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01_Introduction
Beiersdorf is the international skin care company behind the leading brands NIVEA, ELASTOPLAST, ATRIXO and EUCERIN. Over the past 10 years the company has grown rapidly in the UK by developing a balanced and well managed portfolio of brands. A brand portfolio should consist of a range of products which support each other, irrespective of which categories they operate in. TheNIVEA range includes product types ranging from female face and body products to men’s shaving gels, through to deodorants and sun care products.

NIVEA

General All Purpose Purpose Soft, Lotion, Creams and Creme Lotions

Body Care Body

Hand Care Hand

Men’s For Care Face Men

Female Visage Face Care

Bath Care, Shower, Soap, Talc, Soap and Talc Shower

Deodorant Deodorant

Lip CareLip Care

Sun Care Sun Care

NIVEA identifies market segments that meet individual consumer needs. Segmentation occurs when a market is split into

Sun care is a serious issue for all and the protection message is key to the NIVEA Sun brand proposition. NIVEA Sun appeals to, and is used by men, women and children with quality products to meet all needs. The brand also aims to bring fun tothe market through recognising situations when sun care products are applied.

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sub-markets (segments) which can respond in similar ways to different marketing activities. Each segment:

• contains consumers with similar needs or tastes • is best satisfied by products targeted to meet
their specific needs.

The UK sun care market (worth £173.6m)
This can be at a macro level(e.g. total health and beauty market) and at a micro level (i.e. within a specific category). NIVEA Sun is a major international sun care brand, recognised worldwide as a leader in sun care research and development. The UK market is worth £173.6m with an overall category purchase penetration of 33% (usage penetration is higher).
Source: IRI (HBA Outlets, value sales, 52 W/E 24 Dec, 2005)

NIVEASun has 17.5% value market share.

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NIVEA Sun

Segmentation

NIVEA Sun

2006 NIVEA Sun Range Protection
Moisturising Sun Lotions SPF4, 8,12,15,20, 30, 40, 50+ Moisturising Sun Sprays SPF6, 10, 15, 20, 30, 50+ Firming Sun Lotion SPF6, 15 Satin Sheen Sun Lotion SPF8, 15 Sun Oil SPF4 Sensitive Sun Lotion SPF30, 50+ Pampering Protection Mousse SPF 8, 15 Children’s SunLotion SPF25, 40, 50+ Sun Spray SPF20, 30, 40, 50+, Baby Sun Lotion SPF50+

Moisturising After Sun Lotion 200/400ml Sun Touch Lotion Normal to Dark or Fair Skin

After Sun

Cooling After Sun Spray Sun Touch Caring Spray

After Sun Tan Prolonger Sun Touch Face Cream Normal to Dark or Fair Skin

Regenerating After Sun Balm Sun Touch Aerosol Sun Touch Wipes Spray Normal to Dark or Fair Skin02_The three main product segments
The diagram above shows the three main product segments that make up the NIVEA Sun range. As you will see, there are a variety of products in each, which can also be segmented as shown. 1. Protection It is vital that skin is adequately protected against the sun’s harmful effects (although no sunscreen can provide total protection). NIVEA Sun provides productsthat enable people to be as safe as possible. NIVEA Sun also encourages the use of other forms of protection (e.g. wearing a sun hat and avoiding midday sun). Protection is the largest segment in the sun care market with a purchase penetration of 28%. NIVEA Sun is the protection segment market leader by value (i.e. more money is spent on NIVEA Sun protection products than any other sun care brandin the UK). When choosing sunscreens there are two important factors to consider: i. skin type The chart below shows segmentation by skin type. The level of protection required for each segment will vary according to generalised skin types (as seen below):
Skin Type Hair Colour Freckles Sunburn Tanning Very Light Reddish Many Very Quickly Slowly Fair Blonde Some Quickly Slowly Normal Dark...