Nikon on Wednesday unveiled its first mirrorless cameras, Nikon 1 J1 and Nikon 1 V1, beating its rival Canon in making such an official announcement for the emerging market for small, interchangeable-lens cameras.

"A new market is developing among people who feel a compact camera is not quite good enough," Yasuyuki Okamoto, head of the company's imaging division, told reporters, adding that he saw the camera's small size as one of its main appeals.

Both Nikon and Canon lead the market for the bulky single-lens reflex cameras used by professional photographers and enthusiasts. Mirrorless cameras have a lot of the features as these bulky DSLRs, except the features come in a handier smaller units, which travelers and light packers prefer.

They have large sensors, giving good picture quality, but no optical viewfinders, enabling manufacturers to keep the camera body smaller and lighter by leaving the mirror out of the structure.

The long-rumored Nikon 1 J1 and Nikon 1 V1 are priced at $915 and $1300, respectively, to go on sale on October 20, the company said at a launch in Tokyo.

The handy format is popular in Japan, where consumers prefer easy-to-carry products, but the market appreciation for such in North America and Europe are not as warm.

A Reuters report noted mirrorless cameras accounted for 31 per cent of all interchangeable lens models sold in Japan in 2010, but only 10 percent in the United States, according to research firm IDC.

Global mirrorless shipments reached 2.1 million units in 2010, but IDC says its forecasts for 2011 will depend on new entrants and economic conditions towards the last quarter of the year, where spending usually rises due to the holidays.

"This is turning into a tricky market trend," said Chris Chute, research manager in charge of digital imaging at IDC. "It is clear that while the mirrorless segment is doing well in Japan and a few other countries, it is facing hurdles in the West."

He added that the entry of a big name such as Nikon could lift the whole segment, but said price would be an important factor, specifying the $500-$800 range as most likely to sell well.

"We do not see a high-priced mirrorless model having as great a chance of success," he said.

Sony's NEX 5-D is available online for about $570, including two lenses.

Shares in Nikon were up 1.2 per cent by late Wednesday afternoon. Industry observers are saying the rise is influenced by the mirrorless launch.