Nivea SWOT Analysis 2022 – Beiersdorf

77 0

Nivea SWOT Analysis Analyzes, Nivea Creme launched in 1911 and revolutionized skin care as the first stable oil-and-water-based cream in the world. The largest brand for the German firm, Beiersdorf, expanded its product portfolio to include deodorant, face creams, sun protection and a men’s line. Nivea was voted Germany’s most trusted brand in 2016 in a Reader’s Digest survey. Global organic growth was 2.8% last year, fueled by strong results in Germany, India, Saudi Arabia and Mexico. A decline in market share occurred in Italy, Poland and Thailand.

Did You Know?

The name Nivea comes from the feminine form of the Latin adjective meaning snow-covered or snow-white, which is a reference to the bright-white color of Nivea Crème.

Invented by one of NIVEA’s founding fathers, Dr Isaac Lifschütz, Eucerit made it possible for a skin cream to remain stable over time – which lead directly to the creation of NIVEA Creme in 1911. This was the first skincare cream that could be exported around the world without losing any of its quality or consistency.

This can only be achieved through a firm with extensive knowledge, experience and innovative strategies. To determine the strengths of the company potential, weaknesses, opportunities and threats, it is necessary to conduct a SWOT analysis by Nivea.

Nivea At A Glance – Nivea SWOT Analysis

Company: Beiersdorf
Founders: Paul Carl Beiersdorf
Year of establishment: 1911
CEO: Ola kallenius
Headquarters: Hamburg, Germany
Employees (Dec 2020): 20,000
Ticker Symbol: BDRFF
Type: Public
Annual Revenue (Dec 2020): EURO€€7.653 Billion
Profit net income (Dec 2020): EURO€€736 Million

Products & Services: NIVEA Sunscreen Lotion | Sun protect and Moisture | NIVEA Soft Light Moisturizer | Nivea Nourishing Lotion Body Milk | Deep Moisture Serum | Almond Oil for Very Dry Skin | Nivea Crème | Nivea Hair, Face and Body Wash for Men | NIVEA Deodorant Roll-on

Company Website: www.nivea.com

Top Nivea Competitors 

Competitors: Vaseline | Ponds | Clinique | Johnson and Johnson | Lakme | Dove | Olay | Garnier | Johnson & Johnson

Nivea SWOT Analysis – SWOT Analysis Of Nivea

SWOT Analysis Of Nivea analyzes the brand based on its strengths weak points, weaknesses, opportunities, and threats. With Nivea SWOT Analysis it is clear that the advantages and disadvantages are internal factors, while threats and opportunities are external elements. Here we are going to talk about Nivea SWOT Analysis. Below Is The Detailed SWOT Analysis Of Nivea.

Nivea Strengths – Nivea SWOT Analysis

1. The dominance of cold cream: Nivea is the absolute leader in the market for cold cream. When you go to colder areas and you can’t live without the Nivea cream. The brand has that influence on the consumer. The only other brand has not reached the brand’s recall to the point of being cold creams as Nivea has. The success of the brand is due to its reputation as a cold cream , one of the niches it effectively covered and has done so successfully until now.

2. Equity in the brand equity: Naturally, as a result of its focus on this particular niche the brand Equity of Nivea is growing rapidly and has not suffered any harm. Through the years, Nivea has gained recognition for its brand . It is the 225th largest brand worldwide in 2016 and the 50th most highly rated brand from Germany. Nivea has a value of 6.7 billion dollars.

3. The distribution worldwide presence: Nivea sells about 20 products, and is available in more than fifty countries. This is a major factor in its distribution capabilities, which are increasing year-on-year.

4. The brand colors: The colors of the brand of Blue and White can be seen on a vast range of personal care products. The colors have remained consistent throughout the years and have become associated with the Nivea brand. In this regard, the Marketing department has been praised repeatedly, as well as praise for using the Nivea brand colors across all communications platforms for Nivea.

Nivea Weaknesses – Nivea SWOT Analysis 

1. The competition is limiting the sale of Nivea’s products in other segments: In the same way that Nivea is dominating the cold cream category and not allowing other brands to compete, some aren’t allowing Nivea to penetrate their region. This is why Nivea is having a difficult time for it to gain traction in the personal health and beauty with products for facial and body care products due to the an enormous amount of competition already.

2. The investment required to alter the image of their brand Image of the brand: It’s a double-edged sword. On one hand Nivea is a huge advantage in that it covers an area that is lucrative cold cream. However, on the contrary, if it must survive, it has to alter its image as a brand and be more of a personal-care brand. It’s doing this with its men’s cream. But the brand overall is strongly influenced by cold creams.

3. Expansion: Numerous experts have criticized Nivea’s image because the brand is not present in more than fifty countries despite the fact that it has a an impressive branding image. The issue Nivea has is that, unlike FMCG companies which are more diversified, it doesn’t have many products in its product range. Therefore, it must go slowly when expanding. However, saturation is a concern with Nivea and expanding is the best solution for increasing profits.

Nivea Opportunities – Nivea SWOT Analysis

1. Innovative by introducing new products lines The HTML0 product line is a new one: Nivea must continue expanding its product lines and products to its portfolio of brands. This will assist the company by having the largest product portfolio through which it will be able to establish its brand within emerging markets quickly and also break the stigma of as a cold cream company.

2. Potential for market is increasing: Another benefit is that the market for products for personal care is constantly expanding. In addition to growing the market potential for the demographic market potential expanding and expanding, but the geographical market is expanding as well, which means an optimistic future to the name.

3. Aiming at the segment of men: There are less personal care brands that cater to the men’s market, and this market is prime to be picked with men increasingly becoming aware of the importance of taking proper care of their appearance and also the important role it contributes to their overall health and overall health. Nivea has launched facial wash and body wash for this market and has well-received. Similar results can be expected in the future with additional lines of products they introduce.

4. Expansion of territory: In addition to the launch of brand new items, Nivea must expand to new areas. If it fails to expand, it will be faced with other competitors such as Ponds cold cream, which will soon be able to take over the market due to their great distribution possibilities.

Nivea Threats – Nivea SWOT Analysis

1. Competition taking away its core strength: While Nivea plans to expand into uncharted territory, brands are attacking its core strength of being the go to cold cream. Namely two brands are the dominant competitors – Ponds cold cream and Johnson and Johnson cold cream. Both are strong competitors for Nivea because they have deep pockets and fantastic distribution coverage.

2. Threat to bottom line: Because of its expenditure on marketing and because of competition in its core segment, Nivea which had the cold cream as a cash cow has a threat to its bottom line. Where there were a couple of cash cows, there are now majorly Stars in the portfolio of Nivea. This bottom line threat has to be nullified by Nivea by acting swiftly. Nivea deo’s are complete question marks in the BCG matrix because there are just so many Deo’s in the market including Axe which is the major market share holder.

3. Regular issues in Marketing: Nivea has faced several Racial issues in their marketing as well as huge fines imposed due to wrong marketing claims made. Such wrong marketing issues make a dent on the brand and will affect the brand if repeated.

Nivea SWOT Analysis Overview Template 

Nivea SWOT Analysis Overview Template 

This is the SWOT report that Nivea has done. Please let us know if you have additional suggestions to add.


Let us know What do you think? Did you find the article interesting?

Write about your experiences and thoughts in the comments below.

Leave a Reply