MARKETING PLAN

NIVEA SUN LOTION

Zaid Hassan- Moazzam Ahmed- Nabeel- Sheraz RehmanSTRATEGY MARKETING MANAGEMENT ASSIGNMENTLECTURAR: SIR SALMAN NASIR ZUBERI

SWOT Analysis

Strengths

1. Nivea globally is the brand that has its presence in around 20 product categories in more than 50 countries.2. Nivea has huge brand recall and equity.

3. Very strong distribution network4. The packs ‘Blue and White’ color as its brand element.5. Excellent advertising and brand visibility makes it a top-of-the-mind brand

Weaknesses 1. Intense competition in skincare segment

Opportunities

1. Well reputed and established global brand, every chance to grow in the emerging economies as well2. Nivea has an opportunity to increase market share

3. Entry in men’s segment by focused products

Threats1. Popularity of other skin care brands2. Fierce marketing from competitors while Nivea still lies on lazier front.

Competition

Competitors

1.Vaseline2.Ponds skin care3.Johnson and Johnson Petroleum jelly

TOWS ANALYSIS

THREATS There is the stiff competition in the market as the demand of skincare products has increased. Competitive companies are also offering the skin care product for women and men with new offers and discounts. Eg. - Ponds, Olay.

OPPORTUNITIESNIVEA FOR MEN selling more male skincare products to women because women often buy male grooming products for their partners or help them to choose the product. So, this is the opportunity for NIVEA FOR MEN to increase their sales as well as the market shares.

Now a day men are very much conscious about their skin, just like women. So, there is a great opportunity for NIVEA to introduce the new product in the market, and diversify the business.

WEAKNESSNIVEA well known as a large global skin and body care brand internationally. But they mainly focus on beauty care products for women before launching NIVEA FOR MEN brand which basically focuses on the men skincare products.

NIVEA have not changing their old fashioned looking logo. So, it maybe chances that customers distract with the product of that brand.

STRENGTHS NIVEA used the one logo since beginning, so for consumer it became easy to recognize the logo. It helps NIVEA to create trust and reliability of their product.

The products offered are simple and effective in design, as well as economical, in comparison to that of their competitors. By this they gain the competitive edge over their competitors and sustain in the market as a cost leader.

With increasing marketing share and sales all over the world they have strong financial base. At the same point in time they have strong promotional strategy

ENVIRONMENTAL ANALYSISIn Pakistan men grooming market is a high growth industry. Men skin care market is considered not only attractive market but also a high competitive market in Pakistan. As it’s a proven fact that human need sun block to protect their skin form sun burn and skin cancer. This is something that gives NIVEA a positive and workable potential and strength.

Link: www.socialbakers.com/statisitics/faacebook/pages/detail/114738881879708-nivea?country=pakistan

SOCIAL FACTORSOut of 180 million 60% of Pakistani population comprises youth, according to 20098 statistics 36 million are in the age group of 20-24 and 58 billion are below the age of 15. Out of 15 million youth in the age group of 18-29 years which give an opportunity to NIVEA that age required for the product is available at a mass level as a population of a country is mostly based on a youth.

LEGAL FACTORNivea is environmental friendly company which always cares about the environment and people. Based on the legal factors NIVEA produced those products that are highly functional according to their features. As NIVEA has the international certification for consumer goods the working environment is also designed in such a manner that it provides best safety and security to its employees. Company also look after for its wastage of different chemicals.

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ECONOMIC FACTORPakistan is an under development country, the growth rate of Pakistan’s economy expanded 4.24% in 2015 from the previous year. As there is a huge potential in the market because the saturation point is so far away. The economic factor of Pakistan is the best place to working because the growing economy provides greater opportunities for businesses to make profits, so businesses are welcome for rising living standards.

POLITICAL FACTORSCompany appears in the good books being as a tax payer. There would no political issues that might affect NIVEA as there is no political affiliation with brand.

MARKETING SEGMENTATION:In order to create awareness and capturing a market for men in Skincare product line, marketing segmentation will be the key element for NIVEA Sun Lotion. As we know NIVEA is a renowned brand that has a huge market share in the global market for the Female gentry. Precisely, in this case, we will design a marketing plan to split Sun Lotion product into four different segments in Pakistan.

1- Geographic Segment:

Initially, Karachi, Lahore, & Islamabad will be our targeted cities to perform marketing activates. We understand that People belongs to these places are very much familiar with the skin care product, therefore; we have a chance to achieve our goals and objectives.

2- Demographic Segment:

It is a matter of fact that skin sensitivity based on age, gender, and location. We need to market our product which is suitable for all the skins. Furthermore, a product must be easily available for the consumers.

3- Psychographics:

Celebrity endorsement matters, that can only be done on the above the line campaign. TV commercial that scripted on the testimonial of celebrity might be designed in this segment.

4- Behavioral Segment:

Occasionally promotions and the uses of production according to the routine and also the result as per usage of the product. For instance, if a consumer uses Sun Lotion twice a day and every day so the result will be in 4 weeks.

TARGET MARKET:The target market is depending upon RRR which is the RIGHT product to the RIGHT place to the RIGHT people. It is important to understand the target market of a product. Being a marketer my first responsibility is to target those people who are already using skin care product but they want a new and improved product which can be used in all the weather condition and protect their skin from sunlight.

• Social Media Platforms and Search Engine:

Facebook, Twitter, are not only the leading social networking tool in global, they also using by Millions of user in Pakistan. On the other hand, majority of Pakistan using Google to search anything. Google AdWords, Blogs, Social media pages help to engage more consumers.

• Individual Marketing:

Target Sportsmanlike a cricketer, football would be the part of the marketing plan.

POSITIONING:In order to make strong positioning point of parity POP and point of Differentiation must be important for the marketing plan. Flowing are the points for positioning:

1- Sponsorship with a top ranking sports team.

2- Product packaging and Design

3- Different formulas for different types of skins

4- Product sampling in Magazine (Experiential Marketing)

5- Affordable

6- Fulfill of what tagline says.

STRATEGIC PRODUCT PLANNING 2016-2020

THE FURUTE & THE SCOPE OF A PRODUCT

There is a great future for this product as it is proved by the fact that sun block is necessary for men as well as women of any age or race. As Pakistan lies in the region where the climatic conditions are always high in temperature and almost most of the days of the year are sunny in nature which could cause sun burn as well as skin cancer with the direct interaction with the sun rays.