Nivea - Managing an Umbrella Brand


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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:

Price:
Case Code : MKTG087 For delivery in electronic format: Rs. 400;
For delivery through courier (within India): Rs. 400 + Rs. 25 for Shipping & Handling Charges

Themes

Brand Management
Case Length : 13 Pages
Period : 1987-2003
Pub Date : 2003
Teaching Note : Available
Organization : Nivea
Industry : Cosmetics
Countries : Germany

Abstract:

The case describes the brand management strategies of the German branded goods major Beiersdorf for its Nivea range of products. Nivea's journey from being a one-product brand to a range encompassing fourteen product categories and over 300 products by the beginning of the 21st century is explored. The case examines in detail Beiersdorf's 'twin-strategy' of brand extension and globalization, which made Nivea the number one skin care brand in the world. It studies Beiersdorf's strong focus on innovation-led product development and customer-focused marketing, and examines the strategies taken by the company to ensure that brand dilution did not hamper the umbrella branding initiatives for Nivea.

Issues:

• Management strategies which are aimed at cashing in on the equity of an umbrella brand.

• Rationale behind extending a successful brand into other related (and slightly unrelated) product categories.

Contents:

  Page No.
An Ode to Nivea's Success 1
Nivea - Origin & Evolution 2
The Marketing Gameplan for Nivea 3
Innovations & Brand Extensions 4
The 'Global-Local' Strategy 7
The Beiersdorf Ownership Issue (And What it Means for Nivea) 8
Exhibits 11

Keywords:

Brand management strategies, German, Beiersdorf, Nivea, one-product brand, product categories, 300 products, twin-strategy, brand extension, innovation-led product, customer-focused marketing, brand dilution

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