Omron 2001 Annual Report Download - page 16

Results for the Healthcare Company
were impacted by continued weak
consumption in Japan as well as
changing consumption patterns. As
a result, sales declined 7.8 percent
year-on-year to ¥39.3 billion.
In the domestic market, the trend in the
retail industry toward a bipolar structure
focused on large-scale stores and
specialized small shops accelerated. In
response, the company worked to expand
sales by closely gearing sales activities to
the needs of each region and by
strengthening the creation of appealing
sales spaces. New products introduced
during the fiscal year included a blood
pressure monitor, a pedometer, fitness
equipment, and a legless massage chair
for home use.
In the healthcare equipment sector,
prices dropped sharply for products for
which growth was expected, such as ear
thermometers, body fat meters and
massage chairs, resulting in sluggish
sales. This limited the beneficial effects of
new product introductions and sales
expansion measures, and led to a
substantial decline in overall sales.
In the healthcare services sector, we
developed and launched the
Kenko
Tatsujin
(Health Master) series, and
formed a number of alliances with other
companies.
Outside Japan, sales
were firm in the
U.S., reflecting a
strong push
during the Christmas season and
strengthening of sales activities closely
geared to major customers. Fierce price
competition continued in Europe,
particularly in Germany, and was
exacerbated by the market entry of new
low-priced products from other Asian
manufacturers. Nevertheless, sales in
Europe were generally favorable. In Asia,
the increasing sentiment that growth was
slowing compared to the U.S. and
European economies saw consumer
spending decline in our major markets.
Faced with flat consumption and
maturing products, we are aiming to
expand our position as a solution
provider by creating a comprehensive
health business that responds to
changing consumer needs. In the future,
we plan to expand business volume in
our fields of expertise – blood pressure
monitors, thermometers and nebulizers –
by building on our use and knowledge of
biosensing and other technologies. In
addition, we will further strengthen our
sales strategies.
The HJ-111, a full-function
pedometer for aerobic
exercise, can measure
paces walked while tucked
inside the user's pocket.
The HM-404 massage
chair offers the ultimate
in relaxation.
The HEM-770A Fuzz
digital blood pressure
monitor employs a newly
developed cuff and features
a universal design for ease
of use.
14 Omron Corporation
Net Sales
(Billions of Yen)
0
10
20
30
40
50
2000 2001
Healthcare Company