 |
Sandals 2005 |
| A : | What is the origin of the word “sandals”? |
 |
| B : | It derives from the Greek word “sandalion”, meaning “board.” Sandals are one of the oldest types of footwear. The oldest sandals date back to 2000 B.C. in Egypt, where sandals were used to protect the soles of people’s feet from the burning sand. It is believed that they were mainly used by people of high rank, such as noblemen, priests, and warriors. Later, sandals were passed on to Greek and Roman periods, where they became a mainstay of footwear. However, after the Middle Ages, they lost their earlier popularity for some time, which came back again around the end of the 18th century and has since been maintained up to the present. |
|
| A : | What is the definition of sandals? |
|
| B : | Sandals are a type of footwear whose soles are fastened to the feet by straps or bands and have no covering over insteps like shoes. Therefore, they tend to be worn primarily in temperate or tropical regions. |
|
| A : | When did people start making sandals in Japan? |
|
| B : | It was around 1932 when wooden sandals were made for use in gardens or at beaches. From around 1950, vinyl sandals were introduced and became popular particularly among women. These vinyl sandals were exported aggressively to Europe and U.S.A. as “beach sandals.” Rubber sandals used among farmers and Japanese traditional straw sandals called “waraji” could be considered a type of sandal as well. After vinyl sandals, varied types including synthetic leather types appeared on the stage, and have transformed into highly fashionable sandals of today such as slingbacks and mules. In Japan, sandals are an essential item in its hot and humid summer and enjoy enduring popularity as a casual form of footwear. While demand for sandals generally rises in summer, in recent years they are used throughout the year thanks to an outdoor activity boom and current fashions. There is also a type of sandal for winter use that looks like a slipper since it has a covering over the tip of the instep, which is gaining popularity. |
|
| A : | Currently, how much domestic demand is there for sandals? |
|
| B : | Since there are no definite statistics, I can give you only a rough estimate. According to an estimate made by the National Federation of all Japan Chemical Sandals Industrial Unions (120 corporate members), it is approximately 170 million pairs per year. |
|
| A : | How much of the total demand is supplied by domestic production or imports? What about exports? |
|
| B : | At present, total domestic production is approximately 40 to 50 million pairs and almost all of them are for domestic use and very few for export. The estimated imports are about 116.70 million pairs, which means domestic production accounts for about 30% of the total demand while imports account for 70%. |
|
| A : | Who are the major importing countries? |
|
| B : | Since import statistics on sandals are included under the footwear heading and the footwear category is broken down into a number of subcategories by instep or sole material, it is hard to single out statistical figures related to sandal imports. However, importing countries include China (approx. 95%), Taiwan, Thailand, Indonesia, Vietnam, Spain and Germany. Among these countries, China has come to enjoy an overwhelmingly large share in recent years. |
|
| A : | Do many domestic Japanese sandal manufacturers conduct overseas operations? |
|
| B : | There are only two companies that have invested capital in constructing plants overseas. Through technical assistance provided by Japanese manufacturers, Asian nations including China are now capable of manufacturing sandals fit for Japanese feet, and besides, their quality is improving. Moreover, sandals designed for outdoor activities, which can be worn like shoes, are gaining popularity due to an outdoor activity boom. Therefore, the mainstream business style among domestic manufacturers is “designed in Japan and made in Asia.” |
|
| A : | Who are the main importers in Japan? |
|
| B : | Although domestic manufacturers are engaged in the import business to some extent, import is mostly conducted by outsiders not affiliated with a sandal union. Some general wholesalers, for example, are engaged in direct import. Among mass retailers, such as supermarkets or home centers, some directly import sandals from overseas manufacturers while others purchase them from domestic wholesalers. Generally speaking, direct imports are increasing in recent years. |
|
| A : | What about the distribution channels for sandals? |
|
| B : | Since most sales are conducted via face-to-face sales in the sandal business, it often takes a conventional route that domestic manufacturers sell their products to wholesalers, believed to be approximately 1,000 throughout the country, from whom products are distributed to retail stores and then to consumers. Imports also take the same route. For sandals, there is no disintermediation for imports, and more often than not, imports are distributed via factors to retail stores, such as mass retailers, where consumers actually buy them. |
|
| A : | Tell us about their retail prices. |
|
| B : | There are mainly four price levels: 500 yen per pair, 980 yen, 1,980 yen, and 2,500 yen. Although there are also luxury items priced at 3,500 yen, they are few in number. Retail products priced at 500 yen or 980 yen are mainly imports. Import prices are around 100 yen for products with a retail price of 500 yen and 300 to 500 yen for products priced at 980 yen. The commission for importers is generally low and there are even some cases where it is as low as 50 yen per pair. Products with a suggested retail price of 1,980 yen, 2,500 yen, or 3,500 yen are domestically produced sandals. There is clear compartmentalization between high-end domestic products and low-priced imports. Japanese consumers tend to be quality- and high-end oriented and prefer products of good design and high quality. This is where domestic manufacturers find their place for survival. |
|
| A : | What is the ratio of men’s sandals to women’s? |
|
| B : | Since men usually wear shoes most of the time and use sandals mainly on holidays, male users account for 1/3 of the total versus 2/3 female users. |
|
| A : | What about sizes? |
|
| B : | Generally speaking, there are four different sizes, ranging from S and M to L and LL. Compared with Europeans and Americans, the feet of Japanese people tend to be flatter and therefore, the most common width type is 3E (EEE). Consequently, the size common to most Japanese is M (EEE) or L (EEE). |
|
| A : | I assume that mould charges are high since Japanese consumers require a wide variety in design, that is, a small quantity per design. Is this right? |
|
| B : | Exactly. It costs no less than 1 million yen if we make four moulds (S, M, L, and LL) per design. Although the cost can be reduced to 100,000 yen if manufactured in China, Japanese manufacturers still have to pay the mould charges. Since manufacturers are required to introduce a new design one after another in order to meet customers’ ever changing requests, they have hard time writing off the mould charges. |
|
| A : | How do domestic manufacturers procure their materials? |
|
| B : | Most of them use domestically produced materials, but there are some who purchase them from importers who specifically import soles and bands, most probably from China. |
|
| A : | What percentage of the total costs do wages account for? |
|
| B : | For domestic products, if the original cost is 800 yen, then wages account for 200 yen, or 1/4 of the cost. |
|
| A : | We hear that many shoemakers also produce sandals. |
|
| B : | Yes, they do. I hear that at some ladies’ shoe counters at department stores, leather sandals for use at resorts are being sold at a price of 27,000 yen or 37,000 yen per pair. They are made by shoemakers specializing in leather shoes make them. The sandals produced in the shoe industry are targeted mainly at young or high-end consumers, whereas those made by the sandal industry are mostly for middle-aged and older consumers. Moreover, there are some sandals that cannot be clearly categorized as shoes or sandals and others that could be considered as chemical shoes. It is getting increasingly harder to clearly define what sandals are. Originally, sandals were for outdoor use, but now, they are also used indoors. Distinction between sandals and slippers, house shoes, or room shoes is getting more subtle. |
|
| A : | What materials are used for sandals? |
|
| B : | Sandal materials include instep materials such as leather, plastic with synthetic leather, wood and cloth, and sole materials such as rubber and plastic. The most popular type is sandals with a plastic and synthetic leather instep and a plastic, like urethane or rubber, sole. |
|
| A : | In general, how durable are they? |
|
| B : | The estimated usable period, though it depends on the frequency of use, is for three to six months for cheaper ones and three years for quality ones. |
|
| A : | What shapes are available? |
|
| B : | Thong-type sandals are few in number, around 10%, and most are sling or band-type sandals. This is because people in Japan don’t use geta or zori anymore since people no longer wear kimono as frequently as before. Therefore, if young people wear thong-type footwear, it hurts their inner toes. |
|
| A : | How do you see the future of sandals? |
|
| B : |
Although the market is getting oversupplied, I think imports will become more upscale oriented due to increased technical assistance; domestic manufacturers who import materials, for example soles, will increase; and sandals will become more fashionable. |
|
- Back to Previous Page - |