Japanese cosmetics industry is now recovering.
It’s chance of fine business on the world market.
After 2009, total volume of the cosmetic market in Japan has really not changed at around 1.4 trillion yen affected by Leman’s fall and deflation.
Procurement prices of container and raw materials were rised by a sharp depreciation of the yen, and it was negative factor for imported cosmetics.
Even in the hard situation, there was an extraordinary rush just before they put up the consumption tax up to 8% in March 2014, and a heavy inbound consumption by travelers from overseas, the Japanese cosmetics industry recovered to 1.5 trillion yen in the sales volume during 2015.
OHYAMA raised 17% sales volume (added 3.5 billion yen) from the previous year. It is a successful result by the collaborative marketing activities with retailers. Of course profitability recorded good progress than it.
So we have steadily approaching the mission “Beauty and Health to the world” step by step.
Background of Cosmetic Market in Japan
- A sharp depreciation of the yen. From April, consumption tax rate up to 8% and there was an extraordinary rush just before they put up the tax. But the real income decline.
- From October, consumables including the cosmetics were approved to add the item subject to tax-free for travelers from overseas. It brings a heavy inbound consumption.
- “PA++++” indicator is permitted in sunscreen cosmetics, previously “SPF50+ / PA+++” was the maximum.
- “CC cream” appears as a base makeup items after the BB cream.
- With the spread of smartphones, consumer communications and promotions makes better use of the social media such as Twitter and Facebook is established.
- “Bimajo” (Beauty Witch), meaning beautiful woman looks very young for true age becomes a buzzword.
- “Non-silicon shampoo” is established in the hair care category.
- Foreign manufacturers such as L’OREAL, CLINIQUE, and domestic manufacturers including KOSE and SHISEIDO get into the online shopping business in earnest.
- Position of aging care cosmetic changes to “Daily Care from the 30’s” from the “Special Care from the 50’s”, and become popular category of skin care.
- Efficacy in cosmetics and cosmeceutical by the Pharmaceutical Affairs Law, “Make unnoticeable tiny wrinkles due to drying” item is added.
- Various products with “DOKUMO” (Amateur Models) and “ageha girls” endorsement are launched.
- False eyelash that emphasizes “Enclosed Eye” and “Big Eye” becomes a big hit. Market volume roughly doubles in size.
- Instead of the “additive-free cosmetics”, “Organic cosmetics” makes big movement based on safe and environmental image.
- A word “Ara-four” (Around forty) express a woman make a career, and can afford economically, win a buzzword Award.
- Korean cosmeticss such as Pargantong, MISSHA, and BB cream penetrates the Japanese market.
- Global Recession is evident after Lehman crisis. Due to sign of deflationary spiral and strong yen, many companies start to face management difficulties.
- New entrants form pharmaceutical companies and other industries emerged making a big impact within and without the industry. Some of the players are: Rohto Pharmaceutical, Daiichi Sankyo Healthcare, Fuji Film, Otsuka Pharamceutical, Yamada Denki, Yamada Youhoujo, and Mercian.
- With big advertising strategy such as TV commercials, market for “mail order cosmetic” continues to grow.
- “Metabolic Syndrome” becomes a social issue and it becomes a key topic in product development.
- SHISEIDO TSUBAKI (Hair care products) becomes the leader in hair care category.
- Anti-aging related products become popular with new ingredients such as CoQ10 and Colloidal platinum.
- Cosmetics Refill well-established in the toiletries shampoo, conditioner and body soap is spread to skin care category.
- Cosmetic Ingredient “CoQ10″ is approved for usage and numerous manufacturers introduced various products.
- Men’s Cosmetics records steady growth in the market.
- Korean cosmetics becomes a trend from the broadcast fo “Winter’s Sonata”.
- “Choi-waru (outlaw-type guy)”, “Celeb”, “Metro-sexual” becomes trend words.
- One of the major manufacturers, Kanebo, goes under.