Amiya Kumar 10EX-003Mehul J. Sudra 10EX-025

Nivea “SNOW WHITE”

Type Personal care

Owner Beiersdorf AG(BDF)

Country Germany(1911)

NIVEA story

1912 Introduced Crème in Europe

1922 In US and South America

1951 Introduce first deodorizing soap

1963 NIVEA milk-"for all-over body care"

1973 "Only Me" NIVEA ad campaign

NIVEA story…

1982 Internationalization of Brand

1992 NIVEA's BLUE HARMONY ad

2008 Launches -Nivea lip care

2010 Launches - Nivea Happiness

Sensation

What is a Brand

???

?

NIVEA mental map

Scent/Feel

Care ProtectionM

ildnessGentleness

Trus

twor

thy/

Rel

iabl

ePure

Sim

ple

For F

amily

Blue/ White

Heritage

Mul

tipur

pose

NIVEA CBBE Pyramid

A brand “NIVEA” is not just . . .

An Ad A Logo A Jingle A Symbol

A Spokesperson A Product A Slogan A Name

A brand “NIVEA” is

… all of the PROMISES and PERCEPTIONS.

NIVEA wants its market to feel and believe about its product

and service offerings

Brand Architecture

Brand Portfolio Strategy

Brand-Market Context Roles

•Subbrands•Benefit brands•Co-brands

Portfolio Roles•Strategic brands•Linchpin brands•Silver bullets brands•Cash cow brands

Brand Portfolio Structure•Brand Groupings•Brand hierarchy trees•Brand range

Portfolio Graphics•Logo•Visual presentation

Powerful brands

Optimal allocation of

brand building

resources

Synergy in creating: visibility, efficiency

Clarity of offering

Platforms for future

growth options

Aaker’s Model David A. Aaker, a consultant, author, Professor, known as “FATHER OF BRANDING”

NIVEA Portfolio StrategyThe effective creation, deployment and management of brand assets in support of simultaneous top and bottom-line growth

Access to New Markets & Customers

Marketing Investment Efficiency

Strengthened Customer relationships

Uncovered Latent Brand Potential

Brand Extension Objective…

Evolve NIVEA from a skin crème brand

into a skin care brand by providing a

range of new products that would both

complement NIVEA Crème and

broaden the meaning of the NIVEA

brand name.

Horizontal Brand Extension…When a company uses the established brand name to new categories.

FIT ADDEDVALUE

ENHANCEDBRANDEQUITY

•Customers must be comfortable with the brand in the new setting.

•Bases: product associates, ingredient, attribute, application, user, expertise, designer image.

•The brand name alone should help customers articulate why the offering is superior to other brands.

•The brand equity should be enhanced by the brand’s presence in another context -- not only from increased visibility but also from the associations generated.

Vertical Brand Extension…

Segment vitality

To participate in a large & growing value market

NIVEA

Personal Care

NIVEA Deo

Face care/Cosmeti

csSkin CareBrand hierarchy trees

Many more, with JND, gives Clarity of offering

Nivea Brand Portfolio by 1998…

NIVEA

Personal Care

NIVEA Deo

NIVEA Bath Care

NIVEA Hair Care

Face care/Cos

meticsNIVEA Visage

NIVEA Vital

Nivea Beautè

NIVEA Lipcare

NIVEA For Men

Skin CareNIVEA Crème

NIVEA Body

NIVEA Hand

NIVEA Sun

NIVEA

Baby

LOGO

One of the simplest logo ever seen. This logo says all the

things it wanted to say to its customers. The logo gives

the feel of freshness and beauty and displays the brand

uniqueness in the market as well.

The BCG’s Growth-Share Matrix of NIVEA(umbrella brand)

Mar

ket

Gro

wth

Rat

e

?Question marks

? ??

Dogs

10x 4x 2x 1.5x 1x

Relative Market Share.5x .4x .3x .2x .1x

Stars20%-

18%-

16%-

14%-

12%-

10%-

8%-

6%-

4%-

2%-

0

Cash cow

The BCG’s Growth-Share Matrix of Sub Brands

20%-

18%-

16%-

14%-

12%-

10%-

8%-

6%-

4%-

2%-

0

?Question marks

? ??

Cash cow Dogs

10x 4x 2x 1.5x 1x

Relative Market Share.5x .4x .3x .2x .1x

Stars

Mar

ket

Gro

wth

Rat

e

Brand CategoryStrategic Brand:A brand that is projected to reap future sales and profits. NIVEA Crème, NIVEA Deo, NIVEA for Men

Linchpin Brand:A brand that holds the entire organization together. It is a number one brand that indirectly influences a business area providing a strong base for customer loyalty. NIVEA Crème

Silver Bullet Brand:A brand or sub-brand that positively influences the image of another brand. NIVEA Baby, NIVEA for Men

Brand Category…Cash Cow Brands:Brands with significant customer bases that require less attention than other brands. The total sales may be on a decline, yet there are a group of hard-core loyal customers who do not leave the brand. The role of a cash cow brand is to generate resources that can be invested in other brands for future growth.

Nivea Crème is one such example of a brand that has been extended to other skin-relatedproducts to provide resources for other brands by banking on its customer base.

Brand HealthA global brand with a wide range of products catering to the full spectrum of consumer segments

Widely recognized and respected brand, which it leveraged across a range of sub-brands

Nurtured its existing sub-brands and moved into additional market segments by adding new sub-brands

Sub-brand experienced sales growth and gained market share

Marketing StrategyInternationalize sub-brands by creating a universal name.

NIVEA logo for all packaging.

Adopted separate ad campaigns for each sub-brands, but a common message of quality and care exist in all ad.

Implemented IMC by “Blue Bible” philosophy

Same message in all the market

Marketing StrategyDirect Marketing :-

Periodic mailings to more than one million database

Non-Traditional Marketing :-NIVEA beach ball @ European beaches each summer

Blue Santa Clause giving NIVEA cream in Germany

Event Marketing :- Sponsored beauty contests in diverse market, Poland, UK & Thailand

New Market Rollout

NIVEA Crème

NIVEA Body

NIVEA Visage

NIVEA Deo

Other Sub brands

Current Stories

BDF reveals travel retail strategy for Nivea brand :- Introduce over 65 products and a variety of exclusive travel sets to be sold on airplanes, in airports, and on ferries and cruise lines.

“With this selection of Nivea products, we’ll be able to meet the demands of previously underserved needs and price segments , and we see great potential for attracting new buyers to our stores.” ~ Inken Menck, director of purchasing for perfumes and cosmetics 26-Oct-2010 ~

Deodorant sales grow worldwide :- A number of launches in the deodorant category helped to boost sales globally by 10 per cent during the nine month period ~09-Nov-2010~Courtesy :- www.cosmeticsdesign.com

Recommendations on…

Sub Brand or Umbrella Brand?• Pros SB:Profit Centre.

New market/products.• Cons SB: Cosumer-‘I would like to buy blue

bottle of Nivea’-Nivea Body Milk …

Umbrella Brand:• Pros U.: Strengthening Brand Equity• Cons U.: Mono Product Philosophy.

THANKS