Nivea Marketing Strategy

Topics: Marketing, Product management, Product life cycle management Pages: 13 (4261 words) Published: January 15, 2013

2.SWOT analysis3
2.1 Direct and Indirect Competitors 4
3.Product analysis5
3.1 Core Benefit5
3.2 Actual Product5
3.3 Augmented Product6
4.Segmentation & Positioning strategy6
4.1 Market Segmentation and Targeting6-7
4.2 Market Positioning8
5.Consumers Behaviour8-10
8. Appendix13

1. Introduction
In Malaysia the weather is always hot like summer, and therefore most people do experience body odour. A way to reduce body odour is by using deodorant. A deodorant is defined as a substance that destroys body odour. Deodorants are applied to the body to take off body odour that is caused by the bacterial breakdown of perspiration. There are many different types of deodorants available in the markets, such as sprays, gels and liquids types. Deodorants contain aluminium chloride, aluminium hydroxyl and aluminium sulphate. These aluminium salts may hold back sweat production and form an obstructive hydroxide gel in the sweat ducts. (Mosby’s Medical Dictionary 2009) The objective of our assignment is to examine the marketing strategy of a product. Our group has decided to choose deodorant for our assignment topic. We have chosen the brand, NIVEA, which is a German brand belonging to Beiersdorf AG, Hamburg, Germany. The product that we are going to study in this assignment is NIVEA Fresh Active Roll-On deodorant as shown as figure 1 ( hereafter referred to as ‘NIVEA roll-on’) contains ocean extracts and offers the real confidence of a 24 hours effective regulation of perspiration providing a fresh feeling. It is the combination of reliable antiperspirant protection and NIVEA’s mild care. This product is free from alcohol, colourants and preservatives. Besides that, it is also skin tolerance dermatologically proven. (NIVEA 2010) In our assignment, we will be discussing about the SWOT analysis, product analysis, segmentation and positioning strategy and consumers behaviour.

Figure 1

2. SWOT Anaysis
SWOT analysis is used to analyse the business environment externally and an organization internally. It is a very important step that supports marketers in focussing on key issues. SWOT comprises four major parts, which are strengths, weaknesses, opportunities, and threats. Strengths and weaknesses are part of internal factors. On the other hand opportunities and threats are external factors. In order to carry out the SWOT analysis accurately we have to first analyze the opportunities and threats and than proceed to strengths and weaknesses. A business’s strengths are abilities and its resources that can be used as a base for developing a competitive benefit. NIVEA is a global skin and body-care brand that means to hold a unique position. When NIVEA started the deodorant business, the strength of its name influenced the deodorant sales and it is helping the company to maintain its number one position in the global deodorant business. Besides that, its cost leadership strategy is to offer the product at a price that is competitive as compared with other competitors such as Adidas Sports, Game Spirit Body Spray and Rexona Man Power whilst keeping its cost advantages. Consistent and high quality services and products are significant strengths of the company. The product position of NIVEA in the deodorant market is strong and unique. Since there are not many competitors, as very few companies provide similar products and services, this contributes significantly to NIVEA deodorant products performance. The absence of certain strengths may be viewed as a weakness. Weaknesses can be related to previous difficult situations that have contributed to the present positions under the current marketing environment. Perhaps truthful or unreal in any observation is reality for the marketer. For...
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