The Notorious Copycat Brand That's Taking Over Asia (Miniso History)

Summary

In this episode, the host explores Miniso, a Chinese brand often mistaken for a Japanese one due to its branding strategy. Miniso mirrors successful brands like Uniqlo and Muji with its aesthetic, logo, and product style, yet it's known for being a copycat. The brand thrives on a fast, low-cost production model using private labeling, creating impulse buys through frequent inventory changes. Despite its controversy, Miniso's success in China and Southeast Asia is undeniable, demonstrating how mimicking established brands can lead to success, even if it's at the cost of authenticity.

Takeaways

• 😀 Miniso is a Chinese brand that mimics the branding and aesthetic of Japanese companies like Uniqlo and Muji.
• 😀 Miniso has been controversial due to its deceptive claim of being a Japanese designer brand, despite being founded by a Chinese entrepreneur.
• 😀 The brand's logo and store design are intentionally similar to Uniqlo's, capitalizing on the global perception of Japanese products being high-quality.
• 😀 Miniso's business model is based on private labeling, where they sell pre-made products with their logo, which helps them produce goods faster and cheaper.
• 😀 Despite the controversy, Miniso's strategy of blending Japanese aesthetics with Chinese production has made it highly successful, especially in developing countries like the Philippines.
• 😀 Miniso regularly refreshes its inventory with new products to encourage impulse buying and keep customers coming back.
• 😀 The brand's low-cost model, along with the perception of being a trustworthy Japanese brand, has contributed to Miniso's growth, with $2.5 billion in revenue in 2018.
• 😀 Many consumers, despite knowing that most products are made in China, still trust brands that appear Japanese or non-Chinese.
• 😀 Miniso's strategy has inspired other copycat brands, such as Uniso, Ubiso, and Shimi Value, that follow similar designs and business models.
• 😀 Miniso's success highlights the effectiveness of adopting a proven business model and leveraging consumer trust in foreign brands, regardless of origin.

Q & A

What is the main issue with Miniso's branding?

The main issue with Miniso's branding is that it pretends to be a Japanese brand, despite being a Chinese company. This deception is part of their strategy to capitalize on the global trust associated with Japanese products.

How does Miniso's logo compare to Uniqlo's logo?

Miniso's logo is very similar to Uniqlo's, which is a deliberate design choice. The similarities are so obvious that it sparked comparisons and discussions about whether Miniso is copying Uniqlo’s branding.

Why did people initially think Miniso was a Japanese brand?

Miniso itself claimed to be a Japanese designer brand, as it was founded by a Chinese entrepreneur with alleged ties to a Japanese designer. This branding misled people into assuming the brand was Japanese.

What is the truth behind Miniso's Japanese connection?

Miniso is a Chinese company, but it was founded with the help of a Japanese designer. Despite this, it only has four stores in Japan, indicating that it is not successful in its home country and cannot fully claim to be Japanese.

How does Miniso's business model compare to Daiso's?

Miniso's business model closely resembles that of Daiso, a Japanese discount store. Miniso uses similar branding aesthetics, such as Japanese-inspired designs, to attract consumers, even though it operates under a Chinese company.

What is Miniso’s 'three high, three low' strategy?

Miniso's 'three high, three low' strategy refers to high efficiency, high technology, and high quality (the 'three highs'), combined with low price, low cost, and low margin (the 'three lows'). This strategy helps Miniso keep prices affordable while maintaining high operational efficiency.

How does Miniso keep its inventory fresh and encourage customers to return?

Miniso regularly refreshes its inventory by adding new items quickly, thanks to its use of private labeling. This strategy creates a sense of urgency among customers, encouraging impulse buying and frequent visits to their stores.

What are private labeling practices, and how does Miniso use them?

Private labeling is when a company purchases mass-produced products from manufacturers and simply adds its own brand logo to them. Miniso uses this practice to quickly refresh its inventory with low-cost items without spending on product development.

What impact does Miniso's strategy have on its perception in global markets?

Miniso's strategy of copying successful Japanese brands while presenting itself as a Japanese company has helped it gain international success, particularly in developing countries. However, its brand identity often suffers due to the perceived lack of originality.

How has Miniso's success led to the rise of copycat brands?

Miniso's strategy of copying well-known brands like Uniqlo and Muji has inspired others to follow suit. This has led to a surge of similar brands like Uniso, Ubiso, and Shimi Value, which mimic Miniso's design and branding tactics.