The MacroTrends BehindTop Early 2008 Products

On June 18, Nikkei Marketing Journal (MJ) offered a refereed list of the top 36 products from the first half of 2008 within a mock sumo wrestling ranking chart. (Click here for an explanation of the makuuchi sumo rankings.) The winners were:

EAST

Yokozuna Private brand foods: Ion’s Top Value, Seven Eleven Premium

WEST

Yokozuna Zero calorie, zero sugar beers (Zero Nama, Style Free, Kirin Zero, Sapporo Viva! Life)

Ohseki – ¥50,000 laptops Ohseki – Mobile phones with Aquos-, Wooo-branded screens
Sekiwake – Carbon offsetting SekiwakeGinren Chinese bank debit cards that work in Japan
Komusubi – Bulb-shaped fluorescent lights Komusubi – Konaka’s shower-clean suit
MaegashiraMitsui Outlet Park Maegashira – New train lines: the Fukutoshin (Tokyo) and Green Line (Yokohama)
– Wacoal’s Crosswalker men’s girdle – Uniqlo’s Bra-top
– Nissin’s milk seafood noodles – Lotteria’s “Unrivaled Cheeseburger
– Nintendo’s Wii Fit
Monster Hunter Portable 2nd G (PSP game)
Kuru Toga pen – Takara Tomy’s Pen’z Gear pens made for “spinning”
– Electric cars – Marathon goods
– Kao’s Megurism hot eye mask – Lion’s Kaori-tsuzuku laundry detergent
Clear Force air filter/humidifier hybrid – Digital photo frame
Clorets Ice Moffle (mochi + waffle) maker
“The Elephant Who Makes Dreams Comes True” Kani Kousen proletarian fiction that sold over 300,000 copies
Keshipon stamp that covers up personal information – Bandai’s Bubbly Bubble Bath soap shaped as ¥10,000 bills (a pun on “Bubbly” in Japanese meaning “of the Bubble era”)
Jero (American enka singer) Aoyama Thelma (R&B singer, one-quarter Trinidadian)
Atsuhime (TV show about the Bakumatsu era) Idiot characters (Shuuchishin) and one-man/woman stand-up comics (Edo Harumi)
– First-class on domestic flights – Airbus 380 jumbo jet

Technical Skill Award: Apple’s MacBook Air
Talk of the Town Award: Speedo’s Lzr Racer swimsuit
Consolation Prizes: Gasoline, frozen gyoza

Underlying MacroTrends in this Ranking List

The main macrotrends for these products almost perfectly match those of Marketing Journal‘s last list, suggesting big structural movements in consumer behavior rather than mere fads.

The categories this time:

1)  Middle-Age Consumers Rule

Remember when youth consumers in Japan set all the trends and led consumer culture in general? These days, it’s all about rich retirees and middle-aged men, and these groups’ number one concern is losing belly fat. So, welcome to the world of “zero sugar” beer (to be eaten with fried fatty foods, apparently). Older Japanese are also continuing their exploration into video games with Wii Fit. Those that don’t hit the Wii Fit board enough or run marathons can just wear a Crosswalker men’s girdle and look much slimmer.

In terms of pop culture at large, Jero — the world’s first professional African-American enka singer — is a more about giving new faces to old musical styles rather than youthful innovation. His fans seem to be mostly middle-aged women.

2)  Eco Eco Eco

Ecologically-conscious products are still hitting the market in large numbers, and consumers seem to be reacting positively. More companies are offering carbon offsetting services. Fluorescent bulbs have gained popularity by working 20% longer than traditional bulbs. Electric car sales are up 7% for the first quarter of 2008.

Although not mentioned in this article, eco bags are still a big part of young women’s casual fashion (especially the white-blue-and-red eco bag from select shop Cher).

3)  Class-Bifurcated Market

Like in our last installment, we see two key product price points: those that intentionally target “value” and “savings” and those that aim for conspicuous excess. Private label foods from Ion and Seven-Eleven took the top spot for intentionally targeting “savings-minded” consumers. ¥50,000 laptops from Taiwan are popular for their cheap price. Mitsui’s Outlet Malls in Saitama etc. let shoppers obtain designer labels at bargain prices. The “shower-clean” suit is a technological marvel but not exactly going to be the favorite of Japan’s millionaires. Marketing Journal even dares to link the popularity of proletarian novel Kanikousen (Crab-Canning Boat) with the current conditions of the expanding “working poor.”

On the flip side, the “Winners” of the social class game are demanding first-class seats for their domestic air travel, with 80% of JAL’s premium seats booked and ANA introducing the service in April. Although not exactly “high-end,” Lotteria’s “Unrivaled Cheeseburger” offers luxury beef and natural cheese sandwiches at a somewhat lofty price point. For those who want to act rich at a low cost, Bandai’s “Bubbly Bubble Bath” lets you waste mock money in the bath tub.

4)  Non-Internet Technological Progress

No Internet-related software or culture made the listings. The only piece of pure software was Monster Hunter Portable 2nd G for the PSP. The digital photo frame is a way of bringing new technology into the living room, and the kind of non-computer gadget that Japan is famous for. The phones with special branded screens re-confirm the centrality of “mobile net” over computer-based net in Japanese life. Japanese manufacturers continue to see their job as “making gadgets” rather than making “technology.”

This article originally appeared on the Diamond Agency blog clast.

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One Response to “The MacroTrends BehindTop Early 2008 Products”

  1. Lasslys Says:

    Very interesting post.

    Thanks for providing all the relevant links.

    Private brand foods have been booming in most western countries during the last 8-10 years, Japan doesn’t seem to be immune to it after all.