Transaction Media Networks

Basic Information

Stock Code
5258
Industry
Information and Communications Industry
Category Detail
Consumer & Business Finance
Prefecture
Tokyo
Establishment Year
March 2008
Listing Year
April 2023
Official Website
https://www.tm-nets.com/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Wellnet, Miratap, Billing System, GMO Payment Gateway, GMO Financial Gate, ROBOT PAYMENT, Digital Garage, Second X, Net Stars, Net Protections Holdings, Breech

Overview

Transaction Media Networks is a growth company founded in 2008 and based in Tokyo, specializing in the domestic financial information services market through the provision of electronic payment terminals and payment systems.

Current Situation

Transaction Media Networks has steadily expanded its business since its founding and listed on the Tokyo Stock Exchange in April 2023. Its core electronic payment-related services provide payment terminals and payment processing systems tailored for retail stores, establishing a solid customer base in the domestic market. Recent annual sales are estimated at several billion yen, with major clients spanning a wide range of industries including retail stores and regional transportation operators. On the technology front, the company focuses on facial recognition payments and cloud POS system development to promote business efficiency through digitalization. Although smaller in scale compared to competitors, its strengths include an agile development structure and customer-oriented service delivery. It contributes to a sustainable society by supporting cashless initiatives and CO2 reduction via improved operational efficiency. Looking ahead, it aims to deepen regionally specialized services in the payments sector, enhance B2B system integrations, and strategically advance digital transformation (DX). The company is also focusing on pioneering new sectors such as the bus industry in public transportation while continuing investments geared toward sustainable growth.

Trivia

Interesting Facts

  • Achieved Tokyo Stock Exchange listing in 15 years since founding.
  • Facial recognition payment system verification for route buses is pioneering in the industry.
  • Supports DX for local retail stores using cloud POS.
  • One of the few companies providing end-to-end diverse payment services.
  • High support in Tokyo's startup community.
  • Successfully differentiated in the competitive payment agency market.
  • Pioneering new market in public transportation x cashless payments.
  • Employs numerous certified engineers specialized in payment technologies.
  • Founded in 2008, coinciding with the Lehman Shock year, marking a challenging start.
  • One of the first attempts to apply facial recognition technology to payments.
  • Established foundation for multi-industry expansion via cloud-based POS adoption.
  • Actively investing blockchain technology in finance software development.
  • Contributes to digitalization of small and medium stores through technology and consulting.
  • Covers wide customer needs with support for diverse payment methods.
  • Accelerating innovation through participation in Nikkei subsidy-utilizing projects.

Hidden Connections

  • Facial recognition technology for public transportation payments was co-developed with leading IT companies.
  • Regional electronic money services are part of revitalization initiatives in collaboration with local governments.
  • Payment systems underwent safety verification tests with multiple major card companies.
  • Regularly holds technology information exchanges with multiple competitors to aim for market expansion.
  • Bus DX collaboration with Niigata Kotsu serves as a model case for other regional public transportation.
  • Incorporates technology from AI venture companies into facial recognition systems.
  • Achieved system integration with ERP vendors in the payment agency domain.
  • Utilizes overseas partner companies for circuit board design in some payment terminal products.

Future Outlook

Growth Drivers

  • Rapid expansion and penetration of the cashless payments market.
  • Increasing demand for operational efficiency from societal DX initiatives.
  • Demand for contactless payment technologies in public transportation.
  • Growing need for diverse payment methods in retail.
  • New service development opportunities from blockchain adoption.
  • Further cost reductions and accuracy improvements in facial recognition technology.
  • Expansion of electronic money adoption amid regional economic revitalization.
  • New business area development from financial regulation easing.
  • Platform enhancements capturing diverse customer needs.
  • Increasing demand for payment infrastructure in overseas markets, especially Asia.
  • Rising interest in sustainability and environmentally considerate technologies.
  • Growing demand for business support services using AI and data analysis.

Strategic Goals

  • Achieve top 5 position in the domestic payment systems market.
  • Nationwide rollout of facial recognition payment services in public transportation.
  • Expand cloud POS system user stores to 100,000.
  • Reach 3 billion yen in sales from B2B finance system development business.
  • Introduce sustainable products and services across all product lines.
  • Complete security enhancements and obtain ISO international certifications.
  • Build key partnerships for regional revitalization support.
  • Enhance competitiveness and market share through emerging technology adoption.
  • Grow sales to approximately 5 times FY2023 levels.
  • Maximize track record in supporting cashless adoption for domestic SMEs.

Business Segments

Retail Store Payment Services

Overview
Provides design, implementation, and operation of integrated payment systems for retailers.
Competitiveness
Integrated platform supporting diverse payment methods
Customers
  • Retail stores
  • Supermarkets
  • Specialty stores
  • Convenience stores
  • Drugstores
Products
  • Payment terminals
  • Cloud POS systems
  • Payment agency services
  • Payment-related software

Public Transportation Payment Solutions

Overview
Technology services supporting contactless payments and improved customer convenience in regional transportation.
Competitiveness
Advanced payment experience leveraging facial recognition technology
Customers
  • Local bus companies
  • Regional transportation operators
  • Railway operators
Products
  • Facial recognition payment systems
  • In-bus payment terminals
  • Fare settlement software

System Provision for Financial Institutions

Overview
Provides software to streamline payment operations for banks and financial services.
Competitiveness
High-security solutions optimized for financial operations
Customers
  • Regional banks
  • Credit unions
  • Financial service companies
Products
  • Payment system customization
  • Remittance management tools
  • Payment data analysis tools

Payment Data Analysis and Consulting

Overview
Supports operational efficiency and sales growth through payment data analysis.
Competitiveness
Extensive industry knowledge specialized in payments
Customers
  • Retail chains
  • Transportation operators
  • Financial institutions
  • IT companies
Products
  • Data analysis services
  • Business improvement proposals
  • Payment optimization consulting

Electronic Money Issuance and Management Services

Overview
Supports introduction of electronic money for regional revitalization and events.
Competitiveness
Flexible customization and rapid implementation
Customers
  • Local shopping districts
  • Event organizers
  • Small businesses
Products
  • Electronic money platform
  • Recharge and payment management tools

Payment Solutions for SMEs

Overview
Supports payment environment setup for small businesses at low cost.
Competitiveness
Easy-to-implement products with excellent usability
Customers
  • Small and medium-sized retail stores
  • Restaurants
  • Accommodation providers
Products
  • Small-scale payment terminals
  • Simplified POS systems
  • Online payment services

Network Equipment Wholesaling

Overview
Strength in wholesaling third-party network equipment and intermediate distribution.
Competitiveness
Extensive product lineup and logistics capabilities
Customers
  • IT vendors
  • System integrators
  • Small and medium-sized enterprises
Products
  • Servers
  • Storage
  • Network equipment
  • Software

Finance-Oriented Software Development

Overview
Develops software for finance and payments leveraging cutting-edge technologies.
Competitiveness
Advanced development capabilities supporting blockchain
Customers
  • Financial institutions
  • Fintech companies
  • Payment agency firms
Products
  • Blockchain-applied software
  • Remittance systems
  • Payment platforms

Competitive Advantage

Strengths

  • Extensive lineup of payment terminal products
  • Development capabilities for cloud POS systems
  • Advanced payment technology using facial recognition
  • Customer-focused support system
  • Flexibility in serving small-scale clients
  • Specialized knowledge in the financial industry
  • Stable intermediate distribution network
  • Rapid adoption of new technologies
  • Credibility from Tokyo Stock Exchange listing
  • Unique expansion in regional transportation
  • Support for diverse payment methods
  • Dual focus on system development and wholesaling
  • Entry into the expanding cashless market
  • Strengthened collaborative partnerships
  • Broad customer base

Competitive Advantages

  • End-to-end service from payment agency to terminal provision
  • Proven track record in facial recognition bus boarding payments
  • Cloud POS systems promoting store operation efficiency
  • Flexible, low-cost implementation support for small and medium stores
  • Finance software development leveraging blockchain technology
  • Broad sales network through diverse distribution channels
  • Reliability and transparency as a listed company
  • Rapid product supply via intermediate distribution
  • Differentiation through specialization in regional transportation and DX
  • Business support via data analysis services
  • Expansion of collaborations with strategic partner companies
  • Diversity of products and services covering wide industries
  • Enhanced competitive edge through latest technology adoption
  • Deep expertise and track record built through industry specialization
  • Advanced platform supporting diverse payment methods

Threats

  • Intensifying competition with major payment agencies
  • Risk of failing to keep pace with rapid technological advancements
  • Potential strengthening of cashless payment regulations
  • Threat of cybersecurity incidents
  • Decline in payment volume due to poor performance of retail clients
  • Slow adoption of DX in regional public transportation
  • Uncertainty in demand amid rapid market changes
  • Price competition from new entrants
  • Risk of contraction in certain client industries due to COVID impact
  • Rising technical barriers in payment service integrations
  • Impact of exchange rate fluctuations on overseas procurement costs
  • Effects from strengthened financial IT regulations

Innovations

2023: Facial Recognition Payment Verification Experiment for Bus Boarding and Alighting

Overview
Conducted verification of facial recognition payments on route buses in collaboration with Kanetsu Kotsu.
Impact
Contributes to promoting cashless adoption in regional transportation

2023: Cloud-Based POS System Implementation

Overview
Deployed cloud-based POS systems to multiple retail stores.
Impact
Achieved operational efficiency and cost reductions for stores

2024: Application of Blockchain Technology to Payment Systems

Overview
Introduced tamper-proof blockchain technology into finance-oriented systems.
Impact
Successfully enhanced transaction transparency and reliability

2023: Development of New Cashless Payment Terminals for Retail Stores

Overview
Developed next-generation terminals supporting diverse payment methods.
Impact
Contributed to improved customer satisfaction and sales expansion

2022: Launch of Payment Data Analysis Services

Overview
Rolled out business improvement support services based on payment data analysis.
Impact
Contributed to supporting client sales growth

Sustainability

  • Paper resource reduction through promotion of cashless society
  • Energy-efficient design and recycling promotion for payment terminals
  • Contribution to CO2 reduction via digitalization support for public transportation
  • Electronic money services aimed at regional economic revitalization
  • Information protection through strengthened cybersecurity