【Epoch Times, September 30, 2024】It is well known that China exports cheap goods to many countries overseas, ranging from small handkerchiefs to electric cars, attracting the attention of governments in multiple countries. While consumers often lean towards buying cheaper goods, the Japanese convenience store chain “Family Mart” has proven through practice that as long as new products provide value and are reasonably priced, they can defeat cheap goods from China.
According to a report by Nikkei Asia on September 28, Family Mart launched a convenient clothing series in March 2021, achieving tremendous success with sales increasing by 30% this year. The strong demand for the “towel handkerchief”, a 25cm x 25cm square cotton handkerchief, has boosted sales.
The handkerchief is produced in Imabari City, Ehime Prefecture, Japan, a city known for its soft water which is ideal for dyeing. Despite this advantage, local towel manufacturers have often struggled to compete with the influx of low-priced Chinese products.
Meanwhile, in convenience store chains, operators typically focus on food and overlook items like handkerchiefs and other non-essential products with lower turnover rates. Family Mart used to be content with selling cheap imported handkerchiefs from China.
Later, based on the growing demand for more fashionable products, Family Mart decided to introduce the Imabari brand to its stores, displaying Imabari towel handkerchiefs alongside cheap Chinese products. Many customers greatly preferred the Imabari towel handkerchiefs and were willing to spend a little more to purchase them.
Behind the successful sale of Imabari towel handkerchiefs at Family Mart are two key factors – pricing and consumer trends. These handkerchiefs are priced at 600 yen (4 dollars) each, which is 100 yen more expensive than the cheap Chinese alternatives. This pricing strategy aims to make customers feel that choosing Imabari products is worthwhile.
Since the outbreak of COVID-19, people have started washing their hands frequently, leading to an overall increase in demand for handkerchiefs in Japan. In Japan, many offices and public restrooms do not provide paper towels. Additionally, during Japan’s hot and humid summers, many consumers carry small towels to wipe their faces or sweat. These habits make consumers more willing to invest in handkerchiefs made of soft, high-quality materials.
Family Mart capitalized on this consumer trend by collaborating with Japanese fashion designer Hiromichi Ochiai to launch the “Convenience Wear” clothing series, including dozens of items such as long and short-sleeve T-shirts, socks, towels, handkerchiefs, and shorts. While clothing contributes minimally to the company’s overall sales, handkerchiefs and socks have become iconic products. Over the past three and a half years, they have sold 7 million handkerchiefs and 20 million pairs of socks.