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Analyze broad differentiation strategy
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DESCRIPTION OF COMPANY:
Nivea is a one of the international brand of Beiersdorf Company and it is well known for its varieties of skin care products in the world. The name Nivea is derived from Latin word niveus/niveum/nivea meaning “snow-white”. In 1900, the owner Oskar Troplowitz developed many varieties of skin care creams under the Beiersdorf Company. During 1930, the Beiersdorf introduced products as tanning oils, shaving creams, shampoos and toners. In 1980, the nivea brand expanded its market worldwide and started expansion as a brand of skin care and body care and it launched a huge number of products with sub brands in worldwide market. In 1990, they started overtaking companies like Juvena brand which was founded in Zurich and The
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There are different points which effectively cause to segmentation. Demographic segments are broad. Attitudes towards Nivea products influences their market so it done the market research to understand the consumer attitudes. There are some consumers who are very conscious about their skin and its protection which affects Nivea consumer market. To finding a different group of customer’s segmentation is the important tool and meet the best possible consumer needs. The major target group of Nivea Company is youth because they concentrate and spend more money on their beauty so that the company makes profit by finding the right targeted …show more content…
The marketing instruments mainly aim to meet the requirements of the consumers and to earn some good profits to the company. The Nivea company market research helps to develop and manufacture different kind of products which reaches to the all group of consumers. Nivea launched every product in history based on their market research only. It created huge confidence in the company to manufacture different products and get the profits. Market research helps to the company to establish in different regions and different countries where the consumer needs are required. Nivea also depends on advertising in different kind of media which enable to reach the consumer market. Making television commercials about particular products and broad casting in the televisions, giving advertisements to papers, making hoardings, conducting product campaigns, social media, mass media and product promotions. Through this the product reaches to customers in the market to all age groups. So that the company increases the product sales and get the profit to be the number one in the skin care
Segmentation variables can be classified into four major classes; geographic, demographic, psychographic and behavioural. The use of these categories either individually or in combination assists companies to identify and establish market segments which is relevant to the product or service they are offering. This in turn helps these organisations to evaluate the relevant segments to choose the pertinent target market.
Many factors should be addressed when defining a target market. These factors include market segmentation, product life cycle, and the four "P's" that make the marketing mix. Market segmentation is the process of dividing a total market into market groups consisting of people who have relatively similar product wants and needs. There are four major segmentation variables: geographic, demographic, psychographic, and behavioral. Geographic segmentation includes world region, country region, city, density, or climate. Demographic segmentation can consist of age, gender, income, occupation, education, race, religion, or nationality. Social class, lifestyle, and personality fall into the psychographic segment. The behavioral segment divides buyers into groups based on their knowledge, attitudes, uses, or responses to a product (Bethel, 2007). Once the market segment is identified, that market can be targeted.
“A market segment consists of a group of customers who share a similar set of needs and wants. The marketer’s task is to identify the appropriate number and nature of market segment and decide ...
As discussed in Chapter 3, there are several bases for market segmentation. Because the needs and wants of consumers in various markets differ, there are general indicators that are used to segment markets—geographic demographic, and arguably most importantly, psychographic segmentation. From this, variables like lifestyle, family size and region are used to identify key segments for Virginia Beach. (Spiller, 2012, 88)
Marketing research has become a very important part of small businesses and large corporations gaining information about their customers and how they feel about their products and services. According to Philip Kotler, "Marketing research is systematic problem analysis, model building and fact-finding for the purpose of improved decision-king and control in the marketing of goods and services (Kotler & Keller, 2012)”. The initial step in the marketing process is to identify the problem the company is having and then decide the way the marketing team would like to conduct the research. The marketing team will devise a plan on how to gather the information and set a budget for the research project. In the planning of how they will conduct the
Marketing In this day and age is vital for a company to perform at its possible best. Marketing’s main focus is to give great satisfaction to a customer. There are many aspect of marketing, these aspects give marketer’s the tools to help strive for the best possible success they can achieve. They hope that they can create exposure for their brand, product or service.
Caroline and Jennifer said that ‘Market segmentation is a crucial marketing strategy. Its aim is to identify and delineate market segments or set of buyers which would then become targets for the company’s marketing plans.’ (Tynan and Drayton, 1987) There are many ways to segment the market, such as age, region, environment, psychology and wages (Hall, Jones and Raffo, 2010).
Segmentation is the process of identifying different macro-groups of customers (i.e. segments) based on their common characteristics. The process of choosing a target segment, on which to focus marketing activities on, is a process named targeting.
To begin with, it is crucial to appreciate the meaning of segmentation and targeting because these two terms lay the foundation for this report. Consequently, segmentation is dividing a market, into groups of consumers with homogenous traits in order to provide each group with the desired product. What is the meaning of targeting? It is where an enterprise evaluates every segment with an objective of identifying segments with promising business opportunities. Considering the nature of the product in question, it sufficed to mention that liquor- filled chocolates are to be sold to adults.
1930: In 1930, the NIVEA range was expanded with the addition of NIVEA OIL. The skin oil was usually used by sportspeople and for massage. In their advertisements as well they used masculine model athlete which bought about an attractiveness and youth image in the minds of the consumers. The NIVEA product range had expanded considerably – hairdressers, as well as pharmacists and chemists had now been supplied since the mid-twenties.
Segmentation is a marketing strategy that involves separating a wide target market into small groups of customers who share the common need of using or purchasing the product that needs to be marketed. Market segmentation strategies are utilized to identify these groups of consumers and strategies are designed and implemented to make the product or service appeal to them. Support and also the product will be strategically placed in order to successfully achieve the ultimate marketing goal. Businesses and organizations may come up with different type of strategies involving different products and catchy phrases depending on the product or the target segment.
Volterman’s product is unable to meet the need of people from all age group so they need to use market segmentation to meet the customer requirement with the common needs and characteristics. (3) Volterman organization are able to determine exactly who is their targeted market such as
Briefly it is a systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company, allows management to make the changes necessary for better results through adopting a proactive approach. Therefore, if a company wants to know what type of products or services would be profitable it should make a market research. Furthermore, a comprehensive research will enable the company to know about the product imperfections (if there are) and to know if it has been able to satisfy customers’ needs. It attempts to provide accurate information that reflects a true state of affairs. Due to market research the company can formulate a viable marketing plan and estimate the success of its existing plan. There are two main sources of marketing research information:
This paper will outline the importance of marketing research and apply that importance to a communication to the management team at Johnson & Johnson’s Consumer Products group. The discussion with management will include the use of current marketing research tools by the company today and the application of each.
...cular market. Companies that conduct market research normally save a lot of money by understanding what type of product or service is needed, other than entering the market blindly without knowing what to expect.