Pharmacist Waraporn Likhitchanjanagul, Managing Director of Beiersdorf (Thailand) Ltd., and Ms. Sathirawan Iam-Ong, Marketing Director for NIVEA products in the ASEAN region at Beiersdorf (Thailand) Ltd., jointly held a press conference to announce NIVEA's business progress in Thailand after its 100th anniversary. This comes amid intensifying competition in the skincare market from Korean brands and local operators, while consumer purchasing remains cautious. The company plans to maintain product value alongside innovation development, expand online channels, and use scientific data to build consumer confidence.
NIVEA's data indicates that the body moisturizer market in Thailand is valued at approximately 10 billion baht, with NIVEA's business estimated at about 1.9 billion baht. The moisture segment accounts for around 30% of the total body care market, and during the winter season, this segment grows roughly 30% from its normal base. The company also estimates the actual market size may be larger than retail audit figures due to the growth of online channels and local stores.
NIVEA's research shows that Thai consumers' body care needs divide into 74% seeking even tone or brighter skin, and 26% focused on moisturizing. Meanwhile, 32% of consumers worry about dry skin issues, highlighting opportunities in moisturizing products. The company thus launched NIVEA Skin Refining Body Serum, a lightweight, fast-absorbing formula that provides 72 hours of moisture, catering to consumers wanting skin care without stickiness.
Based on these demands, the company sees growth potential in the moisturizing product segment by developing new items that address real usage issues in both performance and texture. New products undergo consumer efficacy testing before market launch to confirm results and build confidence.
Regarding competition, NIVEA acknowledges more players entering the market, especially Korean and local brands, offering consumers more choices. The company sets three core competition pillars: product quality and effectiveness, expertise and skincare science, and accessible value. They emphasize clinical results and texture development to meet user needs.
Facing purchasing power pressures, NIVEA chooses to maintain price levels and enhance value as tools to retain its customer base. Executives noted that during past crises, the company did not raise prices and used promotions to maximize consumer value. Production costs vary depending on product types and materials used.
Regarding distribution, body care product sales remain predominantly offline at about 80%, with online sales at 20%. Although online channels are rapidly growing, NIVEA executives believe actual online purchase proportions may be higher because some online and local store sales are not recorded in retail audits, leaving precise online market share data unclear.
The expansion of online channels has also changed consumer behavior, enabling them to compare prices, reviews, ingredients, and product effectiveness before making purchase decisions.
Consumer information consumption has shifted from brands being the primary communicators to consumers now having tools to search and verify information themselves via Google, social media, and ChatGPT. This requires brands to communicate transparently and support claims with data.
NIVEA therefore emphasizes the “Reason to Believe,” providing scientific data, test results, and product efficacy to support product claims, differentiating itself amid increased competition from Korean and local brands.
The two female executives jointly emphasized that NIVEA's 100-year legacy does not guarantee continued consumer choice, especially among younger generations with more options and information. NIVEA must maintain existing trust while creating new reasons for consumers to choose it through innovation, quality, pricing, and verifiable data.