Global Trendsetters: Japan

by Neil Kozarsky

The Manic Marketplaces in Japan Force Package Designers to New Heights of Flash, Flair, and Finesse

Try to imagine what packaging, marketing and branding strategies would look like if they were injected with Viagra and then put on steroids. Welcome to Japan.

Everyone involved in packaging should have the opportunity to spend time in Japan and see what is going on in supermarkets and convenience stores. Meeting the challenges of harshly critical consumers, unfathomable competition for space and attention, packaging and marketing professionals in the world's second largest economy operate at an elite level borne of necessity. The results are obvious and the strategies, materials and technologies employed just may contain answers and direction for the evolving needs of American consumers and the companies that serve them.

To understand the manic competitive climate in Japan, one must first gain an understanding of the unique driving forces (or "drivers") and challenges facing companies and brands in that country:

• While Japan covers roughly the same area as Montana, after taking into account water, woods and mountains, Japan's population of 126 million really only inhabit land about the size of Connecticut.
• Tokyo's population swells from 12 million to 30 million every working day as the workforce and students descend upon the city, usually arriving in the early morning and often staying late in the evening.
• Japanese consumers are extremely demanding and will not accept imperfections in products or their packaging.
• Time is precious and wasting it is unforgivable; products and services that "get it" thrive, those that do not "get it" rarely receive a second chance.

While the differences between the cultures, language and world view are in most cases significant, some extremely interesting harmonies may exist as Japanese and American marketing teams go about the business of meeting consumer demands. With the aforementioned background forces and attitudes taken into consideration, is it any wonder that the Japanese adopted flexible retort packaging systems decades before food manufacturers in the U.S.? Japan is a place where time is precious, demands are taken seriously, and taste may not be compromised in the interests of convenience.

When these millions of demanding consumers have a need, solutions are typically seconds away. One should never lose sight of two key rules that embody the difference between Japan's and the United States' approaches to packaging and branding:

Rule #1 — U.S.: The consumer is king; Japan: The consumer is God

Rule #2: — U.S.: Cleanliness is next to GodlinessJapan: Cleanliness is Godliness

The Japan shopping "experience"

The first thing any visitor to Japan notices is how clean, bright and inviting the stores are; everything you see is in order and immaculately arranged. Every sense organ is a target, as companies compete for the attention and approval of the shopper. The shelves are alive with color—bright, clear and attractive. One need not understand individual words or letters, because the message transcends the medium. The message: "We are here to serve and you will not be disappointed."

The axiom "packaging is the last three seconds of marketing" is far behind what needs to happen in this retailing environment. With shoppers moving at the speed of a Bullet Train, the entire process of "seeing-understanding" and "committing-to-purchase" must be achieved in a heartbeat. The Japanese have developed some highly innovative approaches and survival techniques to overcome these hurdles:

• Instant appetite appeal: Whether the meal is "ready to eat" and visible or otherwise represented on the package, it has to look tantalizing and irresistible. This is achieved through the use of radiant graphics and/or crystal clear films applied to grab-and-go disposable trays that closely resemble traditional containers. Interestingly, recalling traditional forms like the Bento Box still attracts customers, even if the package is only a smaller plastic/disposable imitation.
• Color and design: While the Japanese have the same basic flexible and rigid materials with which to work as the rest of the world, all forms of packaging virtually reach out and touch you and call for attention with their flair for the dramatic. Many packages appear to be virtually plugged in as they scream out their pleas to be seen, appreciated and selected.
• Shaping: An effective means of differentiation is a shaped container—be it paperboard, plastic or glass —and should not be underestimated. When you realize how these unique shapes rise above even the cluttered visual environment of a store in Japan, you get the point. Gorgeous shrink labels help make unique shapes a reality and do so at relatively low cost.
• Texture: While some of the above ideas have begun to appear on U.S. store shelves, the Japanese have recently expanded into a new, pioneering dimension for the consumer to experience with a product/package—a startling "touch sensation." With a look and feel that creates a "wow," these roughened textures also stop you from losing your grip when a bottle or hand gets damp.
• Freshness: An astoundingly high percentage of goods in a typical Japan store are perishable in less than 24 hours, with many popular meals (meat, fish, and vegetables, for example) losing their luster in far less than a day. To keep the quality-conscious consumer satisfied, many packages offer labels that instruct the consumer on the freshness window for the product based upon an hour and minute threshold.
• Perfection: This is the one attribute of packaging in Japan that mystifies even the Japanese! Not one imperfection in a package can be tolerated. The slightest hickey or registration drift is cause for rejection. Even products of Mother Nature, such as apples and bananas, will be severely discounted if they are damaged in any way.

Bellwether for the U.S.?

As Wal-Mart or some other discerning retailer challenges you to inspire them with a new product or package, there are a number of technologies in Japan that could find a home for "on-the-go" and increasingly demanding and safety-conscious consumers in the U.S., like the three described below.

Wasaouro Freshness Extension: Active Packaging: Wasaouro is a volatile oil of mustard, derives from a natural substance most familiar in other forms such as horseradish or wasabe. Its pungent aroma contains antibacterial and antifungal powers that extend the freshness of foods. Carex Corp., an Osaka-based concern makes labels, sheets and other substrates that are impregnated with Wasaouro. One of the advantages in using this active packaging technology is that consumers do not even know that the Wasaouro is being employed. The labels can be shaded or clear, and the decorative sheets that overlay a meal tray are thought to be a part of the package. The results in retail applications are significant and manageable, with the goal being shelf-life extension for anywhere from an extra few hours (for example, lunch boxes in convenience stores or delicatessens), to as much as a few days (bakery goods).

By varying the concentration of the active ingredient (natural allyl isothiocyanate, or AIT) and the time release characteristics, marketers have the ability to extend shelf life, increase visual appeal and suppress the formation of potentially harmful bacteria and mold growth. The U.S. military has been investigating and driving Wasaouro packaging technologies for nearly a decade; always with an eye to extending freshness and avoiding the need for refrigeration. When the U.S. FDA approved the use of Wasaouro for direct food contact at the beginning of the year, the likelihood of this natural, effective and proven technology crossing the Pacific increased markedly.

Dispen Pak: Convenient/Versatile Dispensing System for One or Mixed Products

Like so many other innovations that reach new heights in Japan, the Dispen Pak was invented in the U.S. With a thermoformed base and flexible, ribbed top layer (barrier properties determined by the application), this one-hand, easy-to-use package has become increasingly popular in Japan across a diverse range of applications from condiments and salad dressing to butter and jelly. The thermoformed bottom allows two products to be packaged and not mixed until the contents are dispensed by the consumer. This package allows consumers to put their favorite toppings on bread or rolls without the need for a knife or other utensil. The consumer initiates the opening with light finger pressure from the base, allowing the two product cavities to flow and mix.

Japan's largest convenience store chain, 7-Eleven, uses the Dispen Pak for combining ketchup and mustard on fried hot dogs. McDonald's exploits the ease and neatness of the package in pancake syrup applications. People who discount value-added packaging in Japan because they think it's not affordable in the U.S. should make note of the previous two examples; 7-Eleven and McDonald's apply virtually the same scrutiny to package/product profit-and-loss constraints as their American counterparts. Dispen Pak is a tremendous candidate to meet emerging challenges in the U.S. market, not the least of which involve dashboard dining solutions where functionality and neatness matter. As products are dispensed from the top, consumers are afforded the advantage of putting the condiment or dressing pack down in the car without making a mess. If consumers start thinking about not buying French fries in the drive-through lane because of spills or inconvenience, some packaging people may want to start thinking about Dispen Pak.

Auto-Vent-Pouch (AVP): Self-Venting Pouch for the Microwave

Developed by one of the world's leaders in easy-peel technologies, Sun A Kaken Co., Ltd., this innovation allows consumers to quickly prepare microwave meals without having to pre-cut or tear before cooking. Is the elimination of one step really a big deal? Ask the paperboard packaging industry that question and you may hear about significant market share loss when pouches incorporated re-sealable zippers. Yes, reducing one step and the associated few seconds is a significant value these days. AVP pouches are suitable for retort, frozen and refrigerated applications and effectively employ "steam-cooking" within the pouch. As heat and pressure increases, the bag expands until the special "seal area" releases, allowing the pouch to vent.

In addition to time-savings and ease of preparation, additional benefits include better taste, food texture and nutritional values for the contents. In Japan, the AVP (it's called Range Do over there) has penetrated a host of meal segments, from vegetables, to dumplings, pasta, soup and curries. There is a real significance to the AVP success, particularly with curry, as the Japanese consumer would not accept such an important, traditional meal unless it could pass muster with good taste and texture. Drivers that could support AVP expansion in the U.S. include; increased convenience, less time to prepare, less chance for injury/mess when hot goods spill and more attention to controlled meal portions as Americans become more weight conscious.

Moments to relax?

In the final analysis, Japanese and American consumers are getting more and more alike. Due to work and the wonders of Information Technology, it's increasingly difficult to find even a few moments to relax. When that time arrives, no one has done a better job than the Japanese of transforming mere consumption into an indulgence experience that adds quality to the day and loyalty to a product. Hopefully, you will get the chance to experience this yourself in the land of the rising sun. But, if you don't get the chance soon, some of the solutions that have been working wonders for the Japanese just may be coming to a supermarket or convenience store near you soon.

The Options Are Becoming Clearer and Clearer in Japan

Simple design lines, matte colors and refined architecture are staples of Japanese culture. Origami, Buddhist rock gardens, and tea ceremonies exemplify the focus on precision, simplicity, and clarity. These phenomena are also reflected in the importance the Japanese give to the calligraphic and paper arts, wrapping, and in turn, product packaging. Major Japanese consumer product manufacturers are paying closer and closer attention to package and labeling design, which is essential to distinguish products from their competitors in a society where presentation is so important.

In keeping with this tradition, Yupo Corporation Japan has recently introduced a new product, YUPO® Clear In-Mold Label (IML). Clear labels give packaging a clean, no-label look. The transparent substrate allows for greater flexibility in label design, and highlights the structure and color of the package itself—or the contents inside. The super-smooth YUPO substrate offers superior print quality that can enhance brand impact.

This label can also be used for clear bottles, making the graphics appear to be engraved directly on the surface, which can also enhance shelf appeal. When this is effectively employed, the content of the package is the visual focal point. Personal care products may benefit from clear packages the most. The color and texture of products such as hair gels, lotions, and creams are important when it comes to point-of-purchase appeal.

As a multi-layered synthetic composed primarily of polypropylene resin, YUPO Clear IML offers a number of important characteristics, including resistance to moisture, chemicals, peeling, and scratching. YUPO's extraordinary durability also serves to increase wall strength for improved container shape and volume control.

YUPO IML is noted for exceptional performance when run on offset, letterpress, flexographic and gravure presses and during cutting and stacking. YUPO Clear IML is non-porous and exhibits the same chemical characteristics as polypropylene and HDPE type materials. The result is a 100 percent recyclable bottle. YUPO Corporation is the largest synthetic paper manufacturer in the world and has long been noted for innovation in its line and for providing lasting solutions for traditional and emerging applications. The Clear IML is undergoing final testing in the U.S. and is expected to be available on the market later this year.

Neil Kozarsky has many years of experience in marketing and brand positioning in the Japanese market, with over 70 trips logged and several commercial technology-transfer successes. Neil is president of Technical Help in Engineering and Marketing (T.H.E.M., Division Universal Synergetics, Inc.), and you can contact him by email at neil@them.net.