Innovation

Basic Information

Stock Code
3970
Industry
Information and Communications
Category Detail
Internet Site Operations
Prefecture
Tokyo
Establishment Year
December 2000
Listing Year
December 2016
Official Website
https://www.innovation.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
LIFULL, ITmedia, Cookpad, Kakaku.com, M3, Ateam Holdings, MarkLines, Sharing Technology, TryEyes, Bengoshi.com, Kamakura Shinsho, TDSE, Brand T

Overview

Innovation was established in 2000 and is a growing company in the information and communications industry centered on sales support cloud services and online media.

Current Situation

Innovation recorded net sales of ¥3.083 billion and operating profit of ¥517 million for the fiscal year ended March 2021, demonstrating steady growth. It primarily develops the cloud service 'List Finder' for sales and marketing and the corporate online media 'IT Trend.' Headquartered in Shibuya-ku, Tokyo, it operates efficiently with a lean team of 28 people. Compared to competitors, it has strengths in operating specialized information sites and in the marketing automation field, and is expanding its customer base in niche markets. In recent years, it has focused on technology investments and content enhancement to strengthen services, and is working to build a sustainable business model. Going forward, expansion of digital marketing demand and diversification of online media revenue are expected to drive growth. Listing on the Tokyo Stock Exchange Growth Market has strengthened its fundraising capabilities, and it is pursuing a strategy to integrate system development and advertising services in the medium term. Its financial foundation is stable, and it continues management that balances improving profitability and expanding business.

Trivia

Interesting Facts

  • Achieved Tokyo Stock Exchange Mothers listing in just 16 years since founding.
  • Holds unique position in cloud service market specialized in sales efficiency.
  • IT product comparison site 'IT Trend' is widely used by SMEs.
  • Representative Director Naoto Tomita has been central to management since early founding.
  • Continuing high growth with fewer than 30 employees in a lean elite structure.
  • Engaging in business and capital alliances with various IT companies.
  • Stable relationship with auditor EY ShinNihon LLC.
  • Highly evaluated in the industry as a proven sales list creation tool.
  • Incorporating latest IT industry trends at Shibuya-ku office.
  • Pioneering presence in online marketing support for corporations.

Hidden Connections

  • Nikkei BP is among major shareholders, indicating close ties to the information industry.
  • Has capital and business collaboration foundation with peers Brand T and TDSE.
  • Utilizes multiple subsidiaries for M&A and consulting business.
  • Bridges advertisers and users through information provision site operations.
  • Aiming to accelerate growth through fundraising on Tokyo Stock Exchange Growth Market.
  • Exposed to revenue fluctuation risks linked to online advertising market trends.
  • Interested in SNS marketing area, focusing on business expansion.
  • Strength in supporting SMEs with advanced digital marketing technology.

Future Outlook

Growth Drivers

  • Expanding digital sales demand among SMEs.
  • Growth potential in online media such as IT Trend.
  • Service sophistication through AI and data analysis utilization.
  • Acceleration of digital shift in advertising market.
  • Increasing adoption of cloud services in general.

Strategic Goals

  • Comprehensive enhancement of sales support cloud service functions.
  • Achieve top domestic market share for IT Trend media.
  • Diversification and stabilization of advertising revenue base.
  • Sustainable employee growth and organizational strengthening.
  • Reinforcing social trust and sustainability.

Business Segments

Sales Support Solutions

Overview
Provides cloud-based tools and various support services aimed at improving sales activity efficiency.
Competitiveness
High-precision list provision based on specialized information and proprietary development technology
Customers
  • Small and Medium Enterprises
  • Sales Department Personnel
  • Marketing Personnel
  • IT Companies
  • Manufacturing
Products
  • List Finder
  • Sales Analysis Report Service
  • Customer Database Management
  • Sales Process Automation Tool

Online Media Operations

Overview
Centers on the IT product introduction site 'IT Trend' to provide advertising and information to corporations.
Competitiveness
Reliable information provision specialized in specific fields and strong customer base
Customers
  • IT Product Buyers
  • Corporate Customers
  • Marketing Personnel
  • Advertisers
Products
  • IT Trend
  • Advertising Placement Service
  • Marketing Content Production

System Development Services

Overview
Develops and sells package software targeted at sales support and marketing areas.
Competitiveness
Flexible development structure tailored to customer needs and specialized expertise
Customers
  • Mid-sized IT Companies
  • Software Development Companies
  • Business Consulting Firms
Products
  • Business Support Package Software
  • Custom Software Development

Competitive Advantage

Strengths

  • Expertise and technology in sales support field
  • Track record in corporate online media operations
  • Agile management with small team structure
  • Possession of marketing automation technology
  • Solid financial foundation

Competitive Advantages

  • High-precision list provision using proprietary algorithms
  • Brand power of comparison site 'IT Trend' specialized for corporations
  • Synergistic effects between cloud services and media operations
  • High customer satisfaction from close customer contact services
  • Compact organization enabling agile decision-making

Threats

  • Emergence of similar cloud services from competitors
  • Delays in responding to technological changes in IT industry
  • Declining prices in online advertising market
  • Challenges in securing talent
  • Restrictions on marketing methods due to legal regulations

Innovations

2021: Marketing Automation Function Enhancement

Overview
Equipped List Finder with AI analysis to improve sales list accuracy.
Impact
10% improvement in customer acquisition rate

2022: IT Trend Site UI/UX Renewal

Overview
Improved site design and navigation to enhance user convenience.
Impact
15% increase in visitors

2023: New Online Advertising Product Development

Overview
Diversified corporate advertising packages to strengthen advertising revenue base.
Impact
20% increase in advertising sales

Sustainability

  • Promoting paperless operations through digital workplace initiatives
  • Building remote work environment and improving employee satisfaction
  • Participating in local IT education support programs
  • Improving in-house energy efficiency and reducing CO2 emissions
  • Strengthening security measures for information protection