Japan's Pop-up Stores: High-end retailers' new gimmick to attract tourist buyers
Updated 22:49, 07-Feb-2019
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Over to Japan where major, high-end retailers are using pop-up stores to attract millennials and tourists amid a shrinking domestic market. Premium brands are using the temporary stores for market research, while customers can look at the companies' latest products. Our correspondent Mayu Yoshida went to check out one of the latest pop-ups in Tokyo.
In the heart of Tokyo's Omotesando shopping district is this pop-up store from Japanese cosmetics brand SK-II. But take a sneak peek inside, and you won't see any products. Instead visitors are welcomed into the world of Augmented Reality.
SANDEEP SETH, CEO SK-II WORLDWIDE "It is more than what we are investing in. I would say because, at the end, this really gives you a whole idea of what consumers like, what experience is really meaningful. Pop up allows you to environment to create experience which is very difficult to create in the physical store environment which is limited out there. We are then working with our retail partners to see which part of the experiences can go into actual shopping environment."
Pop-up stores are all the rage on Japanese social media. They save retailers advertisement costs and generally cater to a younger audience, as well as visitors from abroad. This comes as Japanese retailers face shrinking domestic consumption amid a population that's rapidly aging.
MAYU YOSHIDA TOKYO "The concept of this pop-up store is Beauty, Art and Technology. This booth can analyze my skin age. You can do the same thing at existing cosmetics stores , but here it's more about enjoying the experience."
MINO NAGANO UNIVERSITY STUDENT "This store caught my attention on social media. It'll be very Insta-genic for my page too so I researched the details and came to this place."
This Tokyo-based start-up matches retailers with empty spaces. For companies that can't afford to open retail shops in expensive commercial zones, pop-ups can provide valuable exposure.
NAOKI SANPEI, CEO COUNTERWORKS "Major retailers are now very focused on grabbing consumers' attention and popups allow them to try out new things such as products and designs."
Pop-up stores may have a limited effect on a company's bottom line in the short-term. But for customers, this picture-perfect experience is another way to connect with their favorite brands.