Soft99 Corporation
Basic Information
- Stock Code
- 4464
- Industry
- Chemicals
- Category Detail
- Auto Parts
- Prefecture
- Osaka Prefecture
- Establishment Year
- October 1954
- Listing Year
- June 2001
- Official Website
- https://www.soft99.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- Aii Iijima Kogyo, KEEPer, Daytona, CARMATE, SHOEI
Overview
Soft99 Corporation is a chemical manufacturer founded in 1954, specializing primarily in car care products, and is one of Japan's leading automotive chemical product manufacturers.
Current Situation
As of 2024, Soft99 Corporation has consolidated sales of approximately 21.6 billion yen, mainly centered on car care products. Its representative brands 'Garako' and 'Fukupika' hold high market shares within the industry, with a wide range of offerings from car coating agents to DIY repair products. In addition to automotive chemicals, it handles household chemicals and high-performance products for installation shops, and also manufactures industrial abrasives. Leveraging diverse sales channels including direct sales, wholesale, and retail, it has established a stable distribution network. In recent years, it has collaborated with domestic and international group companies on new technology development and product line expansion. It is also emphasizing environmentally considerate products and sustainable development, aiming to maintain and enhance competitiveness from 2025 onward. In 2023, KEEPer Giken's acquisition of 12.38% of its shares drew attention, with strategic partnerships underway. It continues motorsports activities domestically, contributing to brand recognition.
Trivia
Interesting Facts
- Car wax product 'Neopolish' was Japan's first domestically produced car wax.
- 'Garako' is the domestic top brand for glass coating agents.
- Sales channels cover both offline and online comprehensively.
- Brand recognition strengthened through motorsports activities.
- Expanded into tire pressure monitoring systems via KGI.
- Offers the '99 Workshop' DIY repair series spanning over 50 years.
- Has experience receiving guidance from the Fair Trade Commission for premium labeling law violations.
- Founder Yukichi Tanaka is considered a pioneer in Japan's car chemical market.
- Engages in diversified operations including hot spring bath management beyond automotive chemicals.
- History of numerous celebrities appearing in TV commercials for its products.
Hidden Connections
- Subsidiary Asumo operates the nationally renowned hot spring bath 'Gokurakuyu'.
- Capital alliance with KEEPer Giken fosters cooperation in car coating field.
- Group includes electronic equipment developers, expanding into non-chemical tech areas.
- Direct transactions with major auto dealers via diverse sales channels.
- Brand image strategy featuring long-cultivated G'ZOX Ladies.
- Company name derives from the 'Hanneri' type car wax brand.
- Fair Trade Commission exclusion order contributed to greater industry transparency.
- Motorsports activities were most active in early 2000s, aiding domestic PR.
Future Outlook
Growth Drivers
- Growth in car care products due to increasing auto maintenance demand.
- Rising market needs for environmentally compatible products.
- Expansion and diversification of DIY repair market.
- Active expansion into new business areas via group strategy.
- Strengthened digital marketing and sales channel expansion.
- Brand value enhancement through motorsports, etc.
- New market development in auto peripherals like tire pressure monitoring systems.
- Product development compliant with global environmental protection regulations.
- Expansion of demand for installation shop products amid business efficiency improvements.
- Improved brand recognition in overseas markets.
Strategic Goals
- Maintain top domestic market share in car care products.
- Expand eco-friendly product lines to over 30%.
- Achieve consolidated sales exceeding 30 billion yen.
- Stabilize diversified businesses through strengthened group management.
- Increase EC sales ratio to over 15% with enhanced digital capabilities.
- Strengthen brand image utilizing motorsports.
- Expand distribution channels domestically and overseas, acquire new customer segments.
- Maintain R&D investment at over 3% of sales.
- Introduce manufacturing processes contributing to energy and resource conservation.
- Continuously advance and elevate social contribution activities.
Business Segments
Automotive Chemical Products
- Overview
- Provides a wide range of chemical products for automotive professionals.
- Competitiveness
- Development capabilities for high-performance products and extensive distribution network
- Customers
-
- Auto repair shops
- Car dealers
- Car accessory specialty stores
- Online retailers
- Automobile manufacturers
- Products
-
- Car wax
- Glass coating agents
- Repair paints
- Tire chains
- Abrasives
Household Chemical Products
- Overview
- Handles a wide range of cleaning and repair chemical products for home use.
- Competitiveness
- Ease of use and brand strength
- Customers
-
- Home centers
- Mass retailers
- Drugstores
- Consumer cooperatives
- Products
-
- Eyeglass cleaners
- Household cleaners
- Repair chemicals
Industrial Abrasives
- Overview
- Supports industry by providing high-performance industrial abrasives.
- Competitiveness
- High quality backed by years of technical accumulation
- Customers
-
- Manufacturing industry
- Abrasives specialists
- Metal processing factories
- Products
-
- Grinding wheels
- Abrasive cloth/paper
- Abrasives
- Grinding machines
Services for Installation Shops
- Overview
- Provides high-performance repair and coating products for installation shops.
- Competitiveness
- Product development tailored to on-site installation needs
- Customers
-
- Auto body shops
- Car coating specialty shops
- Products
-
- Body coating agents
- Body repair paints
Hot Spring Bath Facility Operations
- Overview
- Contributes to local leisure services through bath facility operations.
- Competitiveness
- Stable revenue from diversified business expansion
- Customers
-
- Spa operators
- Super public bath operators
- Products
-
- Gokurakuyu Bath Facility Services
Education and Training Business
- Overview
- Engages in driving instruction and safety education through subsidiaries.
- Competitiveness
- Strengthened revenue base through diversified management
- Customers
-
- Driving schools
- Training center operators
- Products
-
- Driving instruction services
- Safety education programs
Electronic Equipment Design
- Overview
- Subsidiaries handle design and production of communications and control equipment.
- Competitiveness
- High-quality product provision leveraging technological expertise
- Customers
-
- Communications equipment manufacturers
- Control equipment manufacturers
- Products
-
- Remote monitoring devices
- Data communication terminals
Infection Prevention Product Development
- Overview
- Focuses on developing infection control products through subsidiaries.
- Competitiveness
- Proprietary technology in medical-related fields
- Customers
-
- Medical institutions
- Facility operators
- Products
-
- Infection risk reduction products
- Business efficiency equipment
Competitive Advantage
Strengths
- High domestic market share in car care product brands
- Technological prowess with diverse product lineup
- Long market experience and stable distribution network
- Synergies through collaboration with group companies
- Product quality and trust from users
- Regionally focused sales approach
- Diversified business portfolio
- Continuous investment in R&D
- Strong customer base and brand power
- Brand enhancement through motorsports activities
Competitive Advantages
- Trust as a pioneer in domestic car waxes
- Proprietary technologies such as antistatic agents
- Comprehensive lineup of high-performance products for installation shops
- Specialized product offerings for professional and consumer use
- Stable management through broad business scope under group umbrella
- Active introduction of environmentally compatible products
- Customer service via proprietary color ordering system
- Powerful distribution network across diverse sales channels
- Improved brand image through motorsports participation
- Expansion into Tire Pressure Monitoring System (TPMS) field
Threats
- Intense competition in car chemical products market
- Demand fluctuations from emerging alternative products
- Risks from fluctuating raw material prices
- Increased product development burden from stricter environmental regulations
- Impact of exchange rate fluctuations on overseas business
- Changes in product demand due to electrification of auto market
- Market pressure from increasing new entrants
- Shifts in sales channels due to changing consumer behavior
- Growth slowdown from domestic population decline
- Trust risks associated with past Fair Trade Commission violations of premium labeling laws
Innovations
2024: Development of New Garako Water-Repellent Coating Technology
- Overview
- Developed next-generation glass coating agent combining high water repellency and durability.
- Impact
- Contributes to market share expansion and brand value enhancement.
2023: Enhancement of DIY Repair Air Touch System
- Overview
- Improved air spray technology for touch-up paints to enhance ease of use.
- Impact
- Achieved higher user satisfaction and increased sales.
2022: Launch of Environmentally Friendly Product Series
- Overview
- Introduced car care products using biodegradable ingredients to reduce environmental impact.
- Impact
- Supports sustainability and improves corporate image.
2021: Improvement of High-Performance Coating Agents for Installation Shops
- Overview
- Enhanced durability and ease of application for professional glass coating agents.
- Impact
- Contributes to gaining trust from installation shop customers.
2020: Initiation of Product Development for Electric Vehicle Market
- Overview
- Began R&D for EV-specific car care products.
- Impact
- Prepares for new market development.
Sustainability
- Ongoing product improvements aimed at reducing environmental impact
- Factory energy conservation and waste reduction efforts
- Promotion of recycling programs across the group
- Expansion of eco-packaging adoption
- Implementation of environmental education activities in collaboration with local communities