Nivea is the number one brand in the world for its skin and body care products and cosmetics.
Nivea belongs to Beiersdorf, a German company that represents 70% of its turnover in the market.
The brand Nivea was created in 1911 when Dr. Oskar Troplowitz got the first emulsion of oil in water. A dermatologist recommended him to add several ingredients such as citrus fruits, lavender and rose. Oskar Troplowitz named this cream Nivea, from the Latin "nix nivis", which means snow.
In this first part of our report, we will focus on Nivea's environment. The way a brand functions is mostly defined by its environment, which can be internal or external (demographic, political, economic, natural and cultural). Firstly, we will focus on the external environment of this brand.
[...] In order to protect its brand, Beiersdorf systematically brings a lawsuit against counterfeiter. Technological environment: In order to stay competitive, Nivea creates new products and diversify its brand. Thus, over the years about 400 references from the brand Nivea are on the market. The innovation of Nivea is the creation of cosmetic products, make up for women. Innovation is a really important point, because of the competition on the cosmetic and care skin market. Gemay Maybelline, Clarins and L'Oréal are very serious competitors for the brand. [...]
[...] However, the German group was the first to launch its range of products for the beauty of men with Nivea For Men in 1980, getting an advance on the French group as it was very popular to customers who liked the first balm on the market that did not contain alcohol, which can irritate the skin. The Americans Estée Lauder (Clinique, Origins . ) and Avon but also the Japanese Shiseido are important competitors in the sector of cosmetics. But competition comes also from middle size firms like Yves Rocher, Henkel, Clarins, Nuxe, Caudalie, Alès groupe. Nivea has also to face another kind of competition led by distributors: the one coming from Marionnaud or Sephora which are creating their own ranges of products. That's why the competition is very strong. [...]
[...] Indeed, the way a brand acts is mostly defined by its environment, which can be internal or external (demographic, political, economic, natural, cultural First of all, we will focus on the external environment of this brand. The situation analysis The environment (demographic, economical, natural, technological, political, cultural, legal forces) The demographic environment: Nivea sells its products worldwide, indeed, since the 80's, the firm Beiersdorf managed to extend the brand Nivea out of its original market: Germany. Now, Nivea's products are sold worldwide: in all the American continent, in Europe, in Africa, but also in Asia, and in Australia. Thus, Nivea sells its product in more than 120 countries. [...]
[...] Nivea visage young's promotion is consumer-led. It uses different below the line strategies to identify the way that they will talk directly to the teenagers or their mothers. The main point of this strategy is the product samples: thus consumers can touch and get used to the products. Nivea gave away more than one million samples of the Nivea visage young products. Nivea also use the online magazine FYI (which means Fun, Young & Independent) to aware the young girls about the brand. [...]
[...] Nivea Beauty was created in 1997. It's a line of make-up (mascaras, pencils, blushes ) Nivea Lips Care can be in some countries a SBU on its own or assimilated to Nivea beauty; these are lip balms (colored, tasty, glossy ) Nivea Hair Care is a line specialized in hair products: Shampoo, conditioners Nivea Hand Care is a range for hand creams and is one of the brand's hit. Which SBU's receive more, less, or no investment? BCG Matrix for some of Nivea BSUs SBUs such as Nivea Intimate or Nivea Lips Care receive less investment than Nivea Bath&Shower or Nivea Hand Care. [...]
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