Up Garage Group

Basic Information

Stock Code
7134
Industry
Retail Industry
Category Detail
Automobile Retailers
Prefecture
Kanagawa Prefecture
Establishment Year
April 2014
Listing Year
December 2021
Official Website
https://www.upgarage-g.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Apple International, Nextage, Trust, Bike King & Company, Aucnet, USS, DM Sol, Well Being Group, IDOM, Sanko Sangyo, Optimus Group, Genex, Key Holdings

Overview

Up Garage Group, founded in 1999, is a leading company in the used car and motorcycle parts retail industry, with nationwide operations, diverse buyback services, and an extensive store network.

Current Situation

Up Garage Group has recent consolidated sales of approximately 9.9 billion yen, centered on used car parts sales, operating over 230 stores nationwide. Primarily in the Tokyo metropolitan area, it runs company-owned and franchise stores, diversifying buyback and sales channels. It holds a high market share in the used car and motorcycle parts market, with strengths in efficient store operations and comprehensive customer service. The company also features an IT division and human resources referral business for diversification. Recently, it completed group reorganization through corporate restructuring, transitioning from a holding company structure to operating companies. It actively participates in motorsports to boost brand recognition. Moving forward, it focuses on enhancing e-commerce, launching new services, expanding community-oriented stores, and pursuing further growth. It promotes environmental considerations and sustainability efforts to strengthen customer trust.

Trivia

Interesting Facts

  • Largest number of stores among used car accessories specialist chains
  • Gross profit linkage across over 230 stores nationwide
  • Top-class diverse buyback services in the industry
  • Enhanced brand awareness through SUPER GT participation
  • Brand name derived from abbreviation of Used Parts
  • Operates more than 5 business formats
  • About 30% of company-owned stores outside Tokyo metro area
  • Overseas subsidiary in Bangkok for Asian expansion
  • Relisted on JASDAQ shortly after founding
  • Expanded fan base through Drift Angels activities
  • Builds trust with warranty programs for users
  • Operates e-commerce site Croooober
  • Initially handled outdoor gear at launch
  • History of operating corporate-focused specialty stores
  • Underwent management buyout, delisting, then relisting

Hidden Connections

  • Strong ties with popular racers and motorsports teams enhance brand power
  • Extensive partnerships with key players in the used goods distribution industry
  • Maintains strict unified brand standards despite majority franchise stores
  • Diversified with IT companies and talent agencies under its umbrella
  • Expanded from used car accessories specialist to IT and HR referral
  • Built image as environmentally conscious company centered on reuse business
  • Up Garage Drift Angels enjoys wide recognition inside and outside the industry
  • New brand Croooober is key to bolstering online sales targeting younger demographics

Future Outlook

Growth Drivers

  • Increased demand from recovery in used car popularity in the used car accessories market
  • Expansion of stores in regional cities
  • Sales promotion via e-commerce and digital technologies
  • Synergy creation from diversified services
  • Brand strategy leveraging motorsports

Strategic Goals

  • Expand to over 300 domestic stores
  • Achieve over 30% e-commerce sales ratio
  • Thoroughly improve used goods circulation rate to reduce environmental impact
  • Surpass ¥5 billion in sales from new business areas
  • Multi-store overseas expansion and community integration

Business Segments

Used Car Parts Wholesale

Overview
Corporate business providing bulk wholesale and distribution support for used parts.
Competitiveness
Extensive product inventory and rapid delivery system
Customers
  • Used Car Dealerships
  • Repair Shops
  • Car Accessory Shops
  • Dealers
  • Auto Repair Businesses
  • Parts Trading Companies
  • Motorcycle Shops
  • Recycling Companies
Products
  • Used Tires and Wheels
  • Used Engine Parts
  • Exterior Parts
  • Interior Parts
  • Electrical Components
  • Maintenance Tools
  • Motorcycle Parts
  • Car Navigation Systems

IT System Solutions

Overview
Development and operation services for systems specialized in the reuse market.
Competitiveness
Customized solutions leveraging industry knowledge
Customers
  • Retailers
  • Logistics Companies
  • Sales Management Providers
  • Franchise Stores
  • E-commerce Operators
Products
  • Sales Management Systems
  • Inventory Management Systems
  • E-commerce Site Development Support
  • Customer Management Systems

Human Resources Referral and Dispatch

Overview
Human resources services specialized in automotive and IT industries.
Competitiveness
High matching accuracy utilizing industry networks
Customers
  • Retail Companies
  • Maintenance Companies
  • Logistics Companies
  • Manufacturing
  • IT Companies
Products
  • Human Resources Referral Services
  • Staff Dispatch Services
  • Job Support
  • Career Consulting

Used Goods Buyback Services

Overview
Offers diverse buyback methods to strengthen inventory acquisition.
Competitiveness
Nationwide network and rapid appraisals
Customers
  • Individual Customers
  • Corporate Customers
  • Franchise Stores
  • Online Sellers
Products
  • In-Store Buyback
  • On-Site Buyback
  • Mail-Order Buyback
  • Full Vehicle Buyback

Competitive Advantage

Strengths

  • Extensive network of over 230 stores nationwide
  • Rich product lineup specialized in used car and motorcycle parts
  • Customer retention through diverse buyback services
  • Effective operations of company-owned and franchise stores
  • Business diversification via IT and HR services
  • Racing participation supporting brand recognition
  • Stable financial base with consolidated sales of approx. 9.9 billion yen
  • Group oversight by experienced management
  • Sales channel expansion using web and e-commerce
  • Japan's largest used car accessories chain

Competitive Advantages

  • Highest market penetration as the leading used car accessories chain
  • Enhanced customer satisfaction through broad product range and warranties
  • Diverse buyback channels including on-site and mail-order
  • Efficient operations enabled by in-group system development
  • Penetration into regional markets through aggressive store expansion
  • Flexible franchise model tailored to industry characteristics
  • Elevated brand value through motorsports activities
  • Strong product sourcing aligned with used car market needs
  • Integrated customer service from buyback to sales
  • Synergies with related businesses (HR referral, web operations)

Threats

  • Intensifying competition in used goods market leading to price wars
  • Risk of reduced consumption due to economic fluctuations
  • Restrictions on used goods handling from stricter regulations
  • Impact from changes in new car sales trends
  • Declining foot traffic from rising online retail competition
  • Challenges in maintaining franchise store operation quality
  • Rising costs for environmental regulation compliance
  • Strengthening of automaker proprietary sales for maintenance parts
  • Difficulties in talent acquisition amid labor environment changes
  • Profit pressure from increasing logistics costs

Innovations

2024: Major Enhancement of E-commerce Site Functions

Overview
Expanded the online sales platform and improved customer experience.
Impact
Online sales ratio exceeds 20%

2023: Introduction of AI-Powered Inventory Optimization System

Overview
Developed and implemented AI-based inter-store inventory allocation and demand forecasting system.
Impact
Inventory turnover improved by 15%

2022: Expansion of Diverse Buyback Channels

Overview
Expanded services for mail-order and on-site buybacks beyond stores.
Impact
Buyback volume increased 10% year-over-year

2021: Store Renovations and Brand Unification

Overview
Strengthened unified brand image and improved store environments at major locations nationwide.
Impact
Contributed to higher customer satisfaction

2020: Business Consolidation through Group Reorganization

Overview
Integrated Clubber Group and Up Garage subsidiaries to improve management efficiency.
Impact
Achieved cost reductions and faster decision-making

Sustainability

  • Promoting resource circulation through used goods distribution
  • Waste reduction and recycling promotion programs
  • Energy efficiency improvements in stores
  • Enhancing employee work-life balance and diversity
  • Environmental education activities in collaboration with local communities