My lips are also very dry ...
I do not use it in itself, for that in specific, although it is humectant. I would recommend Vaseline Lip Therapy better, it helps your lips heal little by little and stay moist.
I wouldn't use this specific one, or any of the "Fruity Shine" line as the shine in it can accentuate dry lips. However NIVEA has a wide range of lip balms that are good for dry lips! Try the "Milk & Honey" one instead.
I used this balm before and I really liked it. Makes lips really soft. The smell is good, but I was not a big fan of the taste. I personally like tasteless balms and this one was a bit sweet, but that's just my preference. As far as lips are concerned...it does make lips really smooth.
I'm a big fan of the Nivea lip products. I probably wouldn't go with such a heavy scent, but that's a matter of opinion. I've found that 100% lanolin lip products are the best though! I would completely recommend Dr. lipp beauty balm!