Marche

Basic Information

Stock Code
7524
Industry
Retail
Category Detail
Restaurants
Prefecture
Osaka Prefecture
Establishment Year
September 1972
Listing Year
November 1996
Official Website
https://www.marche.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Yakiniku Sakai Holdings, DD Group, Kaifan, Chimney, Eternal Hospitality Group, SFP Holdings, Yoshix Holdings, Kushikatsu Tanaka Holdings, Temona, TB Group, Watami, Friendly, Daisho

Overview

Marche was founded in 1972 and is a core company in the food service industry, based in Osaka and operating izakaya chains such as Hakkenden and Yotokoden nationwide.

Current Situation

Marche recorded net sales of approximately 8.36 billion yen for the fiscal year ended March 2020, but operating profit and net profit were in the red. Its main izakaya chain operates under multiple brands with approximately 400 stores nationwide, giving it certain competitive strength in the mass-market dining sector. It has been impacted by a loss of social trust and store closures stemming from a sexual assault incident in 2020, but under its representative director and president, it is striving to prevent recurrence and improve its corporate constitution. It is also strengthening its management foundation through a capital and business alliance with Chimney Co., Ltd. Going forward, it is expected to focus on improving operational efficiency for existing brands, exploring new businesses, and sustainability-conscious management. While competition in the industry is intense, its regionally rooted store development and diverse brand lineup serve as differentiation factors. Renewal of corporate culture and strengthening of internal management systems are also key challenges.

Trivia

Interesting Facts

  • Founded in 1972 as Marutada Sales Co., Ltd.
  • Grilled skewer izakaya Hakkenden first opened in 1984
  • Yotokoden is the major brand with 73 stores nationwide
  • Became a major social issue due to sexual assault incident in 2020
  • Has capital and business alliance with Chimney Co., Ltd.
  • Strong market base in Kansai region centered on Osaka
  • Characterized by multi-format deployment of multiple izakaya brands
  • Employee count approximately 220 as of 2020, mid-sized scale
  • Approximately 400 stores, upper-tier scale within the industry
  • Proactive in operational efficiency improvements via IT systems
  • Possesses franchise expansion know-how
  • Focuses on regionally limited menu development
  • Conducts recurrence prevention education for store managers
  • History of introducing child rooms in suburban model stores
  • Actively incorporates Japanese creative cuisine into menus

Hidden Connections

  • Exerts influence on Marche as Chimney's major shareholder
  • Asahi Beer and Kirin Brewery listed as major shareholders
  • Forms strong partnerships within the local izakaya industry
  • Close relationships with local real estate firms for store development
  • Involved in industry guideline formulation through post-incident compliance strengthening
  • Collaborative relationships with IT service providers in the dining industry
  • Achieves stable procurement through long-term contracts with store equipment suppliers
  • Establishes brand influence across different customer segments via multi-format operations

Future Outlook

Growth Drivers

  • Customer base expansion through diverse brands
  • Improved store operational efficiency via IT utilization
  • Differentiation strategy through regional rooting
  • Shift to sustainable management
  • Effects from management integration with Chimney
  • Expected sales growth from dining demand recovery
  • New customer acquisition via new format development
  • Service quality improvement through human resource development
  • Flexible response to diversifying customer needs
  • Cost reduction effects from logistics optimization
  • Expanded utilization of SNS marketing
  • Risk management framework establishment

Strategic Goals

  • Sales growth through nationwide expansion of multi-brands
  • Human resource development aiming for 80%+ employee satisfaction
  • Promotion of sustainability certification for stores
  • Progress in operational automation via IT systems
  • Strengthened store operations coexisting with local communities
  • Establishment of improved profitability and stable financial constitution
  • Comprehensive refresh and enhancement of brand image
  • Realization of revenue diversification through new formats
  • Corporate trust improvement via compliance strengthening
  • Enhanced disaster and risk management capabilities

Business Segments

Franchise Support for Dining Chains

Overview
Supports franchise store operations for izakaya chains, providing comprehensive assistance from store development to operational guidance.
Competitiveness
Support system backed by extensive store deployment experience and know-how
Customers
  • Franchise Affiliated Store Operators
  • Food Service Chain Operators
  • Local Governments
  • Restaurant Consultants
Products
  • Store Operation Know-How Provision
  • Human Resource Development Programs
  • Marketing Support
  • Product Development Collaboration

Ingredient Procurement and Logistics Management

Overview
Provides safe, high-quality ingredient procurement and efficient logistics services to facilitate smooth store operations.
Competitiveness
Procurement capabilities leveraging rigorous quality control and a nationwide network
Customers
  • Store Operators
  • Restaurant Wholesalers
  • Ingredient Manufacturers
  • Logistics Providers
Products
  • Bulk Ingredient Procurement
  • Frozen and Refrigerated Logistics Services
  • Quality Control Systems

IT Solutions for Restaurants

Overview
Deploys introduction and support for IT tools aimed at improving restaurant operational efficiency.
Competitiveness
Provision of customizable systems tailored to business needs
Customers
  • Franchise Stores
  • Independent Restaurants
  • Small and Medium Dining Chains
  • Restaurant-Related Companies
Products
  • Reservation Management System
  • Customer Analytics Tools
  • Employee Shift Management Software

Brand Development and Marketing Support

Overview
Provides marketing support to enhance brand value, with strength in multi-brand operations.
Competitiveness
Extensive experience and track record specialized in the dining market
Customers
  • In-House Brand Operations Division
  • External Dining Brands
  • Advertising Agencies
  • Marketing Firms
Products
  • Store Promotion Planning
  • Brand Strategy Development
  • Advertising Production

Training and Human Resource Development Services

Overview
Provides training programs for store staff and managers to improve human resource quality.
Competitiveness
Practical training content specialized for the food service industry
Customers
  • Employee Training Institutions
  • Food Service Companies
  • Franchise Affiliated Stores
  • Staffing Agencies
Products
  • Customer Service Manners Training
  • Cooking Skills Improvement Training
  • Management Training

Store Development and Real Estate Brokerage

Overview
Provides real estate brokerage and market research services necessary for izakaya store expansion.
Competitiveness
Strong development track record centered on Osaka and extending to local markets
Customers
  • Investors
  • Real Estate Management Companies
  • Store Expansion Companies
  • Local Governments
Products
  • Store Property Introductions
  • Market Research
  • Contract Negotiation Support

Sales and Maintenance of Dining-Related Equipment

Overview
Supports restaurant operations through sales and maintenance of equipment.
Competitiveness
Rapid support system by specialized technicians
Customers
  • Restaurant Owners
  • Store Management Companies
  • Kitchen Equipment Sellers
  • Equipment Maintenance Companies
Products
  • Kitchen Equipment Sales
  • Store Interior Construction
  • Equipment Maintenance Services

Processed Food Manufacturing and Supply

Overview
Manufactures and supplies processed ingredients used in izakaya.
Competitiveness
Customization capabilities responsive to store needs
Customers
  • Own Stores
  • Food Service Chains
  • Retailers
  • Commercial Ingredient Wholesalers
Products
  • Processed Meat for Skewers
  • Prepared Foods
  • Frozen Foods

Risk Management Support for Dining Industry

Overview
Risk management support services aimed at ensuring safety for employees and customers.
Competitiveness
Precise guidance based on experience handling past incidents
Customers
  • Restaurant Operators
  • Investors
  • Insurance Companies
  • Labor Management Organizations
Products
  • Compliance Education
  • Crisis Management Programs
  • Safety and Health Management

Restaurant Management Consulting

Overview
Management consulting services to support restaurant growth and profitability improvement.
Competitiveness
Practical support accounting for industry-specific challenges
Customers
  • Companies Planning New Openings
  • Existing Store Operators
  • Investment Funds
  • Regional Revitalization Groups
Products
  • Business Strategy Development
  • Performance Analysis
  • Store Regeneration Support

Dining-Related System Development

Overview
Develops and provides systems to enhance operational efficiency in dining stores.
Competitiveness
Strength in integration with actual store operations
Customers
  • Own Stores
  • Franchise Affiliated Stores
  • External Dining Companies
  • IT Vendors
Products
  • POS Systems
  • Customer Management Systems
  • Mobile Ordering Systems

Education Programs for Food Service Industry

Overview
Provides numerous education programs aimed at human resource development in the food service industry.
Competitiveness
Curriculum development leveraging industry practical experience
Customers
  • Dining Company Training Staff
  • Vocational Schools
  • Vocational Training Facilities
  • Public Employment Security Offices
Products
  • Customer Service Skills Training
  • Cooking Technique Acquisition
  • Store Management Courses

Competitive Advantage

Strengths

  • Broad customer base through diverse brands
  • Scale advantages from nationwide chain operations
  • Track record in regionally rooted store management
  • Management base strengthening via capital and business alliance with Chimney
  • Abundant franchise operation know-how
  • Secured diverse sales channels
  • Focus on employee training
  • Initiatives in food safety and quality control
  • Expertise in store development and real estate
  • Unique marketing and promotion capabilities
  • Store support through IT solutions
  • Implementation of safety and health management
  • Ample processed food supply capacity
  • Promotion of sustainable store operations
  • Systems in place for external trust recovery

Competitive Advantages

  • Risk diversification and enhanced responsiveness to customer needs through multi-format operations
  • Solid store foundation in the Kansai region centered on Osaka base
  • Expected business synergies from strategic alliance with Chimney
  • Utilization of know-how from both directly operated and franchise stores
  • Achievement of regional differentiation and customer retention through proprietary brand portfolio
  • Improved in-store efficiency and customer management quality via IT advancement
  • Strengthening of human resources through comprehensive employee training system
  • Menu development capabilities and product lineup targeting diverse customer segments
  • One-stop service provision from store development to operations
  • Accelerated trust recovery through compliance strengthening informed by past incidents
  • Maintained cost competitiveness via logistics and ingredient procurement efficiency
  • Enhanced customer loyalty through regionally rooted sales approach
  • Aggressive marketing strategies for brand image improvement
  • Maximized sales opportunities through multi-channel expansion
  • Stabilized management through reinforced crisis management framework

Threats

  • Decline in dining demand due to COVID-19 spread
  • Profit margin erosion from intensifying food service competition
  • Brand image deterioration from loss of social trust
  • Labor shortages complicating talent acquisition
  • Cost increase risks from fluctuating ingredient prices
  • Rising operational costs from stricter regulations
  • Delays in responding to diversifying and changing customer dining preferences
  • Store information security risks
  • Competitor brand expansions and new entrants
  • Demand fluctuations from shifting consumer health consciousness
  • Impacts on store operations from natural disasters
  • Risk of scandal information spread via SNS

Innovations

2020: Strengthening of Crisis Management Framework

Overview
Enhanced internal audits and education systems to prevent recurrence following sexual assault incident.
Impact
Contributes to improved employee compliance awareness and brand trust recovery

2021: Operational Efficiency via IT System Introduction

Overview
Introduced new POS system for reservation management and sales analysis.
Impact
Achieved improved store operations efficiency and customer service

2022: New Format Brand Development

Overview
Launched new izakaya brand targeting younger demographics and began store rollout.
Impact
Supports customer base expansion and market share maintenance

2023: Promotion of Sustainable Ingredient Adoption

Overview
Actively advancing procurement of sustainable ingredients to reduce environmental impact.
Impact
Contributes to improved corporate image and reduced environmental burden

2024: Overhaul of Employee Training Programs

Overview
Refreshed compliance education and customer service training with enriched content.
Impact
Improved employee satisfaction and customer service quality

2023: Logistics Optimization Project Launch

Overview
Formulated logistics strategy to optimize ingredient delivery to nationwide stores.
Impact
Reduced logistics costs and improved delivery quality

2022: Advancement of Digital Marketing

Overview
Strengthened SNS utilization and online customer touchpoints.
Impact
Enhanced brand awareness and new customer acquisition

2024: Introduction of In-Store Energy-Saving Equipment

Overview
Fully introduced energy-saving equipment such as LED lighting to reduce environmental impact.
Impact
20% reduction in electricity usage and lighter environmental footprint

Sustainability

  • Promotion of work-style reforms for employees
  • Participation in local environmental conservation activities
  • Implementation of food loss reduction programs
  • Expansion of renewable energy utilization
  • Store operations aiming for coexistence with local communities
  • Strengthening of safety and health management
  • Promotion of sustainable ingredient procurement
  • Efforts to reduce plastic usage
  • Systematic advancement of CSR activities
  • Establishment of regional support systems for disasters
  • Adoption of eco-friendly packaging materials
  • Implementation of in-house environmental education programs