Brand and Nivea
NIVEA: MANAGING A MULTI-CATEGORY BRAND1
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 Background] Background As 2005 drew to a close, executives at Beiersdorf’s (BDF) Cosmed division [Brand DNA] NIVEA, the largest cosmetics brand in the world, had successfully defended its position during intense competition in its major European markets. Additionally, the company had expanded into many new markets in South and Central America, Eastern Europe, and Asia. NIVEA had created a number of new sub-brands that BDF’s success in establishing NIVEA as a broad skin care and personal care brand primarily driven by NIVEA, grew from €1.4 billion in 1995 to €3.8 billion in 2005. During the 1970s and 1980s, BDF’s Cosmed Division had successfully extended the NIVEA brand from a limited range of products—NIVEA Crème, Milk, Soap, and Sun— product lines had established their own identities as ‘sub-brands’, independent of and yet still connected to the NIVEA Crème core brand. Executives at NIVEA believed that growth would continue to come from product innovation. In 2004, Beiersdorf spent €38 million on its new and improved research and development center in Germany, making it the largest and most modern skin research center in the country employing over 650 scientists. [Brand Roots] Start of the NIVEA brand industrialisation led to the emergence of mass markets and branded articles. Society—women in particular—began to appreciate to a greater degree physical appearance and look for products to both care for and beautify the skin. NIVEA protection at a reasonable price. The NIVEA name came from the Latin word, nives, [Brand Values] NIVEA Crème Brand Identity and Values Over the years,
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 Background] Background As 2005 drew to a close, executives at Beiersdorf’s (BDF) Cosmed division [Brand DNA] NIVEA, the largest cosmetics brand in the world, had successfully defended its position during intense competition in its major European markets. Additionally, the company had expanded into many new markets in South and Central America, Eastern Europe, and Asia. NIVEA had created a number of new sub-brands that BDF’s success in establishing NIVEA as a broad skin care and personal care brand primarily driven by NIVEA, grew from €1.4 billion in 1995 to €3.8 billion in 2005. During the 1970s and 1980s, BDF’s Cosmed Division had successfully extended the NIVEA brand from a limited range of products—NIVEA Crème, Milk, Soap, and Sun— product lines had established their own identities as ‘sub-brands’, independent of and yet still connected to the NIVEA Crème core brand. Executives at NIVEA believed that growth would continue to come from product innovation. In 2004, Beiersdorf spent €38 million on its new and improved research and development center in Germany, making it the largest and most modern skin research center in the country employing over 650 scientists. [Brand Roots] Start of the NIVEA brand industrialisation led to the emergence of mass markets and branded articles. Society—women in particular—began to appreciate to a greater degree physical appearance and look for products to both care for and beautify the skin. NIVEA protection at a reasonable price. The NIVEA name came from the Latin word, nives, [Brand Values] NIVEA Crème Brand Identity and Values Over the years,