Niva

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The world can seem like such a big place, it’s all too easy to get caught up in the hustle and bustle of daily life… Take the time to connect and feel closer to the people who make your world a better one.

The sentence above is a promotion line from the website of Nivea Visage Young. Nivea is a worldwide known cosmetic brand which is owned by the German company Beiersdorf. The brand is well known for the specialised products for skin and beauty care. In the year of 2005, Nivea launched NIVEA VISAGE Young as a part of the Nivea Visage range. The idea behind this new product range was the focus on a new target group: the young women with the age of 13 to 19. The products of the Visage Young product range help the young woman to develop a proper skin care routine to help keep their skin looking healthy and beautiful.

The moment Nivea launched their new product range; they had to create an effective balance in the product, price, place and promotion. These four elements together make the marketing mix, or just the four P’s. It is vital that Nivea balances these four elements correct in order to make the product successful. After two years, in 2007, Nivea re-launched the Nivea Visage Young range to further optimise their position in the market. The brand developed the product by creating new formulas, new design and a new name.  Below the four elements of the marketing mix are explained.

The four P’s.

To achieve an effective marketing campaign you have to find a perfect combination of the four P’s.

The first element of the mix is the product. To achieve the goals set, Nivea really has to understand the market. By doing market research, they could understand the market and the needs of the consumer. Nivea does market research in number of different ways:

         Using focus groups to listen to consumers directly;          Gathering data from consumers through a variety of different research techniques;          Product testing with consumers in different markets.

Nivea discovered that the younger women wanted other products than the ones Nivea used to make. In general, Nivea was a very parental brand, but the women with the age between 13-19 wanted more specialised face care aimed at their own age group that offered a ‘beautifying’ benefit, rather than a solution for skin problems. Nivea Visage Young provided those needs by targeting at girls who do not want medicated products but want a product for their normal skin.

It seemed to be that, with the new products range, Nivea had discovered a gap in the market. The fact that the direct competitors of Nivea focused and offered medicated solution, gave them a competitive advantage.

To promote this new product and to make it attractive for the potential customer, Nivea had to re-consider the packaging. They already had changed the formula to make the products more natural and introduced new products, but that isn’t enough for promotion. The other improvements they made were the new design, a modern pack design, with a flower pattern and softer colours to appeal to younger women. They also changed the product descriptions and introducing larger pack sizes. Each of these improvements helped to strengthen the product range and to better meet the needs of the market.

Unlike the other factors of the marketing mix, pricing decisions affect profits through their impact on revenue rather than on costs. Naturally, pricing is the only element of the marketing mix which generates revenue more than costs. Just like the other three, pricing is a key element of any promotional activity.

After the re-launch of the Nivea Visage Young products, the price was slightly higher than the one of the products in 2005. This could be explained by the transformation the products had gone. However, Nivea had to take into account that both teenage girls, the direct target group, and their mums buy the product. This meant that the price had to offer high value for the money or...
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