During the July 2016 term, we switched our organizational structure to that of a pure holding company and changed our name to "Ci:z Holdings Co., Ltd.," with the goal of expanding our business areas. As one part of these efforts, in February 2016 we acquired "Ci:z Labo Co., Ltd.," a company involved in the beauty clinic/salon business, as a member of our group. This term was a year of reform for our company--for example, we formed a capital and business alliance with a "Johnson & Johnson (J&J)" group company.
We had been seeking a partner to expand our business overseas, so this alliance with a J&J group company was an extremely significant and important project for us. The fact that our corporate philosophies of valuing customers first are the same, that the products and services we develop have the same medical care background, and that the directions we want to head in are highly compatible, were all important elements in forming this alliance.
The July 2017 term is the first fiscal year of our Fifth Medium-term Management Plan, and we continue to promote and work toward two goals: (I) expanding brand value and (II) utilizing our customer database. In Japan we are attempting to reach stable growth of our Dr.Ci:Labo business, strengthening policies toward recovering sales for our Aqua-Collagen Series, and going forward with polices toward acquiring new customers. We will launch a new customer service in January 2017. We will implement a new system in order to increase the satisfaction of our best customers and to win business back from dormant customers. For our beauty clinic/salon business, we plan to open new stores in Japan and develop locations overseas.
In December 1998, we commercialized the "Aqua-Collagen-Gel" product that rose from the dermatology clinic I was running as director. It has now been 18 years since forming our group, during which we have grown focusing on the Dr.Ci:Labo brand.
Although we have continued to grow as a leading Japanese medical cosmetics company, the Japanese cosmetics market continues to stagnate and it is becoming more and more difficult to meet medium- to long-term customer demand by developing a single brand only. We therefore plan to go beyond medical cosmetics by expanding our business domains as we incorporate OTC medical products and other brands, and by actively expanding product development in overseas regions.
Our group has won the support of many customers as a company with a medical background that releases high quality and highly functional medical cosmetics produced under the supervision of dermatologists, by selling our products in multiple channels including mail-order, wholesale distribution, and face-to-face sales.
Going forward, we will continue to enhance products and services that can please and move our many customers and increase the value of our products and services in our customers' daily lives by making proactive use of the value of our Dr.Ci:Labo brand that has been built and our customer database that contains information on over 10 million people. We will also strive to expand our brand across the globe, so that our products will be cherished by people all over the world for many years to come.