Value sales of beauty and personal care (BPC) decline in 2011
Beauty and personal care products, especially premium brands, saw a decline in sales. With slow economic recovery, consumers suspended purchases of premium brands in 2011. The great east Japan earthquake in March further exacerbated the market environment by inflicting confusion and anxiety among consumers. Although consumer sentiment returned to pre-earthquake state towards the end of review period, it did not have enough impact to push overall annual sales back to positive growth.
Manufacturers actively engage in CSR marketing
After the Tohoku earthquake, manufacturers conducted CSR marketing to demonstrate their high commitment to society and customers. By supporting disaster stricken area, manufacturers effectively enhanced their corporate image and encouraged purchases of products by consumers. Even if the prices are a little more expensive, consumers proactively purchased products for a good cause with part of the profits being donated. In addition to financial donations, manufacturers sent their employees for volunteering services in Tohoku and delivered products for free. Such CSR activities were highly appreciated by the people in Tohoku as well as all the consumers in Japan for a good cause.
Get your copy of this report @ http://www.reportsnreports.com/reports/184869-beauty-and-personal-care-in-japan.html
Report Details:
Published: August 2012
Price: US$ 2400
Non-BPC manufacturers enter skin care
Skin care has the largest sales of all the categories in Japan’s beauty and personal care (BPC) market. Given such lucrative size of the market, non-BPC manufacturers are entering skin care. Although Shiseido Co Ltd maintained its leading position in the market, BPC is becoming more and more competitive with new entrants from other industries. In addition to the increased number of players in the industry, economy products are gaining popularity with the sluggish economic environment. With downward pressure on unit price, competition between manufacturers is fierce.
Department stores struggle to maintain sales
Sales of departments store have been continuously declining over the years. Department stores as a channel has been losing its appeal among consumers. Relatively shorter operational hours caused inconvenience for working individuals, limiting shopping opportunities at department stores. On the other hand, internet retailing seems promising with its flexible operational hours. Manufacturers are launching their online shopping site to improve their sales. In addition to sales of products, many sites offer additional services such as online consultations, to enhance convenience. In order to adjust to consumer lifestyle changes, manufacturers have started to offer premium brands through various channels, including the internet and beauty specialist retailers.
Sales of men’s skin care show positive growth potential
With the relatively low penetration rate of skin care among male consumers, the market has high potential with a large untapped consumer segment. Although the sales increase was not drastic in 2011, awareness of male consumers is changing. Previously, men’s face wash focused on removal of sebum and sweat, but manufacturers are launching new products with positioning of ‘enriched moisture’ or ‘gentle formula’ similar to women’s skin care products. With gradual acceptance of men’s skin care and improved awareness among men, the category is expected to grow continuously over the forecast period. Although male consumers were not willing to use multiple skin care products during the review period, all-in-one types are popular for ease of use and convenience.
Beauty and personal care products, especially premium brands, saw a decline in sales. With slow economic recovery, consumers suspended purchases of premium brands in 2011. The great east Japan earthquake in March further exacerbated the market environment by inflicting confusion and anxiety among consumers. Although consumer sentiment returned to pre-earthquake state towards the end of review period, it did not have enough impact to push overall annual sales back to positive growth.
Manufacturers actively engage in CSR marketing
After the Tohoku earthquake, manufacturers conducted CSR marketing to demonstrate their high commitment to society and customers. By supporting disaster stricken area, manufacturers effectively enhanced their corporate image and encouraged purchases of products by consumers. Even if the prices are a little more expensive, consumers proactively purchased products for a good cause with part of the profits being donated. In addition to financial donations, manufacturers sent their employees for volunteering services in Tohoku and delivered products for free. Such CSR activities were highly appreciated by the people in Tohoku as well as all the consumers in Japan for a good cause.
Get your copy of this report @ http://www.reportsnreports.com/reports/184869-beauty-and-personal-care-in-japan.html
Report Details:
Published: August 2012
Price: US$ 2400
Non-BPC manufacturers enter skin care
Skin care has the largest sales of all the categories in Japan’s beauty and personal care (BPC) market. Given such lucrative size of the market, non-BPC manufacturers are entering skin care. Although Shiseido Co Ltd maintained its leading position in the market, BPC is becoming more and more competitive with new entrants from other industries. In addition to the increased number of players in the industry, economy products are gaining popularity with the sluggish economic environment. With downward pressure on unit price, competition between manufacturers is fierce.
Department stores struggle to maintain sales
Sales of departments store have been continuously declining over the years. Department stores as a channel has been losing its appeal among consumers. Relatively shorter operational hours caused inconvenience for working individuals, limiting shopping opportunities at department stores. On the other hand, internet retailing seems promising with its flexible operational hours. Manufacturers are launching their online shopping site to improve their sales. In addition to sales of products, many sites offer additional services such as online consultations, to enhance convenience. In order to adjust to consumer lifestyle changes, manufacturers have started to offer premium brands through various channels, including the internet and beauty specialist retailers.
Sales of men’s skin care show positive growth potential
With the relatively low penetration rate of skin care among male consumers, the market has high potential with a large untapped consumer segment. Although the sales increase was not drastic in 2011, awareness of male consumers is changing. Previously, men’s face wash focused on removal of sebum and sweat, but manufacturers are launching new products with positioning of ‘enriched moisture’ or ‘gentle formula’ similar to women’s skin care products. With gradual acceptance of men’s skin care and improved awareness among men, the category is expected to grow continuously over the forecast period. Although male consumers were not willing to use multiple skin care products during the review period, all-in-one types are popular for ease of use and convenience.
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