Nivea for men
The NIVEA is one of the most popular skin and beauty care brand in world wide. At first in 1911 NIVEA started its business opretion named as NIVEA crème. At present NIVEA has 14 world wide ranges product such as facial moisturiers,deodorant,and shower products.
In 1980,an international company ‘Beirsdorf' owned NIVEA and that time launched its product ‘NIVEA FOR MEN'. NIVEA is the first company which at first launched alchohol free skin care, consequently it gained popularity in its market.
In international market NIVEA offered the first male products in 1993. As it launched popular products, it earned a lot of revenue at that time .In 2008 the worth of its product was 49 million pounds.
For the popularity in market NIVEA gained maximum market share and a strong brand image in home and abroad
Macro environment and marketing decision:
The globalization has greatly affected by the manner by which firms like NIVEA FOR MEN operate, more specifically in terms of its marketing strategy. The faster transfer of goods and services is possible by communication and transportation increase competition among companies. This leads to constant changes in marketing techniques.
Company like NIVEA FOR MEN and their suppliers customers and competitors all operate in a microenvironment of forces and trends that shape opportunities and pose threats. Macro-environment influences the marketing decision of a company.
Macro environment tractors like economical environment, technological environment, demographic environment, political and legal environment and socio-cultural environment are influenced in marketing decision like NIVEA FOR MEN.
The economic dimension of an organizations general environment is the overall health and vitality of the economic system in which general economic growth, inflation interest rate and unemployment. For the last 12 months economic environment has played on important role in market decision making of prim like NIVEA FOR MEN. The purchasing power of consumers depend on their income level, prices of the products, savings and credit availability. Marketers like NIVEA FOR MEN payed close attention to major trends income and consumers pending patterns. In the year 2008 due to economic crisis companies like NIVEA FOR MEN had been affected in rising their customers and making a high revenues.
To overcome from this situation NIVEA FOR MAN has taken some following steps-
- Improve the goods performance
- Expansion of better management.
- Minimize the overhead and operational cont.
- Minimize the margin.
- Expanding new market area and setting new target customers and revnues.
- Increase and uphold brand image.
Due to touch of economic crisis the companies like NIVEA FOR MEN to make crucial marketing decision as well as to revitalize their marketing strategy. Besides economic factors are effected with the social and political condition for the reason that individual consumers are directly affected by the crisis through reduction in their purchasing power and government offend issues policies that will mitigate the worsening of the crisis which may benefit or harm the companies operation.
Marketing is still and art and marketing managers must make decisions that will advance the short and long term interests of the firm. Already NIVEA FOR MEN established its reputation in the local retail market sector in the UK and world wide. It capitalized on its brand image and its expansion of market share in new areas.
Brand image would be to encourage customer loyalty and develop a stable source of revenue for the company.
NIVEA FOR MEN combining effective marketing strategies and taking good care of their customers.
Technology changes continuously. One of the most dramatically forces shaping people lives in technology by which resources are converted into products. The companies are getting much competition due to invention of new technology. The companies in the world are facing a great competition among themselves. NIVEA FOR MEN have improve information technology, more efficiently operating systems in order compete with competitors. The rapid infusion of the internet into all areas of business is also a great reflection of the technological dimension. Another recent advancement is the rapid growth of integrated business software systems.
Invention of new technology is a force for the creative destruction. Digital camera hurt the films for photograph, video.
Autos hurt the rail roads and television hurt the news papers. Instead of making into technology, many industries like NIVEA FOR MEN fought or ignored them and rivals were declined.
The economy growth rate is affected by how many major technologies are discovered. Unfortunately technological discoveries do not arise evenly through time the rail road industries create a lot of investment and then investment petered out until auto industry emerged.
The marketing decision to make the company closer to its consumer through the campaign “your NIVEA FOR MEN” achieves even greater importance in its shares worldwide responsive different range and size and quality and cultural differences.
The company like NIVEA FOR MEN should update their technology for distribution promotion, attraction their product to the consumers.
Political and legal environment:
Political and legal environment also influenced in marketing decision making. When the environment is compose of lows, government agencies the marketing decision of companies like NIVEA FOR MEN influence and limit various organizations and individuals. Sometime this laws go to the fever of the company and also create new opportunities for business.
From the political and legal point of view the companies like NIVEA FOR MEN wanted to increase in UK market share for NIVEA FOR MEN but also wanted greater market penetration for male skincare products. The company should take proper steps, special techniques and marketing strategy.
Marketers of NIVEA FOR MEN must have a good working knowledge of the major knowledge of the major lows protecting consume and society. Company like NIVEA FOR MEN generally establish legal review procedures and promulgate ethical standards to guide the their marketing teams and more business take place in cyberspace. Marketers must doing electronic business system.
Social culture environment may vary in various regions and community in a country. The social-culture differs from country to country their beliefs values and norms. The people live in different geographical area absorb different norms and values so the companies have to adjust with the culture to make the relationships to them selves, to others to organizations, to society, to nature and to the universe. The marketing decision like NIVEA FOR MEN depends on the social-culture environment of the country as well as worldwide.
The shape of the market, the ethics of political influence and attitudes in the work force are only a few of the many ways in which culture can effect an organization. Companies like NIVEA FOR MEN are completely affected by socio-cultural for factors.
Analyzing this environment the NIVEA FOR MEN team devised marketing strategies to deliver it, objectives. This focus on product development combined with an emphasis or consumer needs in a key differentiator for NIVEA FOR MEN. It is a major reason why in the brand is still the market leader in the male facial skincare market.
So before going the marketing decision the companies like NIVEA FOR MEN consider the social-culture environment.
Marketing decision such as the introduction of NIVEA FOR MEN direct is not only sensitive to the current global financial crisis is not only beneficial on the part of customers since they don't have to spend time and money to travel to the stores. They can easily avail of the product through the use of the internet which is more economical. The marketing strategy also helps the company boost their revenues with minimize overhead cost because the internet transgress borders and cultures.
NIVEA FOR MEN, specifically in the in the past year, made sure that it will manage to maintain or even expand its consumer bare even in spite of the economic and cultural barriers and varying consumer performances and integrating there to the products and services that they offer other areas of the world.
NIVEA to counteract the direct consequences of macro environmental occurrences such as 2008 financial report will likely influences future decision making the explanation behind this is that NIVEA FOR MEN has been engaged in long term expansion strategy of capturing the international market and best way to achieve this would be to remain responsive to the needs and demands of different types of consumers and market in general. Besides cost cutting marketing strategy NIVEA FOR MEN Direct as well as customer oriented marketing proved to be are full in boosting the company's sales and revenues.
MARKETING MIX FOR COMPETITIVE ADVANTAGE:
Marketing program or plan is required to achieve the company's desired objectives. The four ps of effective marketing mix strategy was developed by McCarthy namely the four ps product price, promotion and place. Four ps consist of numerous decisions on the min of marketing tools to USE. International companies like NIVEA FOR MEN must decide how much to adopt their marketing strategy like Four PS to local and international conditions of numerous decisions on the mix of marketing tools to use. International companies like NIVEA for MEN must decide how much to adopt their marketing strategy like four Ps to local and international conditions. At one extreme company is that use a globally standarized marketing mix worldwide. In 1993, NIVEA for Men developed a fuller range of male skincare products. The producer like NIVEA FOR MEN adjust the marketing mix, to each target market since NIVEA FOR MEN in operating its business from 1993 it is well known about the four Ps method of marketing mix. After developing four ps NIVEA FOR MEN and other companies are using the four ps as the pillar of marketing strategy. Marketing mix decisions must be made for influencing the trade channels as well as the final consumers.
Arranging an appropriate combination of the marketing mix four ps product, price, promotion and place companies, like NIVEA FOR MEN designe plan to meet needs of customers. In maintaining the competitive advantage in the global market. NIVEA FOR MEN is doing right duty properly executing and evaluating the marketing programs. Effective marketing mix is integral for the success of the companies such as NIVEA FOR MEN in maintaining competitive advantage.
Product is one of the important element of four ps which has the ability to satisfy the consumers demands. Product is the important element of the marketing mix which coordinated decisions on product mixes, product lines brand and packaging and labeling. In the primary stage companies like NIVEA FOR MEN is maintaining competitive advantage would be product development, the company can get advantage by the expansion of the product range. Product may differ local and global area basis. NIVEA FOR MEN can produce a regional version of its product such as a western European version and getting a competitive advantage.
Though product invention is a costly strategy, the company maintaining competitive advantage by developing a unique product which will be able to meet the highest level of satisfaction of various consumers. There is enormous need in less developed countries for low cost high proteins foods. NIVEA FOR MEN can offer its consumers a one-stop shop opportunity by providing majority of the products that they are looking for in one area. The individual consumer & will be motivated to purchase. If the quality of the products bought satisfied the needs and preference of the consumer then the NIVEA FOR MEN will lead to consumer loyalty and retain the customers and repeated consumption. The development of a broader product range has increased the possibility that individual consumers will be motivated to purchase, encouraging higher levels of consumption is not only beneficial on the part of NIVEA FOR MEN but also boosting its revenues and the national economy.
Price is the very important element of marketing mix. Price is very sensitive issue on the behalf of the company. Price is the easiest marketing mix element to adjust product features, channels and even promotion take more time. Price also communicates to the company's intend value positioning of its product or brand. Today companies like NIVEA FOR MEN is wrestling with a number of difficult pricing tasks.
How to respond to aggressive price cutters
How to price the same product when it goes through different channels
How to price the same product in different countries.
How to price an improved product while still selling the previous version.
How to price different component of an offering
When the customer wants to make his own choice of components.
NIVEA FOR MEN focus on product development and pricing combined with an emphasis on consumer needs is key differentiator for NIVEA FOR MEN. IT is a major reason why in the UK brand is still the market leader in the male facial skincare market.
Throughout most of history, price were set by negotiation between buyers and sellers traditionally price has operated as the major determinant of buyer choice. Setting a product price is technical strategy of a company when NIVEA FOR MEN sets different types of pricing policy which will meet consumers desiration. In setting the pricing policy Nivea basically falls in a gray market problem that is product sells different prices in different places of international market.
Appropriate pricing and promotional techniques is a good tool o maintain and achieve competitive advantage especially its competitors do not have the ability to offer a clear pricing hierarchy. It will often of choosing from good better and best among the product range.
Each price will lead to a different level of demand and therefore have a different impact on company's marketing objectives. Demand and price are inversely related. NIVEA FOR MEN using four ps as price for determining demand.
Price still remains one of the most important elements determining market there and profitability. Consumers and purchasing agents have more access to price information NIVEA FOR MAN use the customer's perception of value is an important determinant of the price charged.
Customer's draw their own mental picture of what a product is valued and worth. NIVEA FOR MEN aware too much when using low price as a marketing tool is that the customer may feel that quality is being differentiated.
One of the most important elements of the marketing mix is promotion. Promotional tools like advertising, sales promotion, public relations and direct marketing is an role in making marketing strategy for business operating globally. NIVEA FOR MEN examine both traditional and online forms of these tools, NIVEA FOR MEN main marketing strategy to attract customers, fulfill its consumers' wishes and needs with innovations today and its the future. This will give a strong position within the global competitive environment NIVEA FOR MEN's marketing team used research data to forecast market trends over the next three to five years. This helped them set specific targets for increasing sales growing market share improving its brand image.
NIVEA FOR MEN wanted greater market penetration for male skin care products. It wanted not just a greater share of the existing market it wanted to expand that market, It wanted more men buying skincare products. It also aimed to sell more skincare products to women, for this purpose NIVEA FOR MEN strengthen its promotion strategy.
Global companies that use a large number of ad agencies located in different countries and serving different divisions have suffered from uncoordinated advertising and image diffusion. NIVEA FOR MEN now use only a few agencies or even one that can supply global advertising, public relations, sales promotion and web consulting. The result is integrated and more effective marketing communications and much lower total communication cost.
The media planner of NIVEA FOR MEN has to know the capacity of the major media types and select the media which is favorable to the company. Major media types NIVEA FOR MEN to retain the loyal customer are likely newspapers TV direct mail Radio magazines internet. Beside these sales promotion include display center international trade fair country trade fair. This is the way to expanding product market.
In maintaining competitive advantage NIVEA FOR MEN developing the promotion system. They use media for their product well known and product quality TV Advertising made people aware and press provide more detail about the product.
Another way of promotion is sales promotion is a key ingredient in marketing campaigns. Sales promotion attrack consumers to buy their choiceable goods. Sale promotion includes *Samples, coupons cash refund offers, price off, premiums prices, free trails warranties.
NIVEA sought to build on and develop the approach it had used in the part since 2000 there has been a greater emphasis on consumer needs and increasing use to experimental marketing is about engaging consumers through two way communications that bring brand personalities to life and add value to the target audience.
Another key marketing tools is place, where the company undertakes to make the product accessible and available to target market. At the very beginning NIVEA strategy it's expanded its business activities in all around the world. NIVEA has built a strong marketing channel through which it can meet customer needs economically and conveniently. NIVEA works internationally with the local distributors, who lave local knowledge, invest in them and set up performance goals to which they can agree. NIVEA has expanded its marketing channel for some views. These are as follows
- To gather information about potential and current customer
- Persuasive communications to stimulate purchasing
- To assume the risks corrected with carrying out channel work.
To achieve the competitive advantage NIVEA has given an attention to the sub-urban area is its operating places in the globalization age NIVEA wants to satisfy every customer receiving its service.
To achieve the competitive advantage Nivea makes different marketing strategy in different time satisfying the consumers unlimited demand by its limited resources since its birth and become as winning company successfully meeting consumers needs economically, conveniently and with effective communication. Marketing mix of four ps is an important for marketing decision. This strategy has ability to plan its market strategy will in terms of maintaining good consumer's relations effective use of advertising by capitalizing on its trusted brand image. The male consumer and increasing of the product skincare for men consumers are loyal to the products which are able to carry brand value and satisfied the consumer's needs and demands. By using proper marketing strategy four ps the companies like NIVEA FOR MEN met its overall target in local and international market.