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Look up "Japan" in the dictionary and you may be surprised to learn that the country gets second billing. In some dictionaries, the first definition of the word is lacquer: it joined the English lexicon after European traders began importing richly varnished and decorated cabinets, trunks and coffers from Japan in the 16th century.

The heyday of lacquer ware is long gone, and in recent years most Japanese retailers watched helplessly as lacquer became unfashionable and sales plummeted. But one boutique that is bucking the trend is Tokyo's Yamada Heiando, a family-run business that has overhauled product lines to meet modern tastes. In addition to the traditional banquet trays and soup bowls, Yamada Heiando offers slick accessories for the urban sophisticate, from penholders to mouse pads.

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"We had to come up with new products because Japanese lifestyles had changed so much," says company president Kenta Yamada, whose grandfather founded the business in 1919. An important step was making lacquer more affordable, partly by downplaying pricey occasional pieces in favor of everyday items like picture frames and kids' tableware. New production techniques, such as the use of synthetic varnish instead of traditional sap, helped cut costs, and savvier positioning introduced the brand to new markets. Some years ago, the Yamada Heiando store moved from Nihonbashi, Tokyo's best-known shopping area, to the hip neighborhood of Daikanyama, where funky boutiques and cafés abound. The payoff? Yamada Heiando's sales have grown 20-30% annually since 2000.

Yamada maintains some traditions, however. About half of his wares are still produced from wood and natural urushi lacquer by craftsmen in the Fukui and Ishikawa prefectures beside the Sea of Japan, where the moist air creates ideal conditions for varnishing. Yamada Heiando also remains a purveyor of lacquer ware to the Imperial Household Agency. Does that mean Japan's royals will be trying out Yamada Heiando's newfangled goods, like its natty lacquer cuff links? "I'd like them to," Yamada says, "but it's not so easy." Commoners, on the other hand, can't get enough of the stuff. For more information, call (81-3) 3464 5541.

• Tim Hornyak | Tokyo
• One Tokyo company is revamping the art of lacquerware