Technology brings new opportunity for Japan\'s beauty newcomers
Japan\'s cosmetics market is in gradual decline as consumers seek lower prices and simpler skin care routines. Despite such challenges, new market entrants, with sophisticated technologies are now competing for a share of a shrinking pie.
Japan's cosmetics market is in gradual decline as consumers seek lower prices and simpler skin care routines. Despite such challenges, new market entrants, with sophisticated technologies are now competing for a share of a shrinking pie. Diversifying into cosmetics enables such companies to increase the return on existing research investments with relatively little additional risk.
For example, Fujifilm found that nanotechnology involving collagen - originally developed to prevent photographs fading - could also prevent skin ageing. Astalift, the cosmetic brand that resulted, has sales currently over ¥10bn.
Suntory, a major liquor maker, has used its research into yeast and fermentation to develop F.A.G.E., a cosmetic product with whitening and moisturising properties.
Most recently, confectionary maker Ezaki Glico has used its expertise with Glycogen, a key ingredient in many of its products, to formulate GG, a skincare range using highly purified glycogen as a moisturiser.
Also, last year, the Japanese subsidiary of Dole, the US fruit company, introduced Bananatura, a range using banana extracts as a moisturiser, said to support the elasticity of the skin.
More companies are expected to follow this route, both maximizing the value of their technologies and increasing the pressures on established cosmetic makers.
