NIVEA’s brand hierarchy would be as follows: 2. What are the pros and cons of the sub-brand strategy? Should NIVEA run a corporate brand or umbrella ad for all of their products? What is the role of the NIVEA Crème advertising? Should it be changed?
The pro of the sub-branding strategy are that allows NIVEA to market across a large segment of consumers. A large amount of their target market already utilizes NIVEA products this allows the company to educate consumers on other needs they can meet. In addition to educating and informing consumers it increases market share. The con to the sub-branding strategy is that it takes away the focus of their main product which is NIVEA crème. Many customers want to purchase the product in the blue bottle they are familiar with.
NIVEA should run a corporate brand for all of their products. By utilizing this type of marketing they continue to reach their target market while reaching consumers interest with new products. A corporate brand creates trust and recognition between NIVEA and the consumer.
The goal of NIVEA crème advertising is to continue to build brand awareness in addition to reinforcing them as a quality skin care product. I don’t believe the advertising should