Beiersdorf Marketing Push Planned Behind Nivea, Eucerin
This article was originally published in The Rose Sheet
Executive Summary
Beiersdorf plans to spend $25 mil. on advertising in the U.S. this year, with most of the funding directed toward Nivea and Eucerin, the company said. The German firm also plans to disseminate 40 mil. samples throughout the year as part of its promotional initiatives
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Beiersdorf plans to spend $25 mil. on advertising in the U.S. this year, with most of the funding directed toward Nivea and Eucerin , the company said. The German firm also plans to disseminate 40 mil. samples throughout the year as part of its promotional initiatives. Beiersdorf will support the March debut of Nivea Visage extensions with print and TV ads breaking this spring concurrent with their launch, the firm said. In addition, the company plans "extensive" sampling, and aggressive in-store display support to promote the new skin care products. The Nivea Visage extensions include four products: Multiple Results All In One Anti-Aging Treatment, Simply Glowing and All Around Protection Lotion and Crème with SPF 15. Multiple Results is formulated with Creatine Complex to combat the signs of aging, according to Beiersdorf. The treatment visibly reduces fine lines and wrinkles, while firming and smoothing skin, refining pores and improving skin tone, the firm said. With a retail price around $17.99 for a 1.7 oz. bottle, Multiple Results is premium-priced compared to other Nivea Visage anti-aging products, which typically retail for around $10. The higher cost is attributed to the product's "superior anti-aging technology," Beiersdorf said. Simply Glowing ($8.99) combines shimmering pigments, essential minerals, apricot extract and vitamin C to brighten skin tone and give a smooth, radiant appearance, the firm claimed. All Around Protection Crème and Lotion SPF 15 contain IsoProtectine , a plant-derived antioxidant that fights free radicals and enhances the skin's ability to defend itself, according to Beiersdorf. The products also are formulated with vitamins C and E. The lotion will retail for $8.99 for 3.3 oz., while the crème will cost $8.99 for 1.7 oz. Beiersdorf is rolling out repackaged versions of the existing Nivea Visage range to "more strongly and clearly communicate our point of difference in the market," the firm said. The new packaging additionally makes it easier for the consumer to understand the individual product's function, according to the company. Also breaking this spring is a $7 mil. advertising campaign that will promote a new Eucerin Calming Crème and existing Itch-Relief Moisturizing Spray, the firm said. Eucerin Calming Crème is a moisturizer designed to relieve dry, itchy skin with 24-hour moisture protection. The product is formulated with dimethicone to protect the skin, glycerin to moisturize and oatmeal to soothe, according to the firm. Calming Creme and Itch-Relief retail for $7.49 apiece. The company is introducing Skin Renewal SPF 15 Day Lotion as an extension to its existing Clear Skin Formula range, a collection designed for adult blemish-prone skin. Skin Renewal day lotion ($10.29) contains lactic acid to unclog pores and prevent breakouts, UVA/UVB protection and oil-free moisturization, according to Beiersdorf. Conceal & Heal Treatment Pencil also will debut, formulated with 1.8% salicylic acid and chamomile in a flesh-colored formula to conceal blemishes while treating them, the firm said. The pencil will retail for $8.49. Both items are rolling out now to food, drug and mass doors nationwide. Eucerin Clear Skin Formula was introduced last year, representing the brand's foray into anti-acne products. (1 (Also see "Eucerin, Clean & Clear Acne Products Promoted To Dermatologists" - HBW Insight, 31 Mar, 2003.), p. 5). Beiersdorf released its 2003 sales results Feb. 18, announcing Nivea sales grew 5.3% to $3.33 bil. (€1=$1.28) after adjusting for exchange rate effects. The brand held 173 market-leading positions in 54 countries, the firm added. Eucerin sales experienced double-digit growth in 23 countries with global sales up 9.1% at constant exchange rates, Beiersdorf reported. Due to a restructuring effort last year that consolidated the company's branded consumer goods business, Nivea and Eucerin results were presented in one core branded consumer goods group rather than their former respective Cosmed and Medical divisions. Revenue for branded consumer goods, which accounts for over 80% of Beiersdorf sales, increased 3.9% in constant currency to $4.79 bil., but declined 1.6% on a reported basis. Face and body care sales increased 4.4% in constant currency to $4.29 bil. |