Part of its strategy to enhance business initiatives in emerging countries, Shiseido is launching its Tsubaki hair care brand through its wholly owned Shiseido Russia subsidiary. From June 2011, the Tsubaki products will be available in approximately 600 stores across Russia, exclusively at L’Etoile, the country’s largest prestige cosmetics specialty chain store.
With this initiative Shiseido, which has been operating in Russia since 1999 and currently sales its products in about 900 stores, is adding a new category to its activities in this market, with the aim to enhance the Shiseido brand recognition as well as to improve in-store share.
“Sales counters of Russian prestige cosmetics specialty chain stores are centred on cosmetics, including fragrance products. Even so, mid- to high-end-priced hair care products of European and U.S. brands are flourishing driven by the high aesthetic sensitivity of Russian women,” explained the company in a release.
It is the first-ever introduction of the Tsubaki brand outside Asia.  The initial launch features a total of 8 products and 12 items including shampoos, conditioners, treatments and hair masks from Tsubaki’s red (beautiful, shiny hair) and white (hair damage treatment) ranges. The brand targets the high-end segment and retail prices are expected to range from 320 to 900 Russian rubles (JPY 960 to JPY 2,700 or EUR 8 to EUR 22).
Russia is a key country within Shisiedo’s strategy to become a global cosmetics player. The Tokyo-based company considers Russia as one of its main growth engines, following China.
While its products were initially sold in Russia through a distributor, Shiseido established its local subsidiary in 2007 and started direct operations in 2008 and has been steadily achieving double-digit growth since this date. Up until now, investments have been centred on the two metropolitan areas of Moscow and St. Petersburg, but the company is now taking initiatives to make further inroads into major cities in regional areas.