Established in 1980 in Japan, MUJI is a leader in developing and supplying consumer driven daily necessities including food, household goods and clothing. Founded by Masao Kiuchi, MUJI started as a private brand of the retail conglomerate The Seiyu Ltd. With nearly 5,000 employees, there are over 300 MUJI stores worldwide, currently with four in America. MUJI offers not only quality goods at reasonable price but also a “way of life.” Through their commitment to combining simplicity, sophistication and modernity, MUJI redefines luxury towards a no frills lifestyle of practicality and functionality. MUJI’s 40 products have grown to the present day into carrying over 7,000 products sold all over the world. With an exceptionally wide product mix, MUJI products range from baby clothes to beauty products to kitchenware. With over 5,000 items, MUJI especially excels in the department of furniture, interior textiles and other household goods that account for almost 55% of its total sales. Making a global impact through simplistic yet distinct designs, MUJI has been awarded five gold product design award by the International Forum Design in Germany. Further MUJI has had collaborative projects with notable international designers such as Konstantin Grcic, Jasper Morrison, James Irvine and Naoto Fukasawa. A selection of MUJI products are also featured and sold at the MoMA store, some listed as best sellers. The 4,350 square foot physical MUJI store in the New York Times Building on 40th and 8th Avenue is a spacious and prominent establishment in the heart of New York City. With clean open spaces, natural wood displays, large glass windows, walls, and shelving’s, the overall transparent and sleek appearance has a good presence from the sidewalk. MUJI stores are currently available in over 15 countries around the world including Indonesia, Ireland, Italy, Germany, Taiwan, Thailand, and Hong Kong. There are 200 operating MUJI stores in Japan and over 100 overseas. There is a total of four retail stores in the United States, all located in New York- Times Square, SoHo, Chelsea, and a to-go store at the JFK Airport. MUJI also operates a global online store: www.MujiOnline.com
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SITUATION ANALYSIS CONSUMER • MUJI has not made a dominant presence yet; some are aware of it but most are not. • However with those that are, there seems to be a “cult-like” following o Such customers are changing the landscape of modern design • ‘Back to basics’ philosophy seems to appeal to the younger market • MUJI products hit the jackpot for a “growing niche of design sophisticates” • Design trends if increasingly becoming a dominant factor in the mind of consumers o Design trends that customers look for are evolving in favor of MUJI. Ex: color palettes back to nature – beige, neutrals, etc. • One study/research done in China (where MUJI states they have had the greatest success in) about MUJI enthusiasts/loyal customers and what are the most important factors of MUJI’s appeal: o MUJI’s comfortable shopping environment o Simplicity design of products o Receive social identity through MUJI products o Stimulates thinking about every-day life PRODUCT • Have many retail stores around the world: 350 in Japan plus 100 overseas. • The bigger the better in terms of selling the in store MUJI experience (stores that are 3,0004,000 square feet and bigger have been most successful; some have closed down because lack of store space fail to communicate MUJI experience • MUJI has a global online store as well • Pricing ranges due to their large array of products- anything from a pen under a dollar and over couple hundred dollars for furniture goods. • Favorites and best selling items are: furniture, interior textile, other household goods BUSINESS ENVIRONMENT • Major competitor: o UNIQLO (apparel): Japanese brand with similar design concepts o Use more wide spread advertising/promotion;...