July 2, 2008

CEO Profile: Japan's King of Cute

Shintaro Tsuji - Businessman, Author, Producer, Hello Kitty's Father

Eighty-year-old Tsuji is a devoted family man who works a six day week and thinks human relationships matter more than profit. His business is about building goodwill.

Shintaro Tsuji lost his mother at 13 years old and was left in the care of unfeeling relatives. Years later, he turned his happier memories of early childhood into worldwide success, founding a company devoted to improving relationships and spreading cheer through bright, cuddlesome characters with an infectiously positive outlook.

Early Days


Born in Japan in 1928, Tsuji attended a kindergarten named for Canadian missionary Martha J. Cartmell, with the children of well-to-do expatriates. The school held birthday parties for its students, the first he had ever experienced. "Japanese didn't have a custom of celebrating birthdays. I was deeply moved by such events."

Students were encouraged to think of others by giving food and old clothes to local beggars. Tsuji recalls that "they looked so happy when we gave them those items. The two things - birthday parties and gift-giving -were a big shock to me."

Qualified in chemistry, he survived the tough postwar years by making and selling soaps and condiments. After a spell in local government, he realized bureaucracy wasn't for him, and put his severance pay into starting up the company that became Sanrio. Remembering his childhood experiences, he decided his business would foster a culture of gift-giving.

Birth of Hello Kitty


The company began trading in 1960, but didn't generate its unique characters for another decade. In 1972 Tsuji hired in-house designers and conducted a worldwide survey on which animals were most popular. Dogs, cats and bears topped the poll, so Hello Kitty was one of the first original characters launched in 1974.

The little cat with no mouth (because she speaks from her heart) soon became an icon in Japan, and as her young fans grew up, Kitty remained part of their lives. Now her image adorns goods for adults and children, from stationery to housewares and even menswear. She is the star of Sanrio theme park Puroland, near Tokyo, and leading lady in her own anime.

An International Brand


Tsuji cites major international brands like Hermes and Gucci, and characters like Snoopy, Sesame Street and Pink Panther, as examples of the worldwide recognition he wants his creations to achieve. He met Peanuts creator Charles Schultz on a visit to America, where Kitty is almost as popular as at home. Sanrio's first US store opened in 1976, a bold venture at the time.

Sanrio owns 150 stores, and sells to thousands more. The company's 2,000 employees span 60 countries. Overseas revenues rose by 30% last year. Yet Tsuji is adamant that profit comes second to running a happy and productive company with a good reputation.

Family and Friendships First


He hates letting anyone go, and runs a profit share scheme from which all his staff benefit. Above all, he values friendship. Sanrio's auditor has been his friend for 74 years.

He gets daily email reports from his top stores and sales people, goes to Puroland twice a week, and keeps Sunday free for his family, taking his wife shopping and playing pachinko with his student grandson. He also writes fiction, a lifelong passion, and has published several fantasies for children. In 1978, one of his documentary features about Vietnam war orphans won an Academy Award.

Tsuji says that both writing and pachinko are great stress relievers. Perhaps, though, his philosophy is best summed up on the Sanrio website. "A gift is a means of expressing our heartfelt feelings for others. Small gift, big smile."

Other quotes are from Tomoko Otake's interview in the Japan Times, 2 March 2008.

Source: helen-mccarthy