corporate profile - adastria.co.jp · *launching in august 2018 (tbc) women from late 20s to 40s...
TRANSCRIPT
Fashion makes every day rich and exciting.
You feel more cheerful,
you can transform into your dream self,
your complexes become your charm,
you can express what you love.
Through enjoying fashion and life, we bring
lots of excitement to the world,
To make a world full of style.
We enjoy fashion, we enjoy life.
01
Since the beginning, Adastria has consistently been trying to deliver the “excitement” to the consumer.
With our mission of creating the world where people can enjoy fashion and lifestyle filled with individual
characters, we have been evolving consistently so that we can offer the right value that the consumer is
looking for at that moment, which keeps on changing. Our growth to date has been made possible through
our effort to consistently offer the brand and the product that can connect to the consumer’s mind.
The consumers’ tastes have diversified in today’s society inundated with products and information,
where they can enjoy shopping wherever, whenever through different methods. I believe we have to always
stay close to the consumer so that we understand them better than any other company. Today, the term
“fashion” means more than apparel, and it is also used to make reference to food, living environment,
culture and art, to describe how you live a healthy, comfortable and individual life. To inspire the future for
the ever-changing consumer’s lifestyle, we will transform ourselves from “a business to make the
consumer happy from their closet,” to “a business to make the consumer’s life happy.” For us to keep
meeting the expectations of the consumer, we are committed to develop a superior value chain to local
apparel companies and to offer strong products through expanded product categories. At the same time,
we will provide the consumer with attractive shopping environment through over 1,500 multi-branded
doors in Japan and abroad, and also through digital services including our own webstore “[.st].”
Under our corporate philosophy, “Be an indispensable person, be an indispensable company” we would
like to continue our pursuit of creating “exciting” lifestyle for every person of the world, while being a
company supported by every stakeholder with confidence as the one that they feel “we trust the brand
because it is a Adastria brand,” and “we like to work for this company because this is Adastria.”
Michio Fukuda
Representative Director
Chairman & CEO
TOP MESSAGE
P l a y f a s h i o n! = U n c h a n g e d m i s s i o n
0302
From a “lifestyle brand” to
a “style editorial brand”
BUSINESSMODEL
It is the time when people can freely choose their own style out of various options.
Adastria will add color to the consumer’s sensible and creative lifestyle
with exciting values through a variety of brands.
0504
Store Fixture Management Integrated support for each value chain function
Research & Development
Brand Direction
Merchandising
Visual Merchandising
Promotions
Product planning reflecting sales information
Design
Patterning
Textiles
Production Management
Quality Control
Product development enabling differentiation
Distribution
Imports and Exports
Highly efficient delivery vitalizing the market
B&M
Web Store
Customer Relationship Management
Customer Service
Sales system that i ncreases customer satisfaction
Adastria General Support Co., Ltd.
Cu
stom
ers
Trend Information
Store Information
Sales PlanningProductionLogistics
We quickly make use of trends and store information in our product development.
Our streamlined value chain covers everything from planning, to production, distribution,
and sales, enabling us to provide new fashion to customers around the world.
The Adastria Value Chain Systemenhances value at every step throughits integrated framework.
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Blending seasonal trend on basic taste with some newness,
the brand offers comfortable and quality fashionable products
at reasonable prices that the wearer can feel good.
Men and women from 20s to 30s, and kids from 2 to 12Upper popularShopping centers and road-side stores495 m²210 in Japan, 13 overseas
Target
Price zoneStore locationsStandard store floor spaceNumber of stores
Women from 30s to 40sMiddle moderateShopping centers, fashion-business malls and department stores132 m² to 330 m²195 in Japan
Theming on quality and relaxation, LOWRYS FARM proposes
refreshing stylings consisting of timeless basic items
and seasonal trendy items for women in ordinary lifestyle.
Humans are not born whole. niko and...
adds [style] to people and their lives and
provides the joy of creating one's individuality.
Men and women from 25 to 35Lower moderateShopping centers, fashion-business malls and road-side stores264 m² to 825 m²132 in Japan, 15 overseas
With “hang around every day” as the brand message,
studio CLIP offers lifestyle items that would add
something special to the consumer’s everyday life.
Women from 20s to 30sLower moderateFashion-business malls and road-side stores165 m²149 in Japan, 38 overseas
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Bayflow offers you healthy and stylish lifestyle choices,
with which you can enjoy both the comfort of
natural waves and the latest fashion trend.
Repipi armario is a brand for teen girls
who like to stretch a little bit,
offering a mix of trend and basic styles
that the girls can adopt with confidence.
Men and women from 30s to 40sMiddle moderateShopping centers, fashion-business malls and road-side stores264 m² to 396 m²39 in Japan
Girls from 11 to 15Lower moderateFashion-business malls, road-side stores and Shopping centers100 m²37in Japan
*The number of door is as of end of February 2018 (including web stores) 0908
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
*The number of door is as of end of February 2018 (including web stores)*BARNYARDSTORM, BABYLONE, Chaos, Curensology are the brands owned by ELEMENT RULE CO., Ltd. *Velvet is a brand of Adastria USA. Inc.
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Women from 20s to 30sLower moderateShopping centers
200 m²
138 in Japan
TargetPrice zoneStore locationsStandard store floor spaceNumber of stores
Men and women from late 20s to 40sMiddle moderateRoad-side stores and shopping centers
495 m² to 660 m²
11 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women from 25 to 35Middle moderateFashion-business malls
100 m²
28 in Japan
TargetPrice zoneStore locationsStandard store floor spaceNumber of stores
Men and women from 20s to 30sMiddle moderateFashion-business malls and road-side stores
100 m²
30 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women in 20sMiddle moderateFashion-business malls and shopping centers
66 m²
64 in Japan, 1 overseas
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Men from 18 to 25Lower moderateShopping centers, fashion-business malls and road-side stores
165 m²
57 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women from 20s to 30sMiddle moderateFashion-business malls and road-side stores
100 m²
76 in Japan, 2 overseas
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women from 25 to 35Middle moderateStation buildings and fashion-business malls
82.5 m² to 166 m²
19 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women in 20sLower moderateFashion-business malls and shopping centers
83 m²
55 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women from late 20s to 40sMiddle moderate
33 m² to 66 m²
TargetPrice zoneStandard store floor space
*Launching in August 2018 (TBC)
Women from late 20s to 40sLower moderate
TargetPrice zone
*Launched in March 2018
Women from 27 to 40Middle moderate1 in Japan
TargetPrice zoneNumber of stores
Women from late 10s to early 20sLower moderateFashion-business malls and station buildings
33 m²
6 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Ageless, GenderlessPopular priceShopping centers
495 m²
12 in Japan
TargetPrice zoneStore locationsStandard store floor spaceNumber of stores
Women from 25 to 32Middle moderateFashion-business malls and shopping centers
53 m² to 66 m²
28 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Men and women from 30 to 40Middle moderateShopping malls and road-side stores in the US
100 m² to 132 m²
11 overseas
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women from 30s to 40sBetter priceRoad-side stores and Fashion-business malls
100 m² to 200 m²
TargetPrice zoneStore locations
Standard store floor space
*Launched in March 2018
Women from 30s to 40sBetter priceRoad-side stores and Fashion-business malls
100 m² to 200 m²
TargetPrice zoneStore locations
Standard store floor space
*Launched in March 2018
Women from 25 to 35Better priceFashion-business malls
66 m² to 82.5 m²
28 in Japan
TargetPrice zoneStore locationsStandard store floor spaceNumber of stores
Women from 30 to 40Middle moderateDepartment stores, station buildings and shopping centers
66m² to 116m²
40 in Japan
TargetPrice zoneStore locations
Standard store floor spaceNumber of stores
Women from 25 to 30sMiddle moderateFashion-business malls
66 m²
16 in Japan
TargetPrice zoneStore locationsStandard store floor spaceNumber of stores
FY2014 / 02
5%
0%
10%
15%
20% sales from our own website
8.0%
4.6%
FY2018 / 02
Pursuing new opportunities generated
from accelerating online business
DIGITALSTRATEGY
Growth of online sales share■Total online revenue: 33.3 billion yen (in the year ended Feb, 2018)
By merging point systems between B&M and online store [.st] across the
brand in the group, we have so far gained nearly 7 million members,
while the program has been updated to offer increased convenience to
[.st] members by making it “easier to collect, easier to use.” As the
competition on the web is expected to intensify, it is imperative for us to
swiftly respond to such requirements as globalization, insourcing of web
systems, elevation of services and adoption of the latest technologies.
Our web strategies include elevation of shopping experience leveraging
digital technology including elevation of omni-channel services for
exsiting [.st] members as well as to increase new members to further
improve consumer satisfaction and their shopping frequency.
9.1%
5.2%
11.3%
5.8%
14.6%
7.5%
16.6%
8.6%
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membership[.st]
Approximately
7.4 millionmembers
(As of May. 31, 2018)
company-owned EC site
Website(SNS)
SHOP
OMNI-CHANNEL
share of online business among non-consolidated sales
sales from other site
We are supporting Ibaraki Robots as a way to support
sports through business. Through this sponsorship,
we will invite our consumers to enjoy and feel
energized playing sports and/or supporting favorite
teams, just like they enjoy looking for a new cloth or
going out in their favorite style.
SPORTS SPONSORSHIP
ADASTRIA eat Creations has been launched to
start restaurant business, to bring exciting
and emotional experiences to the consumer
through “eating.”
Food & drinkBy fusing creativity and technology, the Lab
will star t a new movement to set a new
standard in the fashion industry by building
new and unconventional business models
Innovation lab
We have signed a S-SAP agreement with Shibuya city,
where we are headquartered. Leveraging our assets and
through this partnership between the public and private
sectors, we will engage in activities to create more
attractive city while addressing issues in the community.
* S-SAP is an agreement between the city of Shibuya, businesses and universities based in Shibuya, which aims at collaboratively addressing issues in the community.
S-SAP
NEW APPROACH FOR INCREASING BRAND VALUE
Corporate social responsibility
CORPORATE SOCIAL RESPONSIBILITY
Adastria, leveraging a fleet of 1,500 doors in Japan and abroad as a fashion company,
engage in CSR activities with focus on the following three themes to contribute to the society through business activities.
Let people shine
I t t ake s “p e o p l e” in c lu d in g consumers and employees for a business to continue growing. We are committed to create an environment where many people including the consumer can find excitement through fashion, and w here employee s c an en joy living their own life.
We are actively hiring people with disabilities at
Adastria General Support and at our retail stores. In
addition, we strive to improve working environment
by providing the employee with mental and physical
care and support such as creating barrier-free
workplaces and incorporating communication
support tools for meetings. (Share of employees
with disabilities: 2.49%/as of February 2018)
Actions we are taking;- Promoting the recruitment of workers with disabilities- Organizing diversity seminars- Offering working experiences and accepting company visits
Protect the environment
Our ability to consistently provide the consumer with satisfactory products relies on the health of the earth’s environment. Thus we consider it very important to minimize the damage to the env ironment throughout the l i fec ycle of the produc t . We are committed to take actions to minimize the impact to the environment and to support sustainable growth.
We are carrying out activities to reduce CO2
generation and energy consumption to cope
against the environmental changes and global
warming, which may give serious impact to our
business.
Actions that we are taking; - Collecting and recycling used clothes- Reducing sample disposals- Reducing shopping bags
Contribute to the community
Being a retail business, engagement with the communit y is cr i t ical . In addition to the contribution to the city of Mito, where the company was founded, we are committed to take actions to support sustainable development of the community where we open our store in Japan. Outside Japan, we are engaging in local activities not only in the community where we have our retail doors, but also the area where our production facilities are based.
We engage in community activities in Mito, the
or ig in of our business , in retur n for the
people’s support since our foundation.
Actions we are taking:- Organizing collaborative workshops with Art
Tower Mito - Sponsoring Mito Chamber Orchestra- Procurement activities with consideration to
the working environment of the labors at overseas factories
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Initiatives to increase the brand valueWe strive to grow the group further
by taking up new challenges along with various stakeholders.
Historically, headquarter of each brand had been
responsible for managing and assisting their
doors, which resulted in insufficient support for
the doors that are not visited frequently by the
HQ. Thus we have opened branch offices in each
region of the country, which support hiring and
education of the store staff for the doors in the
relevant area across the brand. We have already
seen positive results especially in the area where
securing resources is difficult, to create better
working environment to the retail staff.
As the share of female employees exceeds 70%, we
focus on supporting working moms. In addition to
fully adopting legal support pertaining childbirth and
child care, we have developed our own support
system *1 and “mom advisor” counselling system *2.
*1 Our own support system:
- Pre-maternity leave: A system to allow pregnant women to take leaves for a cer tain period before maternity leave due to physical conditions such as morning sicknesses.
- Shortened work hours: A system to allow mothers to work shorter hours. Mothers with a child/children under 4th grade are eligible.
- Child caring support: Half the cost for the nursing facilities (up to 20,000 yen) will be provided as supplement, when both parents need to leave kid(s) to a nursing facility to work.
*2 Mom advisor: Dedicated counsellor who provides advice to working moms and the managers with a working mom in her/his team.1
3
We have defined “Adastria Standard” to bring
our mission “enjoy fashion and life, and create
the world full of individualities” to life. Adastria
Standard represents the permanent value and
beliefs of all the employees.
4
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* There are four levels in consumer service skill certification; platinum, gold, silver and bronze.
With a belief that human resources are the biggest
asset for the business, we have been actively
providing support and training programs with the
employees to develop their talent to achieve their
goals, such as onboarding preparation support,
p o s i t i o n - b a s e d t r a i n i n g p r o g r a m s a n d
opportunities to take external training programs.
In addition, we have developed our unique service
sk i l l s cer t i f icat ion progr am w ith focus on
consumer satisfaction to elevate the position of
selling staff and motivate the employee.
2
Share of women among new employees:
90.3%(187 out of 207 people)
New graduates
DEVELOPMENT OF WORKING ENVIRONMENT
Since the foundation, we emphasize learning through first-hand experience.
By actively offering opportunities to the young generation, we are developing
the culture where each employee feels encouraged to take chances without
feeling afraid of failing.
* Rate of returning employees who took the leave between March 2017 and end of February 2018, and came back before end of April 2018/06/02
(as of end of Feb., 2018)
A Brand D Brand C Brand
Efforts to improve working environment
★
Branchoffices
Aggregate and enhance recruitingand training for all brands
Share of female managements:
33.8%(171 out of 506 people)
63.3% (112 out of 176 people)
Mid-career recruits
Rate of moms returning to work after maternity/child-caring leaves
90.7%(282 out of 311people)
PhilosophyBe a person needed.
Be a company needed.
Speed: We will never be afraid of change and keep challenging with speed.
Member: We take conscious responsibility as members of society.
Inspire: We respect diverse individuals and bring results through mutual interaction.
Look: We keep looking for answers from the customer's point of view.
Enjoy: We enjoy fashion, work, and life.
Culture
Action
Our answer is that we continue seeking the answer
Branch System
Training System andCertification System
Advancement and Support of Women in the Workplace
Adastria Standard
Changed company name to Adastria Co., Ltd .
1953Established Fukudaya Clothes Store Inc. in Mito, I baraki Prefecture. Began retail sales of men’s clothing.
2015
4 major transformations in the business model
Changing by the time to continue growing
ADASTRIAHISTORY
1997Started rolling out Lowrys Farm store brand
Transformed into vertically integrated SPA company.
20101982Opened jeans and casual fashion store POINT. Started turning POINT into chain stores in '84.
1950-1999 2000-2009 2010-2019 2020-
1918
Developed own store brand.Transformed into a OEM/ODM-type casual fashion chain.
CHANGE
3Scrap the old frame work.Shifted to chain store operations.
CHANGE
2
Initiated projects for vertical integration, including in-house planning and production
CHANGE
4
1973Opened Men's casual clothing store VEGA.
Enter into the blank market of Men's casual wear in Mito city.
CHANGE
1
2002 12 Listed company's stock on the second section of Tokyo Stock Exchange (TSE).
2003 03 Opened the first store in Taiwan. Began developing overseas business operations.
2004 02 Listed company's stock on the first section of Tokyo Stock Exchange (TSE).
2007 10 Started e-commerce business on own corporate website.
2008 03 Opened the first store in Hong Kong.
2010 10 Opened the first store in China.
Transformed into vertically integrated SPA company.
1953 10 Established Fukudaya Clothes Store Inc. in Mito, Ibaraki Prefecture. Began retail sales of men’s clothing.
1973 03 Opened Men's casual clothing store VEGA.
1982 09 Opened jeans and casual fashion store POINT. Started turning POINT into chain stores in '84.
1992 03 Started developing “LOWRYS FARM”. Moved into retail sales of ladies casual wear.
1993 03 Changed company name to POINT INC.
1997 Started rolling out Lowrys Farm store brand.
2000 12 Registered company’s stock in Japan Securities Dealers Association.
2012 10 Completely revamped own e-commerce site and started membership-based point service.
2013 09 Moved to a holding company structure, changing name to Adastria Holdings Co., Ltd. as the holding company.
Merged Trinity Arts Inc., and others.
2014 07 Opened the first store in Korea.
2015 03 Merged Adastria Holdings Co., Ltd. and POINT INC., TRINITY ARTS INC. Shifted to a holding company structure.
06 Changed company name to Adastria Co., Ltd.
09 Transferred control of product planning and production functions from subsidiaries.
2017 02 Incorporated ALICIA Co.,Ltd as a group company
03 Founded ELEMENT RULE Co., Ltd
04 Founded Adastria USA. Inc
10 Founded ADASTRIA eat Creations
*1 As of February 28, 2018:*2 F Y2/18*3 As of the end of February 2018, Consolidated group companies
Company Name
Headquarters
Telephone
Founded
Capital
Number of shares issued
Directors
Consolidated net sales
Business activities
Number of employees
Group companies
Number of stores
Other
Adastria Co., Ltd.
27th Floor, Shibuya Hikarie,2-21-1, Shibuya-ku, Tokyo, Japan
+81-3-5466-2010
22nd October, 1953
¥2,660 million
48,800 thousand*1
Representative Director Chairman & Chief Executive OfficerMichio Fukuda
¥222,787 million *2
Planning, producing, and retailing clothes and sundry goods
5,677 full-time employees *3
ALICIA Co.,Ltd.ELEMENT RULE Co., Ltd.Adastria eat Creations Co.,Ltd.Adastria Asia Co., Ltd.POINT(Shanghai)Co., Ltd.NATURAL NINE TRADING(SHANGHAI) LTD.POINT TW INC.Adastria Korea Co., Ltd.Adastria USA, Inc.Velvet, LLCAdastria Logistics Co., Ltd.Adastria General Support Co., Ltd.
Domestic 1, 375 / Overseas 126 *2
Number of domestic distribution centers: 6Number of overseas production bases: 10 *3
ABOUT US
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