NIVEAManagement
MANAGEMENT
Executive Summary
NIVEA is the initial label and most significant line of Beiersdorf, a derma care organization that was started in Germany. Beiersdorf’s common aim is to become the leading care label in the product categories and market. The agency plans to attain such goals by utilizing NIVEA as a star line strategically. NIVEA's communication purpose is to reinforce its brand as the leading derma care line and to update its brand image (Keller, 2008, p. 6). Lately, the organization has declared Blue agenda the label compass, which concentrates on reinforcing the NIVEA line. Nevertheless, the firm does not divulge the aspect of the blue plan. By NIVEA's media release, the initial step is rebranding NIVEA, thus making it more updated (Keller, 2003, p. 19). The men’s grooming has become a fast growing market across the globe over the recent years. NIVEA for Men brand, which was recently launched has been ranked among the leading brands in men’s grooming. For NIVEA for men to become the leading brand across the globe, there is a need to come up with a working marketing plan. In addition to the NIVEA for Men product, the company will need to come up with more products that attract the attention of the global population. Becoming a market leader by NIVEA will depend on focusing on the right segmentation, product positioning and selecting a well-suited target market. Therefore, the paper covers a situational analysis of NIVEA as a background to the needs of the company. It also includes a new comprehensive marketing plan that NIVEA can use to launch more men products such as new NIVEA foemen revitalizing. Lastly, the paper summarizes the entire topic covered in the form of a conclusion.
The situational analysis for NIVEA is based on a PESTEL analysis of the company (Elliott et al., 2011, p. 60). Political factors include the government regulations that require the company to manufacture products that are safe for the human use. However, NIVEA faces problems in regards to valid leadership styles in different countries. Based on the economic factors, the financial crisis has led to financial constraints in various companies and therefore, NIVEA ensures that the factors do not affect its sales and reduce crisis. The company is required to abide by the advertising standard authority to avoid misleading the consumers (Elliott et al., 2011, p. 58). High inflation and pressure from competitors have led to reduced profit margins for the company. Social factors include targeting of NIVEA customers based on gender and age where men and women prefer different products that favor them. For instance, women buy facial creams that help them to maintain a smooth skin while men mostly buy the after-shave cream. Based on the technological factors, NIVEA has to keep up with the new trends in technology for it to compete with other companies producing similar products (Elliott et al., 2011, p. 54). However, technology gives NIVEA an excellent opportunity to invest in research and development of better quality products at a much lower cost. Based on the environmental factors, NIVEA is supposed to adhere to environmental friendliness and sustainability. Lastly, the legal issues include the government laws and labor legislations that the company has to follow in its day-to-day activities.
A new marketing plan for NIVEA
Mission or set objectives
The vision and mission statements guide business operations in regards to the overall success of the firm (Keller, 2008, p. 12). The goals of NIVEA are to obtain a continuous market share across the globe using qualitative growth that helps in expanding their business. They introduced the passion for success strategy to achieve the set goals.
Marketing objectives
The new marketing targets for NIVEA will be to expand the current product range for NIVEA FOR MEN. It will need to improve the formulas of the products and sell more men products to women across the globe (Keller, 2008, p. 15). Additionally, it will need to create the men’s brand image characterized by good money value and user friendliness, reliability and strong brand value. There is also the need to establish coherence in the brand.
Market research and segmentation
The first measure in designing a marketing strategy is to oversee an assessment of the trade, its products, and brands. It should involve an evaluation of the label’s position and condition of the art. NIVEA FOR MEN must realize what its men clients need and what rival products exist (Strauss, 2008, p. 34).
Based on the market choice, the company will use the product development strategy for products that will take care of the daily needs of the customers due to the increased demand for men’s products (Shankar & Carpenter, 2012, p. 23). Previous research shows that men are in great need of the after-shave soothing balm, and are willing to buy. Therefore, the new products will incorporate the after-shave creams that will help in soothing their skins.
Customer’s segmentation
The primary customers for NIVEA products include the adults and children from both genders. The customer demographics of NIVEA for Men is based on gender and age. The product mainly targets men by providing a broad range of men’s products such as deodorants, shaving gel, shower gel, face wash, roll on, moisturizer and after shave balm, on the gender basis. Based on age, the new range of customers will be men aged 18-25, 25-35 and 35-55 (Strauss, 2008, p. 45). Based on income, the NIVEA for men products will be available at affordable and customer friendly prices. However, the product mainly targets professional people who need to smell fresh due to their high level of socialization in workplaces. The age of such professionals is 25-40 and products include roll on, moisturizers, shaving gel and after shave balm that help them to boost their esteem in workplaces.
Targeting
The target customers will be the existing customers who have already purchased and used NIVEA products. Additionally, the company hopes to attract new customers for their male exclusive products.
Positioning
NIVEA will need to use competitive prices compared to their competitors to obtain a larger market share or position. Additionally, it will need to improve the formula for producing male products to convince their customers of their effectiveness. For instance offering non -alcoholic products will help the company to have a competitive advantage over its competitors. It will in positioning its products mainly to men, based on an improvement of quality and financial values.
The Marketing Mix
The marketing mix is defined by price, place, promotion and products referred to as 4p’s (Phillips, Pruyn & Kestemont, 2000, p. 17). The new marketing plan will also incorporate the 4p’s to allow NIVEA to target its customers efficiently.
Products
The new products for men are considered as customer friendly and effective (Strauss, 2008, p. 22). A research was conducted using focused groups and product testing and sampling with customers across various markets in efforts to obtain the needs of the customers. Additional information is available from the company’s website. The products offered are of different types such as moisturizers, face wash, deodorants ad roll on, shaving gel and after shave balm (Phillips, Pruyn & Kestemont, 2000, p. 20). The products provided will be of high quality and packaged properly in recyclable plastic containers. The packages contain the brand name, instruction on use, addresses of NIVEA, ingredients, bar codes and safety hazards.
Place
Various distribution channels must be used to ensure that the products reach the men, who are the primary targets. The primary sales of the products can be made through retail shops and chains (Baer, 2013, p. 78). Several channels of distribution and marketing such as e-marketing and sales in Amazon can be used.
Price
The cost of transportation and production influences the final prices of products. The aim of any company is to obtain profit through selling the products. Making use of cost leadership will help NIVEA to become a low-cost producer and reduce the threat of substitute products (Zikmund et al., 2007, p. 9). Therefore, it will have a competitive advantage over other competitors and a larger market share.
Promotion
Promotion is defined by real communication that will help in the creation of more awareness of NIVEA products. It will need to use direct advertising methods such as advertisements on social media, televisions, websites and print media. The indirect promotion will include the use of organized events such as open days, trade fairs and product sampling programs (Baer, 2013, p. 67). Additionally, the company will need to sponsor more sporting and cultural activities will help in the product promotion. NIVEA can also establish promotional campaigns using mobile services such as sending promotional texts to customers across the globe.
Budget
The total budget implications of the new marketing strategy amounts to $500 and are summarized as:
Marketing strategies
NIVEA Company will need to make use of plans to ensure that it obtains good business. Such plans include growth strategies that will help the company to produce more products that will fulfill the needs of the customers. Men’s products should be diversified, where all their needs are cared for by NIVEA. Additionally, NIVEA should customize women and children products (Baines, Fill & Page, 2010, p. 25). The second strategy is the cost leadership strategy that will help NIVEA to gain a competitive advantage over their competitors. Thirdly, it will use the market and price penetration strategies that will lead to more profits in the company. The application of modern technology will help the company to achieve cost leadership as well as differentiation strategies. Currently, NIVEA FOR MEN maintains a highly famous label amongst both women and men. The NIVEA FOR MEN crew came up with marketing plans to fulfill its goals. The strategies determined the attainment of goals within the selected budget that the administration team published. The concentration on the commodity development merged with the urgency on customer requirements is a prime distinguishing factor for the brand. It is a key factor why the United Kingdom label has become the principal in the men facial skincare mart. Publicizing was a keystone of the marketing plan for the United Kingdom’s advertisement as well. NIVEA tried to develop the strategies that it had been using previously (Phillips, Pruyn & Kestemont, 2000, p. 17).
In 1980, marketing in men’s fashion and style mag along with commodity evaluating was an essential tool for promotion. In the 1990s, the organization used television, press advertising, sampling, and radio (Baines, Fill & Page, 2010, p. 13). From 2000, greater stresses on the clients’ requirements and a rising usage of experiential exercises in the promo mix emerged. The experiential advertisement is about involving consumers through a two-way conveyance that brings label personalities to being and adds worth to the focus audience. It helps in forming an emotional link between the customers and brand. It is significant to acquire an adequate promotional stability. NIVEA FOR MEN boosted the new initiates of its commodities through a blend of below and above the line marketing (Baines, Fill & Page, 2010, p. 14). Using games was a major element. The brand boosted the football tournament by partnering with the power league to form an active association with males at a bottom up a level. It helped to create strong label analogy for NIVEA FOR MEN amid men. It as well let the label maintain and build a consistent discussion with men, which aids to drive vending. Above the series, promotion included cinema adverts and television, which influenced a broad market.
NIVEA FOR MEN has embraced the idea of training when communicating the advantages of taking care of the derma with care regime by concentrating on contestant routines and work that happens before a sport (Majumdar, 2006, p. 87). The label as well has benefited from reports advertorials in trendy men’s mag, making the day-to-day use of their commodities more bearable. Promotions were applied to attract current clients (Baines, Fill & Page, 2010, p. 25). FOR MEN commodities, which supported the sales. These promos have assisted in shaping up label client familiarity along with awareness, which strengthen the presence of the NIVEA FOR MEN label. A devoted NIVEA FOR MEN web page is also available to promote its commodities and provide data to enlighten males on their cosmetic needs. The configurator tool was generated on the internet page to assist clients to specify their derma type and get the commodity that best meets their requirements to intensify the label (Shankar & Carpenter, 2012, p. 56). No marketing arrangement process is done without measuring or evaluating the results of the promotion activities averse to the original targets and objectives. NIVEA promoters say that continuous assessment assists them to concentrate on introducing and modifying new exercises to attain goals (Baer, 2013, p. 15).
Conclusion
The marketing strategy is a pattern that starts and ends with the assessment of the satisfaction of the customers’ needs (Gbadamosi et al., 2013, p. 2). The final phase in the promoting strategy is the evaluation of the results of the advertisement activities averse to original targets and objectives. Continuous assessment assists the marketing crew to concentrate on introducing and modifying new exercises to attain goals. NIVEA FOR MEN embraced a variety of the main performance gauges to evaluate the victory of NIVEA FOR MEN advertisement in the United Kingdom. It observed the market share, overall sales, brand image ranking, and product innovation. In the market share, it considered if the advertisement accelerated the growth and whether it helped in attaining its market divided goals or not (Strauss, 2008, p. 34).
Notably, NIVEA FOR MEN is a smart principal in numerous nations and is gaining additional mart share consistently. In overall sales, NIVEA FOR MEN derma care commodities grew by over 20 percent (Shankar & Carpenter, 2012, p. 87). It is selling in the United Kingdom mart at the handle in 2008 were almost $ 40 million and in the course with expectations. NIVEA FOR MEN was rated the best derma care range champion in FHM 2008 primping award for the 5th year (Gbadamosi et al., 2013, p .32). The customers chose for the award. It demonstrates that NIVEA FOR MEN has an active label image with their clients contrasted to other labels. In reaction to the customers’ feedback and ensuring extensive commodity development and innovation, the NIVEA FOR MEN variety has been enlarged and has enhanced existing formulations (Ramaswamy & Namakumari, 2009, p. 23).
These outcomes demonstrate that the NIVEA FOR MEN advertisement met its complete objectives, which symbolized a significant achievement, regarding the hard economic atmosphere in the United Kingdom. The marketing strategy for the announcement applied past presentation and forecast information to generate a current marketing plan. It was formed based on the label and organization strengths to make a tremendous amendment of male perspective to using derma care products (Baines, Fill & Page, 2010, p. 30)
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