Generation Pass

Basic Information

Stock Code
3195
Industry
Retail
Category Detail
Internet Site Operations
Prefecture
Tokyo
Establishment Year
January 2002
Listing Year
September 2014
Official Website
https://www.genepa.com/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Itami Art, ZOZO, Hamee, Market Enterprise, BEENOS, Studio Ata o, Jade Group, Axel Mark, iSTYLE, Enigmo, Ortho Plus, Apprix, Intertrade, Temona, Mercari, Rakuten Group, POPER, Trace on Product, C Channel, Media Research Institute

Overview

Generation Pass is an internet site operation company founded in 2002, mainly deploying numerous online shopping sites centered on 'Rikomen-do' on Rakuten Market and others.

Current Situation

Generation Pass mainly engages in e-commerce business, providing a wide range of products through online shopping. In its recent financial situation, it has achieved stable growth, with listings on EC platforms including Rakuten forming the mainstay of its revenue base. As differentiation from competitors, it has strengths in numerous sales channels and handling a wide variety of items. It is also focusing on improving operational efficiency of sites technologically and enhancing customer satisfaction. Toward sustainable management, it is promoting initiatives such as environmentally friendly delivery and plastic reduction. In the medium to long term, it aims for further growth through AI utilization and introduction of new sales methods. Recent focus areas are logistics efficiency improvement and diversification of sales channels, working to expand its customer base. Additionally, it is considering expansion of B2B commissioned services as a new business, positioning it as a pillar of its medium-term strategy.

Trivia

Interesting Facts

  • Long-established brand with 'Rikomen-do' operated on Rakuten Market for over 20 years
  • Pioneering company that improved efficiency of compact urban logistics center through automation
  • Possesses proprietary IT platform for centralized management of numerous EC stores
  • Achieves diversified management through multi-item deployment specialized in online shopping
  • Main household goods products have high recognition in the Kanto region
  • Annual order volume exceeds 1 million, with stable order reception system
  • In-house IT team developed and operates tracking service for all deliveries
  • Lower return rate compared to competitors, with high customer satisfaction
  • In-house marketing specialist team enables rapid response
  • Decentralized delivery base network reduces delivery delay risks
  • Strengthening direct delivery model from primary distribution to end consumers
  • Significantly enhanced logistics capabilities with new warehouse operation in 2023
  • Operates over 40 EC sites in a multi-channel system
  • Focuses on IT talent development in new graduate hiring
  • Holds annual in-house hackathons to promote new service creation

Hidden Connections

  • Long-term collaboration with Rakuten Group for participation in large-scale promotional campaigns
  • Business partnerships with numerous competitors in logistics and marketing areas
  • Collaboration with local governments to promote EC delivery of local specialties
  • Some brand products are supplied via OEM from famous home appliance manufacturers
  • Industry-academia collaboration with domestic universities for IT talent development
  • Collaborated with environmental NPOs on packaging material reduction campaigns
  • Logistics optimization technology provided to delivery operators in other industries
  • Technical collaboration with group buying site operators to strengthen sales promotion

Future Outlook

Growth Drivers

  • Ongoing expansion of EC market and consumer shift to online
  • Spread of sales optimization technology using AI and data analysis
  • Strengthening and expansion of multi-channel sales system
  • Logistics automation and efficient delivery network
  • Digital marketing for acquiring new customer segments
  • Promotion of sustainable management and environmentally considerate businesses
  • Increasing demand for commissioned services from small and medium EC operators
  • Mobile EC growth due to increased smartphone usage
  • Diverse customer response through product lineup expansion
  • Business efficiency solutions corresponding to work style reforms
  • Exploration and deployment of overseas EC business
  • Brand strengthening to avoid price competition

Strategic Goals

  • Market share expansion in domestic and international EC
  • Advanced customer analysis using AI
  • Achieve 60% sustainable delivery rate
  • Multiply annual commissioned EC site operations
  • Achieve carbon neutrality across the company
  • New B2B business sales of 5 billion yen
  • Strengthen deployment of logistics bases in major cities nationwide
  • Maintain customer satisfaction above 90%
  • Improve business efficiency by 30% through internal DX promotion
  • Increase sales by 20% through digital advertising investment

Business Segments

Online Shopping Commissioned Services

Overview
Leverages EC site operation know-how to support online shopping businesses of small and medium enterprises.
Competitiveness
Operational optimization based on extensive EC operation experience
Customers
  • Small and Medium EC Operators
  • Sole Proprietors
  • Retailers
  • Manufacturers
  • Vendor Companies
Products
  • Online Store Development
  • Product Management Support
  • Order Processing Agency
  • Logistics Management Support
  • Marketing Support

Logistics and Delivery Services

Overview
Improves efficiency of essential logistics operations for online shopping and enhances reliability.
Competitiveness
High delivery accuracy through IT system integration
Customers
  • Online Retailers
  • Retail Chains
  • Manufacturers
  • Warehousing Companies
  • Logistics Companies
Products
  • Warehouse Management
  • Delivery Optimization
  • Digital Tracking System
  • Inventory Management
  • Returns Processing

Marketing Support

Overview
Provides comprehensive support for sales promotion activities essential for activating online shopping.
Competitiveness
Effective proposal capabilities based on data analysis
Customers
  • EC Companies
  • Retail Companies
  • Brand Operators
  • Advertising Agencies
  • IT Vendors
Products
  • Digital Advertising Management
  • SEO Measures
  • Customer Analysis
  • Content Creation
  • SNS Management

Site Development and Operation

Overview
Provides optimal online store development and ongoing operation.
Competitiveness
Extensive development track record and rapid response capability
Customers
  • Manufacturers
  • Retailers
  • Service Providers
  • Small and Medium Enterprises
  • Sole Proprietors
Products
  • EC Site Design
  • UI/UX Improvement
  • Maintenance and Operation Support
  • Mobile Compatibility
  • Security Enhancement

Product Procurement and Management

Overview
Realizes stable product supply for online shopping businesses.
Competitiveness
Extensive procurement network and management system
Customers
  • Online Retailers
  • Retail Stores
  • Brand Owners
  • Importers
  • Wholesalers
Products
  • Product Sourcing
  • Inventory Management System
  • Supply Chain Management
  • Quality Inspection
  • Returns and Exchanges Handling

Competitive Advantage

Strengths

  • Extensive e-commerce operation experience
  • Diverse product category deployment
  • Sales power enhancement through multiple channels
  • High recognition on Rakuten Market
  • Ongoing logistics efficiency initiatives
  • Customer response and marketing support capabilities
  • Operational efficiency utilizing IT systems
  • Stable financial base
  • Know-how in operating numerous EC stores
  • Flexible commissioned service deployment
  • Strong partner collaboration
  • High brand recognition
  • Rapid market response capability
  • Customer understanding through data analysis
  • Access to diverse customer segments

Competitive Advantages

  • Customer attraction power through numerous listings on multiple EC malls
  • One-stop commissioned support system for EC businesses
  • Realizes logistics and delivery efficiency with IT
  • Customer needs response through diverse product deployment
  • Affordable and rapid EC site operation services
  • Integration of extensive real and online data
  • Close customer relationship building and follow-up system
  • Advanced SEO and digital marketing対応
  • Integrated services from site development to operation and logistics
  • High brand recognition on Rakuten Market
  • Provision of scalable EC infrastructure
  • Product procurement strength through direct manufacturer transactions
  • Hybrid online-offline sales strategy
  • Precise customer segmentation implementation
  • Regional base network to reduce logistics delay risks

Threats

  • Intense price competition in the EC market
  • Risks from rule changes by major EC platforms
  • Profit pressure from rising logistics costs
  • Rapid changes in consumer trends
  • Intensified competition from new entrants
  • Impact of strengthened personal information protection regulations
  • Procurement cost fluctuations due to exchange rate changes
  • Decline in customer satisfaction from delivery delays
  • Burden of responding to online fraud and unauthorized transactions
  • Instability in raw material prices
  • Delays in adapting to technological advancements
  • Supply chain risks from natural disasters

Innovations

2024: Introduction of AI-based Customer Purchase Trend Analysis

Overview
Introduced proprietary AI analysis tool to precisely analyze purchase trends.
Impact
Sales efficiency improved by 15%, and inventory optimization achieved.

2023: Introduction of Automation Equipment at Logistics Center

Overview
Adopted picking robots and automated sorting systems to significantly improve work efficiency.
Impact
Reduced logistics costs by 10% annually.

2022: Development of New EC Site Platform

Overview
Developed proprietary EC platform with multi-language support and smartphone optimization.
Impact
Increased customer access from Japan and overseas by 20%.

2021: Introduction of Environmentally Friendly Packaging

Overview
Began using recycled paper as main material for packaging to reduce environmental impact.
Impact
Reduced annual packaging waste by 30%.

2020: Improvement of Customer Convenience through Diversified Payment Systems

Overview
Introduced major electronic money and smartphone payments to improve purchase rates.
Impact
Reduced cart abandonment rate by 5%.

Sustainability

  • Promotion of packaging using recycled resources
  • Promotion of low-environmental-impact logistics
  • Internal promotion of paperless operations
  • Compliance with environmental standards in supply chain
  • Internal carbon footprint reduction activities
  • Promotion of environmental conservation through collaboration with local communities
  • Employee environmental awareness training
  • Expansion of environmentally friendly products
  • Increase in waste recycling rate
  • Ongoing promotion of energy consumption efficiency