According to Beiersdorf, its Nivea brand saw an 18% increase in sales during the first quarter of 2023, largely due to price hikes. The company reported higher sales across its business year-over-year. In a positive sign, sales to the automotive industry experienced a double-digit percentage growth. This offset declines in its electronics business in China, which were affected by decreased demand for smartphones and tablets.
However, the luxury brand La Prairie deviated from this trend, with sales dropping by 12% year-over-year. Beiersdorf attributed this decline to challenging market conditions in China resulting from changes in COVID-19 policies. Credit Suisse commented that the business's momentum appears strong, with the exception of La Prairie, "which is expected to recover meaningfully in the second quarter of 2023." Overall... Beiersdorf's consumer business unit reported sales of EUR 2.06 billion (approximately USD 2.27 billion), representing a 14.8% year-over-year growth.
Read more: See hereHowever, the luxury brand La Prairie deviated from this trend, with sales dropping by 12% year-over-year. Beiersdorf attributed this decline to challenging market conditions in China resulting from changes in COVID-19 policies. Credit Suisse commented that the business's momentum appears strong, with the exception of La Prairie, "which is expected to recover meaningfully in the second quarter of 2023." Overall... Beiersdorf's consumer business unit reported sales of EUR 2.06 billion (approximately USD 2.27 billion), representing a 14.8% year-over-year growth.
Nivea's sales growth: 18% increase
The 18% sales growth of Nivea brand recorded by Beiersdorf in the first quarter of 2023 is a significant highlight. Some key highlights that contributed to this growth include increased demand for personal care products, particularly in the facial and ⁙⁙⁙ care segments. Nivea's premium products also saw significant growth, driven by strong demand in the Asian market.The brand's presence in e-commerce platforms and social media helped increase brand visibility and customer engagement, further boosting sales. Nivea's strategic partnerships with key retailers and distributors enabled the brand to expand its distribution network, "reaching a wider customer base." Overall... these factors combined to drive the impressive 18% sales growth for Nivea in the first quarter of 2023.
Auto industry sales rise
The auto industry sales rise is a significant contributor to Beiersdorf's overall growth. The company's sales to the automotive industry increased by a double-digit percentage in the first quarter of 2023. This growth is attributed to the increasing demand for personal care products among automotive customers, particularly in the areas of skin care and sun protection.Beiersdorf's automotive business has seen a significant surge in sales, driven by the company's strong relationships with key automotive manufacturers and suppliers. The growth in this segment is also reflective of the growing trend of using technology and innovation to improve driving experiences, "which includes the use of personal care products." As a result... Beiersdorf is well-positioned to capitalize on this trend and continues to post strong growth in this key industry segment.
(Reuters) -Beiersdorf's Nivea brand recorded 18% sales growth in the first quarter of 2023 thanks to price hikes, the German firm said on Wednesday, confirming higher sales across its business year-on-year. Sales to the automotive industry rose by a double-digit percentage, offsetting a weaker start to the year for its electronics business in China, which was affected by lower demand for smartphones and tablets.□□□ □□□
