New Shiseido skin care brand targets both masstige and low-end consumers

By Simon Pitman

- Last updated on GMT

Japan-based global cosmetics player Shiseido will launch a new skin care brand that aims to encompass both the masstige Asian market and the low-end domestic market.

The new Senka skin care brand is a range of four moisturizing products that will be launched on the domestic market this September, followed by other Asian markets during the rest of 2010 and in to 2011.

Despite the fact that the brand will have dual positioning in Japan and the rest of Asia, the company says it should have universal consumer appeal due to the fact that it is an easy and simple to use skin care regime.

Designed with simplicity in mind, the company says that the fragrance-free and colour-free range provides high moisturizing effect in a lotion with a cream-like consistency.

Plans to build an extensive skin care line

After the initial product line offering, the company hopes that increasing brand awareness will eventually lead to the extension of the range with more highly functional skin care products.

The company describes the launch as the first phase of a strategic plan that will tailor the company's business in the region around the different stages of economic development and the impact these patterns are having on consumer spending patterns.

In fast growing markets such as China, a rapidly emerging middle class, and the increased spending pattern that this group now wields, means that there is significant demand for masstige skin care products.

Shiseido says the strategy will build on its previous entry into the Asian masstige market with brands such as Za, which was developed especially for the market, and the Majolica Majorca makeup brand, which originated in Japan.

The company says it is also working on the development of several other brands that will be launched to target this growing masstige market in Asia.

Japan sees growth in low-end skin care

Meanwhile, in Japan, years of economic stagnation has led to the emergence of a large group of consumers who are price-sensitive but still want functional, quality personal care products.

According to Intage SRI data, the market for low-end skin care products costing less than ¥1,000 (€8.77) increased by 3.3 per cent during 2009, while in the same period the market for high-end skin care products contracted by 2.2 per cent.

In recent years Shiseido has been targeting new markets worldwide in an effort to fend off falling consumer demand in the troubled domestic market.

In 2010 it bought up US-based mineral make-up provider Bare Escentuals, as well as announcing targeted expansion plans for markets in Mongolia, Azerbaijan and Balkan Peninsula.

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