Eye Wear Japan 2009 by Japan Retail News

Japanese & Eyewear Japan has been going through an eyewear craze for the past few years and glasses have become important accessories amongst both “fashionistas” and the regular consumer. International as well as established Japanese manufacturers and retailers remain important, but thanks to the significant ongoing demand for wellstyled, reasonably-priced specs, the market is still growing. A number of trendy brands which offer designer models for ¥30,000¥50,000 or more have been the main market for years. However, in times of global recession, even the traditionally “high-priced retail market” Japan is expanding particularly in the low segment, as Japanese consumers tend to be more cost-conscious these days. In 2008, goo Research in Tokyo conducted an online survey amongst 1,094 Japanese consumers asking them what things they place emphasis on when choosing eyeglasses  Copyright © G&S INT LTD 2009

Top 10 Japanese consider in choosing eyeglasses

What’s the latest in ... Glasses superstore Megane has introduced a service  "Mobile

Fitting"

- It allows phone users to try out new glasses frames - simply take a photo of your face with your camera phone, and then combine the mug shot with pictures of glasses downloaded from Megane - the Web page includes a QR code, as you can see at the bottom of that clipped image as a “mobile code.” - unlike in the US or the EU, QR codes (barcode-like images) are posted on Web pages, posters and the like for camera phone users to snap a photo to obtain a URL, information about a product or service, etc

What’s the latest in ... TV you can take anywhere, fitting your glasses  “Wearable

TV"

- images on the two LCD panels are enlarged using a prism in the lenses, meaning the wearer will feel watching the images on a 45-inch screen - the head-mounted display has already a number of industrial uses, and is now beginning to move into the mainstream market in Japan - some models have a lens for just one eye and can receive also TV broadcasts (currently Japanese TV only)

What’s the latest in ... New type of glasses that can bend, fit your face  “Bending

Glasses"

- surely not a mass-market best seller soon, but a futuristic outlook of eyewear of the next century – designed in Tokyo

Why is Tokyo/Japan an interesting market for

foreign brands? Japan is … - world’s 2nd biggest retail market

- the main spot for fashion in Asia - trendsetting in high-tech/life-style

Examples of successful retail entries to Japan IKEA Japan, established 2002 Business: home furnishings, retail  6 stores in Tokyo until 2010 (first two to opened in 2006), plus 4 to six stores in the Osaka area  Tommy Kullberg, president of Ikea Japan: “If Ikea can win the confidence of Japanese consumers, we can sell our products anywhere in the world.”

H&M Japan, established 2008 Business: apparel, retail H&M released its annual report at the end of January 2009 and revealed that its Japanese subsidiary managed to rake in no less than ¥2.1 billion (16.8 million EUR) in just two months. The sales include the openings of the first two stores but only until the end of the company’s financial year which is November 30. Since the first two stores only opened 13 September and 8 November, this means 16 million EUR in sales from two stores over 102 trading days in total. H&M said in the report that “The reception of the two new H&M stores in Tokyo was fantastic and sales surpassed the company’s high expectations.”

Few key points in regards to Japanese customers • Extreme focus on quality and customer service (you will find the biggest claim rate worldwide in Japan) • Need to show long term committement to Japan • Excellent distribution and service network a must • Some adaption to the Japanese market often required • Extreme need and request for technical information and documentation • Close and frequent communication to partner and customers necessary to maintain well-working long-term relations • Focus hard on hiring top people (a pool of very talented Japanese are available if you screen carefully). Use recruiting agencies and headhunters rather than printed or internet ads • OK to take a premium price still, although the market is becoming more competitive

Contacts G&S International Japan Amenity D Building, 6-4-13 Soshigaya Tokyo Setagaya-ku, 157-0072 Japan phone +81-80-5519-1260 email contact@gs-int-ltd.com web www.gs-int-ltd.com

The Europe Japan Business Center Amenity D Building, 6-4-13 Soshigaya Tokyo Setagaya-ku, 157-0072 Japan phone +81-50-5532-1298 email info@ej-bc.com web www.ej-bc.com

Business Development & Consulting in Japan