Ashwath SriHari, Bianca Tavares, Chen Yang Lim,

Elizabeth Hoffman, v José Castillo, Malak El Halabi, Tara Deighton

M I L L W A R D B R O W N C H A L L E N G E

T E A M B

NIVEA MEN

N I V E A M E NT E A M B

• Industry is worth $36,131.7M w/ a nominal growth rate of 2.4%

• NIVEA Men owns 5% market share and is growing at 5%

GOAL fOR 2016:

• Increase market share in both Mature and Emerging markets

• Increase market share 15%, to achieve 5.75% market ownership.

• This will lead to additional sales of US$275.5 Million.

• Mature brand and changing industry provide NIVEA Men with an interesting challenge

• It is a challenge which is both realistic to the business world and require market research

• Opportunities in Emerging and Mature Markets

• Able to leverage several of Millward Brown’s trends for staying current and thriving in a digital world.

• Focus on cultural and sporting events specific to each region, due to success replicated with Real Madrid FC and Liverpool FC.

• Public fitness and health events like Spartan runs, Tough mudder, and Marathons with NIVEA sponsored areas at finish line.

• Focus countries for each region are selected based on growth potential by • Size of market • Projected population growth • Total population

VALuE Of OppORtuNIty defined absolute value share

to be gained

growth rationale for choosing the brand

feasibility of activity plan

N I V E A M E NT E A M B

The Basic Promise: • The Functional Benefits: Emerging

Markets• The Emotional Benefits: Mature Markets• The Supporting Evidence: Mature

Markets

Targeted campaigns (benefit and emotion based) according to the familiarity and penetration of each market

Focus on digital channels through socially shareable content (humour based)

• For our market matching strategy, we are focusing on ATL Marketing in key sporting events throughout the year.

• Outdoor Advertising • Magazine Ad placements • TVCs • Special Events & Product Give-aways

Secondary Sources• News articles• Marketing Journal Articles • Industry Databases (Euromonitor

International)• Beiersdorf Annual Report

Primary Research• Life-Hack Campaign analysis - website,• Nivea Men Digital Media Analysis• Main Channels• Qualitative • Focus groups • In-depth Interviews • Whatsapp discussion

Key communication focus of the brand

MuLtIpLyING EffECt Of media strategy

Key sources of information

N I V E A M E NT E A M B Value of Opportunity Defined by Absolute Market Share

NIVEA Men is currently growing at an average 5% vs the market average of 6%. Looking forward, from 2014 to 2019, Men’s Grooming is expected to grow 14.7% (US$5,211.6mn) These increases would result in NIVEA Men increasing their market share 15%, to achieve 5.75% market share. In 2016, this will lead to additional sales of US$275.5 Million. Maintaining this market share would lift sales by $859.3 Million by 2018

Note: For these calculations “Mature Markets” included North America, Western Europe, Eastern Europe and Australia.“Emerging Markets” included Latin America, Asia Pacific and the Middle East & Africa

Research Source: © Euromonitor International. Note: Forecast regional/global values are the aggregation of local currency country data at constant latest year prices converted into the common currency using fixed exchange rate for the latest year.

our Quantitative targets:

The Men’s Grooming industry is currently worth

$36,131.7 million and the market has a nominal growth rate of 2.4%. Currently,

NIVEA owns 5% market share of Men’s Grooming.

Mature Markets

+10% $94.4 MiLLion

in ADDiTionAL SALES

Emerging Markets

+20%

$181 MiLLion

in ADDiTionAL SALES

N I V E A M E NT E A M B

NIVEA Men is a mature brand and changing industry dynamics provide NIVEA with an interesting challenge for growing their men’s line. It is a challenge which is both realistic to the business world, and one which will require

market research to evaluate the NIVEA business as well as competition before moving forward with a marketing plan.

Growth Rationale for Choosing the NIVEA Men

Emerging Markets Capitalize on the growth potential of the core

business, through establishing brand recognition

and preference

Mature Markets Turning brand recognition into brand preference

and affinity to gain market share by creating

High impact Value Propositions that engage and

connect customers with the brand

Regional strategies with urban focus Innovative product launches

to meet regional needs and serve the aging

population

Integrated marketing communication channels & relevant messaging

to enhance the value proposition to engage

conscious and pressured consumer

t w o c u s t o m e r - f o c u s e d g r o w t h s t r a t e g i e s

s t a y i n g c u r r e n t a n d t h r i v i n g I N A D I G I t A L W O R L D +

+By 2018, Internet advertising will be poised to overtake TV as the largest advertising segment - CMO Council

N I V E A M E NT E A M B

strategy MEDIA WHERE HOW

above-the-line Copa America/Euro 2016/Rio Olympics

Tourist/Scenic LocationsBillboard

Roadshows & Themed Booths During Span of EventFree Samples And Branded Collateral

TVC Prime-time & Evening News Care is Beautiful

outdoor Advertising Urban AreasBillboardsBus-StopsMetro Stations

12-Week Period Leading Up To Festive Seasons

Magazines Men’s Health And Lifestyle Bi-Monthly Full-Page Ads

Summer Movie tie-in Urban Areas Themed Bundles And Free Samples

below-the-line Free Samples As Support Material For Events

Branded Collateral As Support Material For Events

digital media online Mini Series Facebook, Twitter, Youtube. Humor-based* video clips

Hashtag Campaigns (engagement generation)

#niveaCares

Feasibility of Activity Plancommunication strategy

* http://www.emarketer.com/Article/Case-Study-NIVEA-Uses-Humor-Men-Face-Grooming-Facts/1010086

N I V E A M E NT E A M B Feasibility of Activity Plan

REGION focus JANuARy fEBRuARy MARCH ApRIL

north america usa Campaign Campaign: Life Hacks Sponsorship: NFL / NHL Sponsorship: NHL / NBA Sponsorship: MLB

Featured Product Face Moisturizer (Sensitive Line) Shower Gel (Silver Protect)

latin america brazil Campaign Sponsorship Sponsorships and free samples

Featured Product Energizer Q10 SPF Line Active3 3in-1 Body Wash

western Europe

uK Campaign Campaign: Life Hacks Sponsorship: Rugby Campaign: Life Hacks Sponsorship: Rugby

Sponsorship: Rugby

Featured Product Product Line: Face Moisturizer (Sensitive Line) Active3 3in-1 Body Wash

eastern europe russia Campaign Spokesperson: RussianNHLPlayer In-Store Promotions

Featured Product Active Age Line (Active Age Day Moisturizer) Sensitive Gel Moisturizer and Protective Lotion

asia pacific china Campaign Campaign: CNY Celebrations In Store - CNY Celebrations

Featured Product Active Age Line (Active Age Day Moisturizer)

Platinum Protect 3-In-1 Deodorizing Body Wash

Original Moisturizing Face Wash

south asia india Campaign Campaign: Moisturizers, Hand Cream Sponsorship: World Cup, Skin Care Promotion: Holi

Sponsorship: IPL

Featured Product Dark Spot Reducer & Oil Control Face Wash 10X Whitening Effect Dark Spot Reducer & oil Control Face Wash 10X Whitening Effect

Active3 3in-1 Body Wash

middle east & africa

uAE Campaign ATP Doha Tennis Endorsement Ads Beard Care Launch, GP Bahrein

Featured Product Product Line: Face Moisturizer (Energy Line) Energy Shaving Gel Q10

australia australia Campaign Campaign: Life Hacks Sponsorship: Rugby Campaign: Surf and Shower

Featured Product Energizer Q10 SPF Line Active3 3in-1 Body Wash

JANuARy 2016 – ApRIL 2016

N I V E A M E NT E A M B Feasibility of Activity Plan

REGION focus MAy JuNE JuLy august

north america usa Campaign Sponsorship: MLB In-Store promotions

Featured Product Active Age Line (Active Age Day Moisturizer) Energizer Q10 SPF Line

latin america brazil Campaign Sponsorship to the event in store promotions and gift sets

in store promotions, gift sets and sponsorship

Featured Product Platinum Protect 3-In-1 Deodorizing Bod Wash Active Age (Active Age Double Action Balm)

western Europe

uK Campaign Sponsorship: Rugby In-Store promotions

Featured Product Active Age Line (Active Age Day Moisturizer) Platinum Protect 3-In-1 Deodorizing Bod Wash

eastern europe russia Campaign Sponsorship: Grand Prix F1 Brand Recognition Campaign with russian sports history key moments

Featured Product Sensitive Gel Moisturizer and Protective Lotion

Platinum Protect 3-In-1 Deodorizing Bod Wash Active3 3in-1 Body Wash

asia pacific china Campaign In Store - UEFA Champions League Final Campaign - Summer Blockbusters

In Store - BPL Season

Featured Product Original Moisturizing Face Wash

south asia india Campaign In-Store Promotions Campaign - Bollywood Celebrity Endorsement

Featured Product Active3 3in-1 Body Wash Platinum Protect 3-In-1 Deodorizing Bod Wash

middle east & africa

uAE Campaign Summer Tv Advertisement Ramadan Sales Promotions Eid Sales Promotions

Featured Product Platinum Protect 3-In-1 Deodorizing Bod Wash + Roll On

australia australia Campaign Campaign: Surf and Shower Sponsorship: Rugby

Featured Product Active3 3in-1 Body Wash Original Line: Replenishing Post Shave Balm

Energy Line: Skin Energy Double Action Balm

may 2016 – august 2016

N I V E A M E NT E A M B Feasibility of Activity Plan

REGION focus september OCtOBER NOVEMBER DECEMBER

north america usa Campaign In-Store promotions Beard Care Launch - TV Spots, internet Campaign

Movember: Beard Care Post Movember Shaving Promotion: Shave It Or Save It

Featured Product Anti Irritation Line (Extreme Confort Post Shave Balm)

Sensitive Line (Sensitive Shaving Foam) Original Shaving Gel - Replenishing Post Shave Balm

latin america brazil Campaign in store promotions, gift sets and sponsorship Sponsorship in store promotions

Featured Product Energy Line (Skin Energy Double Action Balm)

Face Moisturizer (original Line) Platinum Protect 3-In-1 Deodorizing Bod Wash

original Line

western Europe

uK Campaign Beard Care Launch - TV Spots, internet Campaign

Movember: Beard Care Post Movember Shaving Promotion: Shave It Or Save It

Featured Product Platinum Protect 3-In-1 Deodorizing Bod Wash

Cool Kick Shaving Gel Sensitive Cool Shaving Gel Original Shaving Gel - Replenishing Post Shave Balm

eastern europe russia Campaign Beard Care Launch - TV Spots, internet Campaign

Movember: Beard Care Post Movember Shaving Promotion: Shave It Or Save It

Featured Product Active3 3in-1 Body Wash Sensitive Shaving Gel Original Shaving Gel - Replenishing Post Shave Balm

asia pacific china Campaign Sponsorship - Singapore F1 In Store - Halloween In Store - Christmas

Featured Product Sensitive Face Wash Exfoliating Face Scrub original Line

south asia india Campaign Beard Care Launch - TV Spots, internet Campaign

Shaving Promotion

Featured Product Platinum Protect 3-In-1 Deodorizing Bod Wash

Cool Kick Shaving Gel Original Shaving Gel - Replenishing Post Shave Balm

middle east & africa

uAE Campaign Beard Care Launch - TV Spots, internet Campaign

Celebrity Endorsement

Featured Product Cool Kick Aftershave Fluid

australia australia Campaign Sponsorship: Rugby, Australian Rules

Beard Care Launch - TV Spots, internet Campaign

Movember: Beard Care Post Movember Shaving Promotion: Shave It Or Save It

Featured Product Active Age (Active Age Double Action Balm)

Energy Line: Skin Energy Shaving Gel Original Shaving Gel - Replenishing Post Shave Balm

september 2016 – december 2016

N I V E A M E NT E A M B

t h e b a s i c p r o m i s e :

The Functional Benefits: Emerging Markets

Softness • Cleanliness • Affordable Innovation The Emotional Benefits: Mature Markets

Trust • Confidence • Responsibility • HonestyThe Supporting Evidence: Mature Markets

Quality • Tradition • New Product Lines

E M E R G I N G M A R K E t

Benefit-based campaigns (Awareness)

M A t u R E M A R K E t

Emotion-based campaigns (Connection)

v a l u e p r o p o s i t i o n

“Providing high end, innovative skincare products for men at affordable prices”

p o s i t i o n i n g

Nivea Men is positioned toward the user. The typical brand user is profiled as the one who tackles things on their own.

The brand has the tagline “It starts with you” which is a decent call to action. However it might not communicate the strengths of the product

Humour based campaigns can also be used through digital channels for its shareability and engagement of the male audience

“A good man ad would be... selling the features and the thought that went into the product” - Male focus group respondant

Key Communication Focus of the Brand

N I V E A M E NT E A M B

m a r K e t i n g s t r a t e g y

For our market matching strategy, we are focusing on ATL Marketing in key sporting events throughout the year.• Outdoor advertising in high density area to generate maximum

brand awareness• Ads to be placed in men’s lifestyle and health magazine to remind

customers why they are using Nivea or why they should start• TVC to reach masses within the region

Alternating between outdoor, print and TV ads, to constantly expose the image of Nivea to its audience

m a i n c h a n n e l s

outdoor Billboards

Rio themed products and ads during the Rio 2016 Olympics – each ad/campaign will run between 8-12 weeks

Magazine Advertisements

Bi-monthly full page ads to reinforce and resonate TV and themed campaigns

Special Events

NIVEA beach balls in Rio, marathon finishing line with refreshment stations (antibacterial hand wash, nivea water bottles)

TV

Prime-time commercials broadcasting benefit-based ads and more emotional-based ads during evening news to target a more mature audience

Multiplying Effect of Media Strategy

N I V E A M E NT E A M B

s e c o n d a r y s o u r c e s

• News articles• Marketing Journal Articles • Industry Databases - Euromonitor

International + Used to gain an understanding of

global industry trends + Nivea • Beiersdorf Annual Report

p r i m a r y r e s e a r c h :

“internal Research” • Life-Hack Campaign analysis - website,• Nivea Men Digital Media Analysis + SEM Rush + Similar Web“Competitive Analysis”• Competitive Shopping – El Corte Ingles,

Dia, Carrefour• Analysis of competition’s digital media + SEM Rush + Similar Web

m a i n c h a n n e l s

Qualitative:Qualitative research was used to gain an understanding of consumers relationship with skincareUnderstand their skincare routines and consumption behaviour• Analyze how NIVEA’s target market perceive personal care • Understand how they currently position NIVEA and its competitors in the men’s

grooming market• Test NIVEA Men’s new “Life Hack” campaign and its impact in relation to current brand

perception

To complete this research we used the up-down model incorporating three levels of analysis in qualitative studies derived from psycho-sociology: macro-groups, micro-groups, and individuals.• Macro Group: Whatsapp Focus Groups: Men & Women• Micro Groups: Traditional Focus Groups + Two Focus Groups representative of Nivea’s target market (not frequent users) + Two Focus Groups of “heavy skincare users” + Two Focus Groups of women who shop for their partners• Individual: 10 In-depth Interviews: heavy, light users, and women

Moving Forward:• Large scale Testing : Conjoint Analysis of listed benefits in Advertising • Compare Sales Data before and after Campaign• Discover New Product/Concept (eg. Beard Care)

Key Sources of Information

N I V E A M E NT E A M B

M I L L W A R D B R O W N C H A L L E N G E

t E A M B f O R N I V E A M E N