Nivea India will stay an urban-centric brand in India. It will focus its distribution on the top 75 towns in the country. After becoming a 100 per cent subsidiary of the Germany-based Beiersdorf AG in 2005, the skincare major has been trying to enhance its distribution in the urban markets as it had low visibility, compared to its peers in the Rs 4,000-crore skincare market.

Speaking to Business Line , Mr Rakshit Hargave, Managing Director, Nivea, said, “Nivea is going to focus on top 75 towns as the quality of our products makes us command a premium pricing. At present, we have the challenge of improving our distribution to ensure that our brand gets enough stocks and merchandise visibility.” He said Nivea will stay away from the rural markets. “We do not intend reaching out our brand to these extended markets,” he said. This summer Nivea has also entered the Rs 100-crore sun care market in the country and is pitting itself against heavyweights such as Lakme and Garnier. However, it has priced its sun lotion at a 15 per cent premium to the market leader, Lakme.

By launching more summer specific sub-brands such as Nivea Sun, the skin care major is trying to get away from being perceived as a cream-oriented winter care brand. Nivea has also roped in celebrities such as Mandira Bedi and Lara Dutta to endorse this new sub-brand.

Brand ambassador

Meanwhile, actress Anushka Sharma continues to endorse and feature in Nivea's television campaigns. The skin care major has also for the first time decided to sponsor the IPL-based show — Extra Innings — on Set Max, the official broadcaster for the IPL .

purvita@thehindu.co.in

Related Topics