Recently at an online roundtable on brands venturing into the Japanese market co-organized by The Passage and Japanese news app SmartNews, Guo Xiruo, the founder of MoldBreaking Inc., was invited to speak on how cosmetics brands could navigate the unfamiliar Japanese market.
Chinese-style makeup became viral in 2019, even driving the coined phrase "Chiborg" into a top buzzword. Many Chinese makeup brands including Florasis, FlowerKnows, and Zeesea crossed the border, and kept their eyes on Japan's market potential. The COVID-19 pandemic in 2020 brought new changes to Japan's beauty industry, drastically pushing the adoption and evolution of E-commerce. Guo Xiruo addressed four major opportunities that Chinese beauty brands face in Japan:
1. Strong Demand: As Chinese-style makeup continues to trend, demand for Chinese cosmetics increases among consumers;
2. Large Market Volume： The cosmetics market in Japan sees slow growth, yet the volume remains large, with plenty of opportunities for niche brands;
3. Highly Loyal Consumers： Japanese consumers tend to be loyal to their favorite brands;
4. New E-commerce: The pandemic has reshaped how brands communicate and engage with consumers, while transformation of e-commerce in Japan sustains. From offline to online, to omni-channel, keeping up with market trends and adjusting strategies accordingly are vital to success.
Guo Xiruo also unveiled news about MoldBreaking's first offline beauty boutique. The store will feature several Chinese beauty brands, and is set to open in Shinjuku Marui in Tokyo in late September.