Marketing involves understanding a product's target market and employing strategic positioning and promotion to increase product demand. An effective marketing strategy should be executed through a marketing mix known as the 4 Ps of marketing (Luenendonk, 2014). The P’s are Price, Product, Promotion and Place. If one component of the marketing mix fails, a promising product may fail to reach the target market and impact the success of a company. The 4 P’s marketing mix can be used to evaluate an existing product offering or to market a new product. For instance, Nivea has, over the years, used the 4 Ps marketing mix to sell its wide range of beauty and skincare products.
Nivea is a global company that specializes in the production and distribution of personal care products. The brand has remained competitive in the worldwide market despite the fierce competition from its competitors such as Vaseline and Johnson & Johnson brands. The brand's success can be ascribed to the company's innovative beauty and skincare products that meet the consumers growing needs. The brand keeps on coming up with new products which offer the customers a range of merchandises for a comprehensive selection. The four components of the marketing mix are central to the marketing strategy of Nivea products. I will elaborate on each of the 4P's and how Nivea uses each in marketing its products.
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Product: - a product can either be an intangible service or a tangible good that meets the consumers' needs. Understanding the market needs has enabled Nivea to come up with innovative products that meet consumer needs. The company does a lot of market research to understand consumer dynamics and market changes (Luenendonk, 2014). Market research is done through products testing and collecting data from consumers. The knowledge allows the brand to develop unique products that fulfil consumer needs. For instance, through market research, the company realized that younger consumers needed products that met the skin needs of their age group. In 2005, Nivea came up with Nivea Visage Young product that met the specific needs of the younger consumers (Business Case Studies, 2019). The product was first tested on a sample group before it was launched. The new product made Nivea more successful than most of its competitors since the product met the particular needs of the target market. Also, using more efficient packaging for its products to reduce waste and the use of recyclable plastic has been an important marketing strategy for Nivea.
Price: - effective pricing considers the product’s real and perceived value (Luenendonk, 2014). The market price should is based on the two to remain attractive to both the seller and the buyer. The market research allows the company to come up with pricing policies and strategies that ensure the products reach a broad market. Nivea prices are realistic and affordable to consumers. For instance, the pricing strategy of Nivea Visage Young was high enough to guarantee profit for the company and remain affordable to the consumers. The product had better packaging and a prolonged product range which prompted the company to increase the price (Business Case Studies, 2019). However, the product changes provided value for money for the consumers, which increased the product's demand. Also, Nivea has a pricing policy for selling its products at a set price to the retailers (Bhasin, 2019). The retailers can then determine a suitable pricing strategy that will guarantee profits. The retailers maintain affordable prices and use incentives such as discounts and minimum pricing for bulk purchase to lure more consumers.
Place: - Nivea has a broad reach for its products. This ensures that the products reach a wide market across the world. The brand has its presence in about 200 countries across the globe. The company uses retail stores as the primary channel of distributing its products. The distribution channels are cost-effective since the company uses the services of distributors, wholesalers and retailers to ensure products reach the markets quickly and efficiently (Bhasin, 2019). The company has a central distribution point that allows effective distribution of products to the retail outlets. Also, the online presence of the company allows some consumers to purchase the products online. For instance, Nivea Visage Young products are available online where young consumers can make purchases through the Internet. The online presence of the company also impacts the promotion element.
Promotion: - The fourth P involves creating awareness of a product’s existence (Ryan, 2018). Nivea promotes its products by providing consumers with vital information about various products. The promotion strategies reflect the lifestyle of the products consumers. The company use taglines such as ‘ 100 years of skincare for life' and ‘ it helps protect your skin ’ to market the products and improve awareness (Bhasin, 2019). As mentioned earlier, the company maintains a strong social media presence which enhances brand visibility. The company has accounts on popular social media platforms such as Facebook, Twitter and YouTube. The brand also launched an online magazine known as FYI that is used to promote the company's products. Also, the Blue and White color on the packs give the brand a unique appearance to identify its products.
Nivea has successfully balanced the marketing mix to remain ahead of its competitors in the beauty and skincare products industry. The ability to focus on the 4 Ps equally has allowed Nivea to address the specific needs of the consumers over the years. Quality products reach the customers at the right place, at the right time and prices. However, if one of the marketing mix elements went off balance, the success of the business would be affected. A balance of the 4 Ps is necessary to ensure that all the market needs are adequately met (DUERMYER, 2019). For instance, if the price element were to be off, Nivea products market would reduce, and most consumers would prefer the alternative products from the competitors. The company's revenue would be affected by an unfavorable change in any of the 4P's of the marketing mix.
References
Bhasin, H. (2019). Marketing mix of Nivea . Marketing91. https://www.marketing91.com/marketing-mix-of-nivea/
Business Case Studies. (2019). 3 the use of the marketing mix in product launch . https://businesscasestudies.co.uk/the-use-of-the-marketing-mix-in-product-launch/
DUERMYER, R. (2019). Learn the elements of marketing mix to grow your home business . The Balance Small Business. https://www.thebalancesmb.com/marketing-mix-what-is-it-and-how-to-use-it-1794425
Luenendonk, M. (2014). Understanding the marketing mix concept - 4Ps | Cleverism . Cleverism. https://www.cleverism.com/understanding-marketing-mix-concept-4ps/
Ryan, V. (2018). Mix and match: Let the 4Ps of marketing guide your way . Industry West. https://industrywestmagazine.com/pitch/mix-and-match-let-the-4ps-of-marketing-guide-your-way/
