However, Sanrio has faced trouble growing its licensing business in recent years: The ratio of global royalty fees to sales dropped 11% in the 2019 fiscal year from a year earlier.
Sanrio, meanwhile, has grown into a retail and entertainment behemoth with amusement parks and restaurants in Japan, the United States and the United Kingdom. Tomokuni Tsuji, meanwhile, already has a special connection with Hello Kitty: They share the same birthday, November 1. Tomokuni is 14 years younger.
Sanrio fans are already comparing the new CEO to the Sanrio character Pompompurin, a beret-clad golden retriever.Despite Hello Kitty's enduring popularity, earnings at Sanrio have been under pressure for years. For the year ended March, net profits plunged 95% from the previous year to 191 million yen , due largely to a drop in merchandise sales and the closure of its theme parks. Sales fell 6.
Family-run businesses in Japan often pass on the reins to their eldest sons. The founder's son, Kunihiko, died in 2013 from heart failure, according to the company.Sanrio president Shintaro Tsuji is handing the company over to his grandson, Tomokuni Tsuji. CNN Related Stories