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Nivea Business Marketing Case Study

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1.What is the difference between product range and product mix?

Product range refers to the different types of products within one category. For example, in the category of soft drinks there are products like Coca Cola, Sprite, Mountain Dew etc… In the other hand product mix refers to the different categories that are sold. For example, fruits, soft drinks, candy etc…

2.How would the increase in marketing awareness affect Nivea’s day to day operations?

The marketing strategies will create more sales because the people are going to be more attracted. More staff will be needed to take care of the sale and other factor such as more deliveries and more products will also be results of the marketing awareness.

3.Why is the FHM Grooming Award a good thing for Nivea?

It is a good thing because it improves that appearance and therefore there will be more sales. FHM has a high readership level and readers care about how they look so Nivea will use this fact to target the group and benefit form the extra sales.

4.Why is it important for Nivea to identify a market segment? Because with this they will create better strategies and they will know on what to focus at. Also, they will save more money and will be more successful in their sales because they will have a more accurate view of the future prospects.

5.Above-the-line and Below-the-Line promotions are prominent with Nivea. Why is this important?

It is extremely important so that they can get their marketing message to all the people and to make other people know about their products. Above the line advertising is where mass media is used to promote brands and reach out to the target consumers and below the line advertisement involves the distribution of pamphlets, brochures placed at point of sale, on the roads through banners. This advertisement will create a relationship with the buyers and they will eventually sell more.

6.What was the male skincare products market worth in 2008?

The male skincare products were worth 117 million euros

7.In 1998 annual sales of skincare products worth 68million. In 2008 they are now worth 117 million. What is the percentage increase in annual sales?

117/68 = 1.72
1.72 x 100 = 172%

8.What is the percentage increase in male facial products?

There was an increase from 7.3 million euros to 49 million euros so… 49/7.3 = 6.71
6.71 x 100 = 671%

9.Why are marketing plans used?

Marketing plans are tools used to identify and anticipate what the customer wants (their needs) this way the business will know how to satisfy them, The marketing plan will give specific information about what to sell and who to sell the product so there will be more efficiency accuracy in the sales. All of this will turn out to be more sales and more profit.

10. Give 2 marketing aims that Nivea may want to achieve? Nivea wants to increase their number of sales through marketing specifically in the UK and they also want to develop their products in this same market.

11. Using the case study, highlight how the SWOT analysis could be used for Nivea.
 The SWOT analysis can be used to know what the strengths and weaknesses of the business are and this way the business can improve to fix mistakes and earn more profit. They will fix mistakes and get advantage of the actions that they are already doing correctly. Also the SWOT analysis can be used to know what the opportunities and threats of the business are. When they analyze this they can know is the men skincare will be successful or not. The threats could include competition, quality, and certain regulations like laws. The managers of the business need to think about all this aspects to make the business succeed.

12.How has Nivea used promotion to enhance the awareness of the brand?
 They have used the above and below lines of production to create awareness of their products. Also they have used sponsorships and awards to promote the quality of the brand. The use of media marketing and physical marketing has helped the business to transmit their ideas to the masses.

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