How nivea incorporated these segmentation aspects in its product report

Analysis of an Advert

There are two principal categories of market segmentation: consumer based segmentation and consumption-specific segmentation. In consumer based segmentation, the consumers are grouped on the criteria of characteristics of the consumers. In consumption bases, the segmentation criterion is based on the consumer’s interaction with the product or potential interaction with the product. Within each category, segmentation may be further carried according to existing facts or according to abstraction, (Charles, 2008).
For consumer based segmentation, facts include elements such as age, age cohorts, gender, marital status, family life cycle, income occupation among others. For consumption-specific segmentation, facts include user rate and user situation or occasion. For consumer based segmentation, abstractions include personality trains, lifestyles, cultural values and beliefs. For consumption based segmentation, the abstractions include attitudes and preferences, benefits pursued, awareness and brand loyalty, (Buttle, 2008).

According to advertisement, the products reflect both consumer based segmentation and consumption based segmentation. Consumer based classification have four components: demographics, geo-demographics, personality traits, lifestyles and sociocultural aspects.

Under demographics, there are five basis of segmentation: age, gender, marital status, family life cycle and level of income, education and occupation. Under this classification, the products are differentiated according to gender. The same product variety is available to both male and female gender. The other demographic factor implied in the advert for the product is the age concept. The product is labelled anti-ageing which means that it appeals to those individuals at the advanced age and is still trying to maintain the beauty. Other products are formulated to stop wrinkles which are a common problem to those who pursue of beauty. The products that satisfy these needs include Nivea visage pure and natural anti-wrinkle cream and Nivea Q10 plus skin pore refining cream.

Geo-demographic aspect considers indigenous people from the same geographical area. These people share certain features such as lifestyles, income characteristics, consumption, and tastes among others. Cosmetic industry uses this segmentation to a greater extent. It is, however, subtle and cannot be noticed. The fact is that most cosmetics are localised and cannot cover wide geo-graphical area. People from different geographical area differ in many respects, economically, socially, culturally and biologically. Therefore, the same cosmetic cannot apply to all of them.

Lifestyles are based on consumer values. These values incorporate things such as interests, activities and opinions. Lifestyle is summed into the way an individual would like to live his or her life. This has a direct influence on the consumer buying decisions. Nivea products appearing in the advertisement reflect this aspect of segmentation. There are those products for individuals who would like to remain young. These are people whose self-esteem emanates from the self-image and beauty.

Consumption specific segmentation has five components: usage rate, usage situation benefits derived, perceived loyalty to the brand and brand relationship. Usage rate refers the frequency of use of the product. Nivea anti-ageing cream must have considered this in its advertisement. Naturally, people age and experience wrinkle problems. Therefore, the need for this cream is naturally driven by the need to reduce the rate of ageing. Since the number of individuals experiencing this need is high and is increasing, the product usage is high and guaranteed.
Usage situation is the circumstance under which the product is preferred. In this case, the usage situation is ageing and wrinkle. These are natural processes and are guaranteed. Therefore, the usage situation exists. Many other usage situations that are reflected by the product include the need to make dry skin moist, firming the skin, protecting the skin against Ultra Violet rays and infections, tinting the skin and refreshing the skin. The benefits derived goes along with the situation.

Benefits of segmentation

The fundamental reason behind segmentation is to capture the needs of consumers. These needs are varied among the consumers. The various needs of the consumers cannot be amalgamated into one universal product. The differences in needs of consumers are influenced by culture, lifestyles, level of income, biological differences, and social status among other things. Moreover, this segmentation is inevitably a strategy for a company to increase sales by offering a variety. If there is only one product variety, the sales would not be the same as when the varieties are more than one. The Beiersdorf Company, the manufacture of Nivea provides a wide range of products to suit each need.

The second benefit of segmentation is that it helps in proper positioning. Positioning refers to all the schemes that a company develops in order to appeal to consumers as much as possible. Positioning statement is a brief slogan that gives hindsight into the products benefits at a glance. In the advert for Nivea anti-ageing cream, the positioning statement is “ face the future with a firmer skin.” The message here is that the cream confers the benefit of firmer skin to the user. Therefore, potential consumers are likely to believe that this cream makes skin firmer. This statement is different from the positioning statement for Nivea Q10 anti-wrinkle cream. The statement is “ enhances your natural skin tone, smoother, younger-looking skin fights existing lines and wrinkles.” The two statements must differ so that there is no sales conflict between the products from the same company.

The other importance of segmentation is to help in identifying the best media for reaching out for consumers. The basis for choosing the media is to reach as many potential consumers as possible. The cost factor may also influence the choice of media, but not as much as the potential target customers. The advert in figure one above was accessed from the local dailies. It is limited in product varieties due to cost factor, but relatively reaches many target customers. Typical television advertisements involve a clip of the following advertisement.

The advert depicts an attractive lady who has captured the attention of man. The implication here is that the captivating looks can be acquired if one uses the product. The social impact of this message is tremendous for the single ladies searching for a date. The target audience, in this case, is the female singles who are in search of social benefits and recognition. The product is likely to appeal much to this target. The other advert appearing on televisions as shown in figure three.

Advertising media

Cinema

The product brand shown in figure three is a familiar figure in the cinemas. It usually plays with a woman applying the lotion on the face with a voice saying “ Nivea visage Q10 helps reduce the reduce wrinkles.

Television

Television is the most used medium for the advertisement of the product. Figure two is a common scene on television. It shows a woman appealing to a gentleman. The appeal is attributed to the usage of Nivea product. Nivea also sponsors some of the important shows which are preceded by the images of product brands and marketing slogans.

Local dailies and magazines

Nivea product is also prominent over local dailies and magazines. Nivea product is an advertisement through Nivea e-mail newsletter, in addition to local dailies and, magazines. The method of using newsletters is to reach as many potential customers are possible. E-mail newsletters are a cheaper way to reach clients because it costs less that other forms of communication, (Lapointe, 2012). Typical brands appearing on these platforms are shown in the following figures.

Marketing communication

Advertisement serves as a vital form of communication between the company and consumers. Consumers can range from a few hundred to millions of individuals. An advertisement is a way of reaching as many consumers as possible, (Christopher et al, and 2006). One important requirement is that the message in the advertisement must be flawless, comprehensible and relevant to the target market segment. The advertisement must address the needs of the customers. This advertisement addresses various needs of customers such as healthy skin, beautiful and shiny skin as well as complexion.

Message structure

There are two types of message structure: negative message framing and positive message framing. In negative framing, the information is given on the effects of not using a given product whereas in positive framing, the information given states the values derived from using the product. In this form of advertising, the message structure is positively framed to capture the attention of potential consumers. The message positively comments on the benefits of using each variety of products. The message structure is also one-sided. One-sided message is that which focuses on product features and its benefits, as opposed to two-sided message, which implies competitor-product limitations, (Hong et al, 2005). The form of message structure adopted by this advertisement is a one-sided message. The message is mainly about the benefits of the product.

Resonance

Figure one shows extensive use of resonance in passing out the message that Nivea anti-ageing cream induces cellular renewal. There is a blue transparent spherical drop enclosing a matrix of strands which resembles human DNA strands. The expression DNAge appears to contain the initials acronym DNA in it. This gives a feeling of scientifically formulated cosmetic which can deliver results.

Celebrity appeals

There are four types of celebrity appeals that may be used by a product advertisement: testimonial, endorsement, actor and spokesperson. Testimonial is where a celebrity associates here self-image to the product. Endorsement is where the celebrity allows his or her name to be used on behalf of the product even though when he or she is not the expert. Actor is whereby the product appears as part of character endorsement. A spokesperson is one who champions campaign on the benefits of the product. The celebrity used the Nivea advertisement gives testimonies in some instances. In others, she poses as a spokesperson and endorser. The aim of the use of celebrity is to bring on board the potential client who are inspired by the celebrity.

Buyer process stage

There are five stages of the buying process namely: problem recognition, information search, evaluation of alternatives, purchase decision and post purchase behaviour. In problem recognition stage, buyers recognize the presence of a problem to be satisfied by the product. Then the buyer seeks information regarding the availability of solutions. After obtaining the suitable solutions, the buyer evaluates the alternatives for the best decision. Evaluation is the influence by many factors including income, brand, psychological benefits, social values, lifestyle among many other things. The buying process then follows the evaluation. Lastly, the final post purchase stage is characterized by the buyer expression of the level of satisfaction derived and makes a decision to purchase the same products from the same supplier, (William et al, 2011).

This advertisement appeals to consumers who are within the first three stages of the buying process. The needs such as skin health problem and the need to have a better skin are evident in this advert. The advertisement also contains information on the benefits of the cosmetics as per the need stated. It presents the consumers with an opportunity to make a decision. They may consider competitor brands or select from the varieties in the advertisement.

Advertisement risk analysis

This advertisement, like all other advertisement, leaves the company vulnerable to competitor counteractions on the promotion of a product. As competitors, businesses often search on the opponent’s strengths and weakness. In developing counteractions, they capitalise on the weakness. The first risk, therefore, that Beiersdorf faces is the threat of competitor reaction. The other risk that is associated with new products is the risk of losing customers due to dissatisfaction or ethical reasons.

The advert by Beiersdorf for Nivea anti-ageing cream came along with it the controversy on the statement used. The public and the authority expressed concern over the message “ 37% of women feels more attractive now than 10 years ago.” This is regarded as misleading because there was no link between the beauties of present customers to the use of the product. This controversy is likely to spur invincible competitor counteraction.

Comments on the advert

Typical of cosmetic advertisements, advertisement of the Nivea product is characterised by exuberance, overstatement and to a larger extent misleading, . This can be understood from the reaction to the proposition that Nivea product, Q10 plus anti-wrinkle, has made over thirty-seven per cent woman more beautiful than when they about ten years ago. The other controversial product of Nivea is Nivea visage DNAge cell renewal type. This advertisement implies that its usage causes permanent change to skin, (Katherine et al, 2012). Moreover, these claims have not valid basis for proof.

Recommendations

There are three recommendations for improving the effectiveness of this advertisement. The first one is for the company to avoid controversial and baseless qualifications for the product. For example, most customers and authority disputed the message that over 37% have improved their skin conditions from 10 years ago. This is unfounded and is likely to scare away the potential customers, (Westjohn et al, 2012). The second way to pass the message effectively is to involve the endorsement of credible medical institution or organisation. This will readily attract the attention of potential customers. Lastly, no customer can know the initial image of the celebrities posted on the advert, (Carrington et al, 2012). Some would not even believe them. It is possible to include the visual representation of perceived image of the celebrities before using the products. This transition will help buyer make a quick decision on the product.

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