Shiseido to Promote China CEO to President

Shiseido said that the new China CEO is the current Representative Director President Masahiko Uotani. At the time of the personnel appointment release, Shiseido’s third quarter earnings report came out. Shiseido China recorded a loss of about $60.6 million in the first three quarters of this year. How to revive the Chinese market is the issue that Toshinobu Umezu needs to focus on.

On November 10, Shiseido headquarters released new personnel appointments, previously serving as Senior Executive Officer China Region CEO Kentaro Fujiwara will be promoted to Shiseido President and COO and China CEO will be replaced by the current Shiseido Group Representative Director President Masahiko Uotani. The above appointments will take effect in January 2023 and the presidential appointments will be resolved by election at the annual general meeting of shareholders to be held in 2023.

Born in 1966, Kentaro Fujiwara joined Shiseido in 1991 and has been based in Germany for six years since 1994 with Paris and Düsseldorf as his main geographical focus. He was responsible for international business development. Prior to his appointment as the General Manager of Shiseido (China) Investment Co., Ltd., he also served as Board President of Shiseido Korea and Chairman and President of Shiseido Professional Hair Care Business Korea.

In 2015, Kentaro Fujiwara became the General Manager of Shiseido (China) Investment Co., Ltd. and the President of Shiseido China after the establishment of Senior Executive Officer China Region CEO in 2017. In the same year, Shiseido Group achieved sales of approximately $7.12 billion, completing the sales target of $7.1 billion three years ahead of schedule. The Chinese market has also become the largest overseas market for the Shiseido Group since 2017, even surpassing Japan in the first half of this year to become Shiseido’s top global market.

According to the documents released by Shiseido, after the promotion of Kentaro Fujiwara to the position of Chief Operating Officer of Shiseido, the successor as CEO of China is the current Representative Director President and CEO, Masahiko Uotani. Prior to his appointment as Representative Director President, he held the positions of head of Shiseido’s business strategy department and head of marketing intelligence.

During the seven years of Kentaro Fujiwara’s tenure, Shiseido’s sales in China have been soaring. CHAILEEDO found that the total sales of Shiseido China for the period from 2016 to January-September 2022 totaled $9.4 billion. Among them, in the six years from 2016 to 2021, Shiseido China performance has been in a growth trend, except for 2020, the growth rate of the rest of the years exceeded 10%, while sales grew from $824.3 million in 2016 to $1.92 million in 2021.

However, Shiseido China’s operating profit has been decreasing since 2020 with operating profits of $128.5 million and $8.23 million in 2020 and 2021, respectively, and a loss of $60.6 million recorded in the first three quarters of this year.

It seems that in the past two years, affected by the epidemic and other aspects, as Shiseido’s largest overseas market, the world’s second largest market, China’s performance losses. 2023 is also the closing year of Shiseido’s “WIN 2023” business strategy. How to revive the Chinese market, Masahiko Uotani shoulders a heavy burden.



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