Swedish fashion chain H&M has scored a hit with young consumers in Japan.
Japanese marketers have identified a new target segment – the so-called “yutori” generation. Born roughly between 1987 and 1990, members of this generation are now becoming working members of society, and are harder to pin down than one might imagine. They were the first generation to enter schooling after sweeping education reforms that reduced the study week from six days to five, and the number of subject reduced. The new system was called “yutori (loose) education” at the time, as it
essentially gave students more time to play with friends and develop their own interests.
A recent Nikkei survey of the yutori generation came up with some interesting statistics. The yutori generation prefer spending free time alone, or with friends of the same sex, rather than going on dates. Compared to the previous generation, they tend to watch TV less and read more, and rather than the convenience of shopping online, prefer the experience of going to shops and taking time to make a purchase.
Segments such as travel, automobiles, and beer are not doing well with this market segment as this generation is simply not that interested in traveling abroad, owning a car or drinking alcohol. However, there were a number of products that scored hits in 2008.
Products that appeal to a sense of playfulness are popular with the yutori generation.
Toymaker Bandai released a bubble bath that resembles 10,000 yen bills that dissolve in the bath, a product probably aimed at older generations seeking to relive the glory days of the bubble economy.
Surprisingly, it caught on with a much younger generation, and follow up products include cosmetic sheets for removing excess facial oil resembling 10,000 yen notes, and a body shampoo in a beer bottle that spurts out when opened, all giving a feeling of playful extravagance, while on a tight budget.
Other popular products revolve around self-improvement and study, such as a notebook based on the study habits of Tokyo university students, and items for organizing papers and study materials in a stylish way.