Nojima

Basic Information

Stock Code
7419
Industry
Retail
Category Detail
Consumer Electronics Retailers
Prefecture
Kanagawa Prefecture
Establishment Year
April 1962
Listing Year
December 1994
Official Website
https://www.nojima.co.jp
TSE Information
TSE Information
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Other Companies
Edion, Bic Camera, TOA, Kojima, Sanrio, Joshin, Shimamura, K's Holdings, Yamada Holdings

Overview

Nojima is a home appliance retailer founded in 1962 and based in Kanagawa Prefecture. It has strengths in digital home appliances and mobile phone sales centered in the Tokyo metropolitan area and maintains stable competitiveness within the industry.

Current Situation

Nojima recorded consolidated net sales of 761.3 billion yen, operating profit of 30.6 billion yen, and net profit of approximately 20 billion yen for the fiscal year ended March 2024, maintaining a solid business foundation. Its core businesses of home appliance retail stores and mobile phone sales operate 259 stores mainly in the Tokyo metropolitan area, utilizing diverse sales channels. Through a wealth of affiliated companies, it is advancing IT communication services and overseas expansion, with particularly notable business growth in the Cambodia-Singapore region. As innovations, it continues active investments in digital products and services, with diversification underway through acquisitions such as the satellite broadcasting business and VAIO. It also considers sustainability, strengthening fair trading practices in response to recommendations from the Japan Fair Trade Commission. In the future, it will focus on expanding its store network and deepening its digital ecosystem, enhancing its product lineup and sales capabilities through the 2025 VAIO acquisition. It is also actively engaged in sports and regional contribution activities to strengthen its corporate brand's local embeddedness.

Trivia

Interesting Facts

  • Originally founded in 1959 as an electrical machinery company
  • Largest store network in the Tokyo metropolitan area in appliance retail
  • Operates private brand 'EL SONIC'
  • Opened Japan's first paperless mobile shop
  • Industry-first naming rights contract with regional sports team
  • Fully acquired VAIO for business expansion beyond appliances
  • Satellite broadcasting entry as cross-industry diversification example
  • Grew by acquiring former Laox stores intact
  • Transitioned points service from magnetic to mobile
  • Characterized by long-term family management

Hidden Connections

  • Nojima founding family remains major shareholders maintaining family management
  • Strong collaboration with affiliate group companies in IT and mobile fields
  • Absorbed former Laox employees contributing to industry restructuring
  • Pioneering in regional brand building through sports team naming rights
  • Unique experience dispatching executives to Suruga Bank as vice chairman
  • Accelerated growth by inheriting Nifty business from Fujitsu affiliate
  • VAIO acquisition marks full entry into PC manufacturing
  • Satellite broadcasting acquisition a key turning point with Sony group

Future Outlook

Growth Drivers

  • Differentiation through expansion of high-value products like VAIO
  • Strengthened multi-carrier store rollout in mobile market
  • Deepening of OMO strategy integrating EC and physical stores
  • Market expansion via local embeddedness and overseas advancement
  • Cross-selling effects from satellite broadcasting and content business
  • Further expansion of private brands
  • Strengthened response to environmentally friendly products and services
  • Enhanced specialization as digital network specialty retailer
  • Advancement of customer loyalty initiatives
  • Maximization of synergies with affiliates

Strategic Goals

  • Maintain current Tokyo metropolitan store count and optimize regional strategy
  • Growth of PC business centered on VAIO brand
  • 50% sales increase in Southeast Asia overseas markets
  • Strengthened sustainable trading practices and governance
  • Digital channels to account for over 30% of total sales
  • Continuous expansion of sports and regional contribution activities
  • 30% improvement in store energy efficiency to reduce environmental impact
  • Enriched private brand product lineup
  • Revenue diversification through new M&A and business investments
  • Completion of IT infrastructure upgrades for improved customer experience

Business Segments

Mobile Phone Sales Agency Business

Overview
Operates multi-carrier mobile phone sales and contract support.
Competitiveness
Extensive multi-carrier store network and specialized expertise
Customers
  • Mobile Phone Carriers
  • Individual Customers
  • Corporate Customers
  • Store Operators
Products
  • Mobile Devices
  • Communication Contract Services
  • Accessories
  • Repair Services

Home Appliance Retail Business

Overview
Operates in large shopping centers mainly in the Tokyo metropolitan area and direct stores.
Competitiveness
Abundant product assortment and customer service capabilities
Customers
  • General Consumers
  • Corporate Purchases
  • Tenant Companies
Products
  • Digital Appliances
  • Lifestyle Appliances
  • PCs
  • Smartphones

IT Communication Services

Overview
Provides a wide range of IT and communication services through affiliates.
Competitiveness
Group synergies and diverse service lineup
Customers
  • Corporations
  • General Consumers
Products
  • Internet Services
  • Cloud-Related Products
  • Satellite Broadcasting
  • Content Distribution

Overseas Business

Overview
Sells home appliances and IT products in Southeast Asia.
Competitiveness
Locally rooted sales network
Customers
  • Consumers in Singapore and Malaysia
  • Cambodia Market
Products
  • Home Electronics
  • IT Products
  • Furniture

Competitive Advantage

Strengths

  • Extensive store network centered in the Tokyo metropolitan area
  • Strengths in digital appliances and mobile phones
  • Diversification through affiliates
  • Private brand rollout capabilities
  • Active M&A and business acquisitions
  • Specialty store formats
  • Locally focused sales strategy
  • Enhanced integration with online sales
  • Strong repeat customer base
  • Utilization of diverse sales channels

Competitive Advantages

  • Operates 259 stores mainly in the Tokyo metropolitan area with a locally embedded sales network
  • Deploys multi-carrier specialty mobile stores to meet customer needs
  • 开拓 new markets through diversification like VAIO and satellite broadcasting acquisitions
  • Secures cost competitiveness and uniqueness with private brand products
  • Strengthens IT services and overseas expansion through affiliate collaborations
  • Top-class sales scale in appliance retail with high brand recognition
  • Able to leverage synergies and economies of scale with competitors
  • Regional sports team sponsorships for community contributions and awareness
  • Customer retention through electronic money and points services
  • Improved customer convenience via hybrid online and physical store strategy

Threats

  • Intense price competition with major appliance retailers
  • Shift of consumers to online shopping
  • Stagnant sales due to smartphone market maturity
  • Supply chain disruptions and rising logistics costs
  • Increased oversight of trading practices by the Japan Fair Trade Commission
  • Decline in consumer purchasing power due to economic fluctuations
  • Potential industry restructuring from competitor M&A
  • Shortened product replacement cycles from appliance tech advances
  • Impact of population decline on regional stores
  • Impact of exchange rate fluctuations on overseas revenue
  • Intensified competition from new EC entrants

Innovations

2024: Completion of VAIO Acquisition

Overview
Acquired PC brand VAIO to strengthen product lineup.
Impact
Enhanced competitiveness in high-value PC market

2024: Acquisition of Satellite Broadcasting Business

Overview
Acquired AXN shares from Sony group to enter satellite broadcasting.
Impact
Diversification of new revenue sources and content business expansion

2023: Response to Japan Fair Trade Commission Recommendation

Overview
Implemented recurrence prevention measures for illegal fee collection from suppliers.
Impact
Improved governance and trust recovery

2021: Completion of Nifty Acquisition

Overview
Acquired Nifty from Fujitsu to strengthen communication services.
Impact
Expansion of communication service sales and business model diversification

2020: Dissolution of Capital and Business Alliance with Suruga Bank

Overview
Sold bank shares and terminated alliance due to differing management policies.
Impact
Financial stabilization and management focus through capital restructuring

2023: Advancement of Mobile Points Service

Overview
Completed transition from magnetic cards to mobile points service.
Impact
Improved customer convenience and strengthened digital marketing

2021: Acquisition of Naming Rights for Sports Team

Overview
Acquired naming rights for American football team Sagamihara Rise.
Impact
Enhanced local embeddedness and corporate branding

Sustainability

  • Correction of trading practices following Japan Fair Trade Commission指摘
  • Store operations for improved power usage efficiency
  • Expansion of environmentally friendly products
  • Social contributions through regional sports support
  • Consideration of sustainable supply chains overseas