News On Japan

Don Quijote Unveils New Discount Brand With Monochrome Packaging

TOKYO - As inflation continues to strain household budgets and companies across Japan grapple with the so-called "ink shock" driven by rising printing and packaging costs linked to instability in the Middle East, the company behind Don Quijote has unveiled a new private-brand strategy aimed at making everyday necessities more affordable.

Businesses have responded in various ways, with Calbee switching to monochrome packaging and Kagome reducing the number of tomato illustrations on its products to cut costs.

Joining that trend, the PPIH Group, which operates Don Quijote and other retail chains, announced a new private-brand range on June 3rd featuring monochrome packaging across its product lineup.

"The brand was developed not simply to offer low prices, but to pursue what truly necessary affordability means for our customers' daily lives," said Yuto Nomura of PPIH's Marketing Strategy Headquarters.

The concept focuses on providing essential everyday items at what the company describes as "genuinely necessary prices."

Among the products, a five-pack of boxed tissues is priced at 178 yen before tax, while a 500-milliliter bottle of water sells for 37 yen before tax.

The new lineup includes 26 household and daily-use products, all packaged in black-and-white designs. For food products, the company says production costs have been reduced by as much as 7% compared with existing private-brand items.

The savings extend beyond simpler packaging. Toilet paper has been wound more compactly to reduce transportation expenses, while tea bottles use thinner plastic containers to lower manufacturing costs.

The company also reviewed product dimensions to improve logistics efficiency and leveraged large-scale production to achieve further savings.

With uncertainty surrounding the Middle East situation continuing, PPIH said it is placing particular emphasis on anticipating future cost increases and reducing expenses in advance.

"The design emerged through repeated trial and error as one of many cost-cutting measures we explored," Nomura said. "Rather than simply offering cheaper products, we wanted customers to understand why they are cheaper. We believe this brand provides a new answer for private-brand products. Going forward, we will continue to identify additional customer needs and consider future developments accordingly."

モノクロパッケージの新格安ブランドを発表したドン・キホーテ

物価高が家計を圧迫する中、中東情勢の不安定化に伴う印刷・包装コストの上昇による「インクショック」への対応が企業に求められるなか、ドン・キホーテを展開する企業は、日用品をより手頃な価格で提供することを目的とした新たなプライベートブランド戦略を発表した。

Source: FNN

News On Japan
POPULAR NEWS

Japan is expected to remain under intense summer heat through next week as the Pacific high-pressure system continues to dominate the country, bringing widespread temperatures above 30 degrees Celsius and increasing the risk of heatstroke.

Large and very powerful Typhoon No. 9 (Bavi) was moving north-northwest south of Okinawa on July 10 and was forecast to strike the Sakishima Islands from Friday night through Saturday while maintaining its strength, raising fears of destructive winds, torrential rain and a dangerous storm surge coinciding with high tide.

Akie Abe, the wife of former Prime Minister Shinzo Abe, has said she is only now becoming able to grieve honestly over her husband’s death, four years after he was shot and killed during an election campaign speech in Nara.

A nine-year dispute over the Linear Chuo Shinkansen effectively came to an end on July 7 as Shizuoka Governor Yasutomo Suzuki told the prefectural assembly that he would allow Central Japan Railway to begin construction on the Shizuoka section of the project.

Japan lowered passport application fees from July 1, drawing large crowds to application counters such as the one in Tokyo’s Shinjuku district, although applicants are being warned that issuance could take as long as about one month.

MEDIA CHANNELS
         

MORE Oil Crisis NEWS

Marutake Tosou, a painting company founded about 50 years ago in Nagoya’s Nishi Ward, handles exterior walls and other building projects. Its workshop is lined with cans of thinner, an essential material used for sanding products and diluting paint, but at the end of April the company was struggling to secure supplies.

Dental clinics are facing higher costs for gloves, masks and other supplies made from naphtha-derived materials, even as shortages ease following renewed conflict in the Middle East that has disrupted naphtha supplies.

Crude oil prices have plunged to the low $70 range per barrel following the signing of a memorandum aimed at ending fighting between the United States and Iran, but while the immediate risk of an energy crisis appears to have eased, economists warn that price increases for electricity, food and everyday goods may still be about to intensify.

Japan will begin a new system on June 23 to sell paint and thinner directly from manufacturers to construction firms and other businesses, aiming to ease supply bottlenecks and curb price increases as worsening conditions in the Middle East make such materials harder to obtain.

Japan's reliance on Middle Eastern crude oil has left manufacturers exposed to rising costs for plastic containers, ink and other products that use naphtha, but JEPLAN President Masaki Takao is pushing a recycling technology that could reduce the need for petroleum-derived raw materials by turning used plastic back into material close to new.

A rice ball chain based in Yokkaichi, Mie Prefecture, is feeling the effects of turmoil in the Middle East through higher costs and supply shortages for packaging film and other materials essential to selling onigiri.

The global oil market could face a major supply surplus in 2027 if the United States and Iran maintain an agreement aimed at ending hostilities, the International Energy Agency said in its monthly report released on June 17.

Calbee's potato chips in black-and-white packaging appeared on convenience store shelves in Tokyo on June 17, reflecting the company's response to concerns over the stability of printing ink supplies derived from naphtha as tensions in the Middle East disrupted procurement.