Marketing Research Essay

870 Words Jan 25th, 2016 4 Pages

1.0 Background
NIVEA is one of the oldest, most recognised and a leading cosmetic brand in the world, which has transformed itself from a single skin care brand to a contemporary and trustworthy personal care brand for all family types. The brand extended itself by sub-branding to more than 15 product ranges from facial moisturisers to deodorants and shower products, whilst maintaining its consistency strategy throughout all its series of products. Nivea would conduct intensive market research before making decisions on choosing the business strategies. The company is currently facing a difficulty in choosing the right business strategies to increase shares in the
…show more content…
More thoroughly, Kotler suggested that the consumer behaviour influencing factors derived from social, cultural, psychological and individual aspects (Gu et al 2013, 280). 2.2 Consumption Culture The consumption’s cultural dimensions have two major relevant theories. Simmel (1904) provided the first theory, which is the trickle-down theory. This theory explains the influence of fashion style and consumptions from the upper classes, then the consumption behaviour tend to be imitated by the lower classes. This reflects the lower classes social status whereas the upper classes would choose trend setting consumptions to differentiate themselves from the rest. These classes constitute the two forces in amplifying the consumption changes. The complete opposite theory to that is called trickle-up theory. It suggests that the lower classes influence further innovation. “Consumption is a social code” (Simmel 1904), consumers consume to fit in the society. Media is used to reflect the specific group characteristics by providing images that support identities and references. Advertising can be used to associate brands and styles with particular social groups.

2.3 Customer Needs, Motivation Theory and the Consumption Value Model The expectancy theory suggests that behaviors are largely dependent on external inducements. And thus, according to this theory, customer behavior is more dependent on external or environmental factors.

Related Documents