Japanese Market News

In Japan, it is said that 8 to 10 thousand new toys are introduced every year. If ten are released in one day, most disappear without notice. Toy manufacturers on average develop a new toy every month even though the time and money spent on product development does not always guarantee success. The decrease in number of children in Japan is one of the major reasons for the struggles.

By broadening their target market, Tomy, one of Japan’s leading toy manufacturers was able to step to the challenge and produced a toy that has so far survived the market for three years. The Nohohon-Zoku digital solar clock toy dolls have captured the hearts of both young and old consumers with their cute and calming expressions and movements. The full year spent on just developing the perfect calming face for this toy is only part of the reason for the product’s success. The time and effort spent on marketing, mainly constantly changing store display shelves to keep customers interested, and getting restaurants and doctor offices to display the clock near the cash register or at the front desk is what really helped boost sales.

Posted by Alisa at 09:25 AM | Permalink

The LOHAS (Lifestyles of Health and Sustainability) market is rapidly growing in Japan and is now larger than in the United States, which is where the movement started. Currently, around 29.3 percent of Japanese adults are living based on LOHAS values. According to a survey by E-Square Incorporated, 21 percent of these people have a family income of approximately 9 million yen, and Nikkei Research Institute of Industry and Markets suggests that if the product meets the high expectations of these consumers, they are usually willing to pay three times more than the average price. The consumers of this market are very educated and make conscientious purchases and investing decisions based on environmental and social responsibility. Products and services in this market include alternative transportation (e.g. bicycles and hybrid cars), energy-efficient electronics and appliances, renewable energy, green building and industrial goods, eco-friendly household products, natural and organic foods and beverages (e.g. macrobiotics), natural personal care products, alternative healthcare (e.g. aromatherapy), vitamins, minerals, dietary supplements, eco-tourism and travel, and socially responsible investing. Although there are critics that suggest that the term LOHAS itself may end as just hype, these new trends in consumer buying patterns are nevertheless expected to expand.

Posted by Alisa at 09:13 AM | Permalink

Businesses whose main target has traditionally been children are currently looking elsewhere for consumers due to the decline in the number of children. Tomy for example, which has long been a company focused largely on selling children's toys, recently began to shift its focus towards adults, selling reproductions of toy cars from thirty years ago and introducing a new clothing line. The frozen foods market is also strengthening its focus on business persons who currently make up 30 to 40 percent of their consumers. What was once a market that relied on producing side dishes for children's lunches, companies are putting emphasis on the quality of the ingredients, taste, and healthiness to capture a wider percentage of adult consumers. Also, a unique example is a beach that shifted its target from families with children to dog loving individuals. A dog friendly beach that opened just this summer has been receiving an overwhelmingly positive response.

Posted by Alisa at 09:21 AM | Permalink