I must say I enjoy following the business strategy of Japanese Pharma companies. Although most of the companies have weak pipelines (limited about of new drugs to come out), while at the same time their block buster drug patents is expiring soon, as a consequence to counteract the expected drop in turnover many companies are expanding now their product portfolio with high profit products. One interesting example to observe is Rohto. Thinking simply how you can increase profit to the maximum, you dream about a product that has a very low creating cost and can then be sold to a high price. Along these lines, I am truly amazed about Rohto, because they are creating a new market of the “very high priced mineral water”. This marketing strategy is simply genius, because would you have thought about selling water from Takushima (World heritage site)? Considering the site, a price of JPY 560 for 2 bottles of 300ml seems just right?! With the right branding, this water cannot be compared to any foreign or local mountain water.
For sure the timing to bring out this brand is absolutely perfect, because I see now after Fukushima more and more people concerned about the source of their water. Using in their ad then the obvious fact that 60% of the body consists of water, so why shouldn’t I want to have the best water possible for my body? I might potentially not taking good enough care of my body, but honestly I prefer to stay with Brita filtered tap water.
Brought to you by Sibylle Ito (シビル伊藤)