchor” for all brand decisions.
• Brand identity, vision, mission, success factors, and
the role of its sub-brands.
 Direct Marketing

• France- more than one million consumers

• That contained product samples and
information, coupons, and a survey
• Nivea magazines
• For the whole family, including ones
specifically for men and younger adults.
video
 Non-Traditional Marketing

• The blue Nivea beach ball- European beaches each

summer
• Blue Santa Claus -giving away Nivea Crème in
Germany
• Mega-poster” –advertisement
• Nivea Club in Austria in 1995- annual membership
fee of about $10, members received a quarterly
magazine, between four and six new product
samplings, and a birthday gift.
• Organized “workshops for body & soul”- ” in
Germany, the United Kingdom and United States
 Event Marketing

• Sponsored various organizations @ different

countries - beach lifesavers (lifeguards),
children’s sailing programs, beach volleyball
tour, beauty contests
• Double-decker Nivea-branded blue - traveled
to concerts-youth
• Nivea Shops included extensive point-of-sale
display @ departmental stores
Celebrity Endorsements
Duffy…
Kristin Cavallari…
 Interesting Marketing Idea…
• In Bangkok, a Nivea truck drove around with a stage and
a woman showering in a frosted shower. This was to
promote the new shower product. This angered some of
the people of Bangkok.
 Nivea.com

• Global website- Company and its history,

products, markets, beauty advice, and games
• Country’s own version - popular Blue
Harmony theme
• Individual products, specialized beauty and
skin care tips, online sweepstakes, and chat
rooms
 Research and Development

• Beiersdorf spent €38 million, employed over

650 scientists.
 OVERALL BRAND HEALTH

• At the beginning of the 1990s, Nivea was

already a global brand
• A widely recognized and respected brand,
which it leveraged across a range of sub-
brands.
• The company’s sub-brand strategy yielded
remarkable results: between 1990 and 2000-
sales growth and market share.
 Cont…..
4500

3750

3000

2250

1500

750

0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Source: Beiersdorf 2004 Annual Report

 Cont…..
• By 2005, Nivea was a leading international
skin care company and voted the most trusted
brand in Germany by Reader’s Digest and
voted most trusted skin care company in
eleven other European countries
• Geographically, Nivea could seek growth in
either the United States where L’Oréal, P&G,
and Estée Lauder held strong market share or
emerging markets
 Cont……
• There was also the booming sector of men’s
grooming- but more focus on men meant less
focus on its core consumer base of women
and families.
• Finally, the company had to decide whether
the sub-brand strategy would continue to
work or if the company should leverage the
Nivea brand with an umbrella strategy.
CBBE of Nivea
video
 The End

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