Increasing Market Share through a Handkerchief Brand Strategy

「Handkerchief sales were ¥3,272 million, or 80.6% of the year-earlier level. Compared with the previous year, the negative impact of the expiration of contracts for brands well suited to inbound demand was substantial, and the company was unable to fully cover the resulting shortfall.」

「As a result, total handkerchief-item sales rose to 104.0% of the year-earlier level.」

「As a result, total handkerchief-item sales rose significantly to 120.3% of the year-earlier level, and product price reviews also proved effective, resulting in an improved gross profit margin.」

「As a result of the significant impact of lower sales of sale items due to the shortened clearance period, weak sales due to price increases at mass retailers, and the disappearance of handkerchief sales areas following the withdrawal of major mass retailers from the apparel business, total handkerchief-item sales were 96.4% of the year-earlier level.」

「For handkerchiefs, in addition to establishing new revenue through the active development of new business partners and events outside standard department-store sales floors, some branded products posted significant sales growth on inbound demand, and product price reviews effectively increased unit sales prices. Chenille handkerchiefs launched as a premium-product initiative, premium-priced branded eco-bags introduced as products handled in the handkerchief sales area, and character products launched as a new strategy were also supported by the market, resulting in sales of 106.2% of the year-earlier level.」

「For handkerchiefs, in addition to establishing new revenue through the active development of new business partners and events outside standard department-store sales floors, sales of some branded products grew significantly on inbound demand, and price reviews for some products effectively increased unit sales prices. Character products launched as a new strategy were also well received by the market, resulting in sales of 109.7% of the year-earlier level.」

「Handkerchief sales reached 110.3% of the prior-year level as the company continued actively developing new customers and holding events outside conventional department store sales floors, while products supporting higher average selling prices, including towel handkerchiefs made from premium materials under the chenille initiative and Ralph Lauren branded eco-bags, continued to perform well. Character-themed products introduced as a new strategy were well received by the market, and the company captured demand from visitors to Japan, particularly through large-format printed handkerchiefs.」

「Handkerchief sales reached 108.9% of the prior-year level as the company continued to generate new sales by developing new customers, continued to perform well with chenille and eco-bag initiatives aimed at raising average selling prices, and captured demand from visitors to Japan.」

「Sales reached 111.5% of the year-earlier level, supported by new business partners, hit products originating on social media and generating substantial sales at department-store counters and through the company’s e-commerce site, inbound demand, higher sales of some branded products, the success of chenille products pursued as a unit-price improvement measure, and strong performance by message handkerchiefs and other products adopted at many stores as part of the company’s 100th-anniversary initiatives.」

「Sales reached 110.4% of the prior-year level, driven by new sales generated through continued development of new customers, hit items such as Ralph Lauren eco-bags that generated substantial sales at department store outlets and the company's own e-commerce site after originating on social media, and significant sales growth for certain branded products on demand from visitors to Japan.」

「Although gift demand had not fully recovered, sales reached 109.5% of the year-earlier level as the company established new revenue through the development of new business partners, clearance-sale sales, mainly at department stores, performed steadily, sales of original sustainable products and the simultaneous launch of new autumn/winter designs proved effective, and new branded eco-bags, considered premium-priced products in the handkerchief sales area, generated substantial sales.」

「Handkerchief sales were 107.2% of the previous year, helped in part by the development of new customers and the resulting creation of new sales, although gift demand had not fully recovered.」

「In addition to the decline in demand for gifts affecting handkerchief demand, the significant decline in sales of masks, which are classified in the company's handkerchief category and had performed strongly in the previous fiscal year, had a major impact, resulting in a difficult year-on-year figure of 93.2%.」

「The company actively pursued the development and sale of original products and the sale of new content, but sales were 88.7% of the prior-year level, a difficult result affected by declining demand for handkerchiefs due to reduced gift needs and increased working from home, as well as a significant decline in mask sales. Masks are classified by the company within the handkerchief category and had performed well in the previous fiscal year.」

「Handkerchief sales were significantly affected by shortened operating hours at the company’s directly operated stores and major department stores due to priority preventive measures and the third state of emergency declared from 25 April, as well as store closures on Saturdays and Sundays in the Kansai region. In addition, demand for masks, which are classified as part of the company’s handkerchief category, failed to generate sales at the previous year’s level, resulting in a difficult 94.3% of the year-earlier level.」

「However, physical-store sales slowed again from early autumn through year-end due to the renewed spread of COVID-19, while sales also struggled in March, normally the peak season when substantial sales can be generated, because of weak gift demand. As a result, the full-year outcome was a difficult 80.4% of the year-earlier level.」

「After the first state of emergency was lifted, consumer spending began to recover and sales temporarily improved, but sales at physical stores slowed again toward year-end due to the impact of a renewed spread of infections, resulting in a difficult 78.1% of the year-earlier level.」

「However, amid calls to refrain from going out, the cancellation or downsizing of events at department stores, the company's main sales channels, and the disappearance of inbound demand due to restrictions on entry from overseas had a significant impact. In addition, the number of store visitors fell sharply from the previous year, when there had been rush demand ahead of a consumption tax increase, resulting in sales at 74.2% of the previous year's level.」

「Although the company benefited from tailwinds including sales contributions from expanded mask sales, with masks classified as part of its handkerchief category, in response to changing consumer lifestyles; increased demand for handkerchiefs as part of daily habits such as handwashing; and significant online sales growth, summer-season products and the Mother’s Day sales campaign failed to generate sales at all because department stores, the company’s main sales channel, voluntarily suspended operations as a measure to prevent the spread of infection. As a result, sales were 67.8% of the year-earlier level.」

「The company sought to build sales by entering new sales channels, including through new brand launches and proposals to sell eco-bags in grocery sections, but sales were 93.5% of the prior-year level because of significant negative effects from external factors.」

「The company sought to expand handkerchief sales through continued new brand launches and active event development, but sales for the period were 95.3% of the prior-year level, significantly affected by the decline following rush demand ahead of the September tax increase.」

「The company sought to expand handkerchief sales through active event development and stronger products for extremely hot weather. However, consumer purchasing appetite did not recover in July because of the cool summer and unsettled weather. Sales floors were revitalized through new brand launches from late August, and the market showed momentum in late September due to rush demand ahead of the tax increase, but sales for the period were 97.0% of the prior-year level.」

「The company sought to expand handkerchief sales through active event development and stronger summer product offerings, but consumer purchasing appetite declined during the extended holiday period, the subsequent Mother's Day campaign also lacked momentum, and weather factors such as the cool, rainy season in June prevented the launch of summer products such as long handkerchiefs from producing results. Sales were 94.1% of the prior-year level.」

「The company sought to expand handkerchief sales through new brand launches and active event development, but sales were 97.2% of the prior-year level, significantly affected by weak performance at major fourth-quarter events during the peak season, including White Day and return gifts.」

「Handkerchief market share improved as the company introduced new brands and actively held events at department store outlets, but sales were 98.5% of the prior-year level, affected by weak performance from existing brands.」

「Handkerchief market share improved as the company accelerated the launch of new brands and proposals for proactive event development, but sales were 98.1% of the prior-year level amid weakness across the overall market.」

「Handkerchief sales reached 101.8% of the prior-year level as the launch of new brands and a proactive increase in events helped raise market share.」

「Handkerchiefs faced similarly challenging conditions amid a sluggish overall apparel market. At department stores and other major business partners, the company sought to increase its market share by introducing products with new functions and benefits, launching new brands and proposing events. However, in addition to the expiration of the license agreement for a core brand and changes in inbound consumption trends, the closure of department stores in regional and suburban areas also contributed to sales reaching 94.5% of the previous year's level.」

「The company sought to improve market share through new products with added functions and benefits, new brands, and event proposals, but, as in the first half, was unable to offset the impact of the end of license agreements for core brands and changes in inbound consumption trends, resulting in sales of 93.6% of the year-earlier level.」

「At department stores and other major sales outlets, the company sought to increase market share through the introduction of new functional and performance-oriented products, but was unable to offset the effects of the end of the license agreement for a core brand and changes in inbound consumption trends, resulting in sales of 92.9% of the prior-year level.」

「At department stores and other major sales outlets, the company sought to increase market share through the introduction of new functional and performance-oriented products, but sales were 91.7% of the prior-year level due to the end of the license agreement for a core brand and changes in inbound consumption trends.」

「Sales reached 102.2% of the prior-year level as the company continued to maintain its expanded market share at department stores, its main customers.」

「At department stores, the company’s main customers, sales remained at 102.6% year on year as it was able to further expand its market share.」

「Sales performed well at 105.9% year on year, as the company was able to further expand its share of department-store sales floors from the second quarter of the previous fiscal year onward.」

「We will seek to increase market share through our handkerchief brand strategy and work to further expand sales.」