THE path to success has not always run smooth for brands that hail from the Land of the Rising Sun. Lifestyle brand Hushush, which opened its first store outside of Japan in what used to be Seiyu Bugis in 2004, lasted less than three years here.
Brought in by Japan-based World Group, Hushush folded its three outlets in 2006 as 'the market size was too small and cost of operation too high', said Wing Tai Retail's executive director Helen Khoo, whose firm was contracted to operate its stores.
World Group has since withdrawn from Singapore and is concentrating its strength on expanding in China, Korea and Hong Kong, she added. Even household and consumer- goods retailer Muji's business venture here has not always been a bed of roses - it folded here in 1999 because of poor sales before returning in 2003, after sales at a standalone store in Hong Kong Causeway Bay exceeded expectations.
'It takes a while - five to six years - to become profitable and cover your investment,' saidMs Jasmine Sng, Muji's general manager.
But fast-forward to 2009 and things are decidedly rosier for the Japanese players. Today, step into a Muji, Daiso or Uniqlo store and it is likely that one will find a rabid fan - often with family or friends in tow - traipsing through the aisles of well-arranged products.
'Japanese products are unique and have excellent workmanship,' said part-time market researcher Serene Tan, 52, proudly showing off her Muji blouse, bag, wallet cardholder and umbrella.
Never mind that Madam Tan or fellow fans of Japanese products have never been to Japan before - they will recognise one of its brands anywhere and will brave long queues to get their hands on the goods.
After all, one does not need to pay much more to buy Nippon.
Singapore's price points differ from Japan's by less than a tenth of the original, said Ms Sng. Garments are 20 to 30 per cent pricier, because of fluctuating exchange rates and the cost of freight, she added.
Singapore patrons of Daiso, known in Japan as the '100-yen shop' - pay just a few more cents per item, all of which go for $2. At Uniqlo, the price difference for a T-shirt is about $1.70.
'Many sizes were sold out within two weeks after we opened our doors,' said Ms Khoo.
