Expanding Overseas Sales, Primarily in China and Asia

「Launch of core products in the United States」

「In overseas sales, promotional initiatives based on the test marketing conducted to date proved effective, and sales progressed steadily. In the United States, expansion of cosmetics was delayed compared with the plan, but we are preparing to expand into the healthcare sector, a growth market. In Asia, we began promotional initiatives centered on Taiwan, continued preparations for sales through e-commerce marketplaces and test marketing in the ASEAN region. In Vietnam, initiatives toward cosmetics sales are also progressing steadily.」

「In the United States, we completed feasibility studies and area-specific test marketing. We are advancing initiatives to move to test marketing for new product claims and expand the range of SKUs handled, and will expand the regions where established marketing methods are deployed. In Asia, we completed feasibility studies to build strong partnerships with local partners and enable rapid expansion, and began cross-border e-commerce in Malaysia.」

「In overseas sales, we expanded the test-sales areas in the United States and accumulated learning by area. Using the knowledge accumulated, we are continuing comprehensive test marketing from multiple perspectives, including product, area characteristics, target customer segments and advertising methods, while continuing to assess the optimal timing for expanding investment. We also began considering expansion into other countries using knowledge gained in the United States. In Asia, we continued test sales through e-commerce in Taiwan and advanced the development of a strategy centered on cross-border e-commerce in several other countries.」

「In the United States, where we established a subsidiary last fiscal year, we began test sales of PERFECT ONE and PERFECT ONE FOCUS through both offline direct sales and e-commerce. We also conducted PR initiatives, including magazine placements and collaborations with influencers, to raise awareness in the United States. In East Asia and ASEAN, sales finished negative because of the impact of the business strategy review, but we are rebuilding the strategy for new developments.」

「Overseas sales in East Asia and ASEAN declined substantially following a review of the business strategy focused on investment efficiency. In the US market, where we established a subsidiary last fiscal year, we steadily prepared for the full-scale launch of PERFECT ONE and PERFECT ONE FOCUS and began offering some products through selected channels.」

「As part of a global strategy including the United States, where investment began in the second quarter, revenue declined in existing East Asian and ASEAN markets following a review of the business strategy focused on investment efficiency.」

「In overseas sales, while initiatives aimed at renewed growth in China were delayed compared with the plan, revenue finished at approximately the previous year's level owing to strong performance in Taiwan. In September, PERFECT ONE Silky Whip, an all-in-one foaming facial cleanser, won the top award in the cleansing foam category at the Beauty Awards of Taiwan's popular program "女人我最大." In July, we also established a US subsidiary in preparation for full-scale operations in the United States.」

「In overseas sales, we had planned to launch full-scale operations in China from the third quarter, but the launch has been delayed. Going forward, we will shift from our Asia and ASEAN strategy centered on China and Taiwan to a global strategy, prompted by our entry into the United States, and seek to expand our overseas business while assessing growth opportunities and country risks. As part of these efforts, we decided to establish a new company whose primary purpose is to conduct sales activities in the United States, as we begin full-scale operations in the world's largest cosmetics market.」

「Although overseas sales fell below the previous year's level, sales in China have progressed as planned since we began selling through the Tmall Global flagship store opened in January. In Taiwan, sales have grown steadily following the expansion of new products at the major drugstore chain COSMED.」

「Despite activity restrictions related to COVID-19, we advanced initiatives to ensure a swift launch from the second quarter onward. In China, we prepared to open a flagship store on Tmall Global, a major cross-border e-commerce marketplace, and to launch SNS marketing as part of our new strategy. In Taiwan, we actively pursued new sales channels, including the launch of sales through the major drugstore chain Watsons.」

「Overseas sales activities have been delayed, particularly because of the impact of lockdowns related to COVID-19 in China, our main overseas market.」

「In overseas sales, while pursuing business activities based on assessments of economic conditions in each region, we began selling PERFECT ONE FOCUS through cross-border e-commerce in China, expanding the range of products handled.」

「For overseas sales, while conducting business activities after assessing the state of economic activity in each region, the company saw sales at China's Double Eleven e-commerce shopping event exceed the previous year's level, and recognition in the Chinese market has been expanding steadily.」

「For overseas sales, the company conducted business activities while assessing the state of economic activity in each region. In its key market of China, marketing using social media and KOLs increased recognition, and sales at the two major shopping events, Double Eleven and 618, exceeded the previous year's levels.」

「For overseas sales, while conducting business activities after assessing the state of economic activity in each region, the company saw overseas sales increase, helped by strong sales at China's 618 e-commerce shopping event, one of the two largest shopping events alongside Double Eleven, which reached 1.8 times the previous year's level.」

「For overseas sales, the company is working to expand sales while assessing the impact of COVID-19 and the state of economic activity in each market. In its key market of China, sales have steadily expanded through live commerce using social media and popular KOLs. In ASEAN, the company began rolling out on the major e-commerce platforms Lazada, Shopee and Konvy in Thailand, working to increase recognition and sales among younger consumers in the local market.」

「For overseas sales, the company continues efforts to increase recognition and expand sales through promotions using social media and popular influencers. In China, sales at Double Eleven, the shopping event held on 11 November each year, exceeded the previous year's level, and brand recognition has steadily expanded, particularly among consumers in their 20s and 30s. In addition, the company began test marketing in the U.S. for sales of the PERFECT ONE brand from the cumulative first quarter, steadily advancing initiatives aimed at developing it into a globally recognized brand.」

「The company began its rollout in Taiwan in December 2016 and now sells its products in China, Hong Kong, Thailand, Singapore and Vietnam. Going forward, it will accelerate the expansion of its overseas business by increasing penetration of the PERFECT ONE brand in East Asia, centered on the growth market of China, and ASEAN, proposing new lifestyles and expanding into the U.S. market.」

「For overseas sales, sales had been strong, mainly in China, during the cumulative first quarter. Although sales activities were partly affected in the cumulative second quarter by the suspension of domestic logistics in China and delays in exports to China resulting from the spread of COVID-19, sales exceeded the year-earlier level due to growth in overseas e-commerce sales.」

「For overseas sales, although the company was affected by the temporary suspension of product shipments to China due to COVID-19, sales in the cumulative first quarter had been strong, mainly in China, and cumulative second-quarter sales exceeded the year-earlier level.」

「For overseas sales, the company continues efforts to increase recognition through promotions using social media. As a result, sales in China at Double Eleven, a shopping event held annually on 11 November, approximately doubled year on year, and brand recognition in the Chinese market has steadily increased. In addition, the company began selling its PERFECT ONE brand at 5 Tokyu Hands stores in Singapore as a new sales channel to further increase recognition in overseas markets. As a result of these initiatives, sales have continued to expand steadily.」

「For overseas sales, the company continues efforts to increase recognition through promotional initiatives including exhibiting at trade events in China, opening a limited-time shop at Shin Kong Mitsukoshi in Taiwan and conducting live commerce using social media, and sales have been progressing steadily.」

「For overseas sales, the company continues to pursue promotional initiatives such as exhibiting at trade events in China and live commerce using social media, and sales have been progressing steadily.」