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Published on March 1, 2008

The company had been a distribution agent for 40 years before it became the authorised importer of Kanebo cosmetic and skincare products from Japan in 2005.

The company has been trying to build awareness for all 11 Japanese brands that it handles, but due to its limited budget T'esimo cometics and Sensai skincare have failed to perform.

These two brands will be dropped this year. Their replacements - Coffret D'or cosmetics and Impress skincare - have already been launched.

T'esimo and Sensai had gained loyal customers but their number was difficult to boost, president Tomio Onishi said yesterday.

The two new brands are expected to gain a wider customer base for the company. The brand loyalty of T'esimo and Sensai customers will be gradually shifted to Coffret D'or and Impress.

Kanebo's marketing strategy includes building awareness through advertising in magazines and newspapers as well as sending direct mail to targeted customers inviting them to try its products at its sales counters.

The four focus brands are Blanchir whitening, Impress skincare, Lunasol cosmetics and Coffret D'or cosmetics. They contribute up to 80 per cent of the company's sales, but the company will not abandon the other seven brands. The new branding strategy will give Kanebo a clearer image as a prestige beauty company because all brands are targeting high-end customers.

Kanebo has 20,000 registered members now and expects 30,000 by the year-end. It operates 75 sales counters but opening more will depend on the expansion plan for shopping malls.

Kanebo saw its sales increase 6 per cent to Bt250 million last year and expects 15-per-cent higher sales this year. The overall Bt10-billion counter-brand cosmetics market will experience better growth of 5 per cent this year, Onishi added.

Nitida Asawanipont

The Nation