Taytwo

Basic Information

Stock Code
7610
Industry
Retail
Category Detail
Specialty Stores & Drugstores
Prefecture
Okayama Prefecture
Establishment Year
April 1990
Listing Year
September 1999
Official Website
https://www.tay2.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Mandarake, Arigatou Service, Rinette Japan Group, TB Group, Sanoyasu HD, RISE, BookOff Group Holdings

Overview

Taytwo is a pioneer in Okayama Prefecture's reuse retail industry, established in 1990, operating used book markets with a unique business model that handles a wide range of second-hand items including new and old books, game software, and more.

Current Situation

Taytwo recorded consolidated net sales of 35.197 billion yen and operating profit of 1.333 billion yen for the fiscal year ended February 2024, maintaining a solid financial foundation. In addition to expanding its large entertainment reuse chain "Furubon Market," it operates 162 stores in the Kanto, Chubu, and Kansai areas with the new format stores "Furuichi," securing a broad customer base through sales and buybacks of not only used books but also CDs, game software, and trading cards. It has introduced its proprietary AI appraisal machine "TAYS" in stores to improve appraisal efficiency and is expanding its business domains, such as making Yamatoku-sha a wholly owned subsidiary. It is also focusing on improving customer data security and reviewing point card operations. Moving forward, it will promote a growth strategy centered on digitalization, strengthening EC, and contributing to sustainable local communities, aiming for further market expansion in the latter half of the 2020s.

Trivia

Interesting Facts

  • One of Japan's oldest large-scale used bookstore chains.
  • Company name derives from initials of founding members.
  • Mascot character "Yoshio-kun" modeled after founder.
  • Unique business model emphasizing balance of used and new goods.
  • Operating 162 stores nationwide.
  • Proprietary AI appraisal machine "TAYS" attracting industry attention.
  • Initially lenient pricing made it popular with enthusiasts.
  • Community-oriented expansion from Kanto to Kansai.
  • Past incident of point card personal information loss.
  • Subsidiary Yamatoku plays core role in distribution.

Hidden Connections

  • Company name symbolizes individuality from founder's initials.
  • AI appraisal machine "TAYS" now offered for external sales to other companies.
  • Closely tied to local used book culture, contributing to regional revitalization.
  • Yamatoku's full acquisition strengthened logistics capabilities.
  • Strong collaboration with FC franchisees forms growth foundation.
  • Proprietary point card system deeply penetrated in local customers.
  • New format book cafe promotes dissemination of reuse culture.
  • AI technology in trading card business leads the industry.

Future Outlook

Growth Drivers

  • Expansion of used market and increasing reuse demand
  • Strengthened seamless integration of EC and physical stores
  • Operational efficiency via AI and IT technologies
  • Enhanced approaches to diverse customer segments
  • Sustainable consumption from rising environmental awareness
  • Growth in trading card and hobby markets
  • Promotion of new store developments and new formats
  • Strengthened digital marketing
  • Business expansion through franchise rollout
  • Enhancement of community-oriented services
  • New customer acquisition in smartphone-related goods
  • Environmental contributions through promoting used goods circulation

Strategic Goals

  • Achieve over 200 stores in major areas nationwide
  • Increase EC sales ratio to over 30%
  • Advanced appraisal and sales using AI technology
  • Promote reuse to reduce environmental impact
  • Strengthen cultural and educational support in collaboration with local communities
  • Nationwide rollout of digital point cards
  • Sales expansion and diversification through new businesses
  • Enhance brand value through improved customer satisfaction
  • Cost reductions via efficient supply chain management
  • Build organizational structure supporting sustainable business operations

Business Segments

Store Operation Support

Overview
Supports franchisee operational efficiency with proprietary IT tools.
Competitiveness
AI appraisal expertise specialized in the used goods market
Customers
  • Company-operated stores
  • Franchise stores
  • Business alliance stores
Products
  • POS system
  • AI appraisal machine "TAYS"
  • Inventory management system

Used Goods Buying and Selling Services

Overview
Provides distribution networks for buying and selling used books and similar items.
Competitiveness
Abundant inventory and wide-area distribution channels
Customers
  • General consumers
  • Small stores
  • Wholesalers
Products
  • Used books
  • Game software
  • Trading cards

EC Platform Operations

Overview
Deploys used goods nationwide via its own EC site.
Competitiveness
Rapid delivery through linkage with physical stores
Customers
  • Online customers
  • Individual sellers
Products
  • EC site operations
  • Online appraisal services
  • Member point system

Trading Card Business

Overview
Expanding in the highly specialized trading card business.
Competitiveness
High-precision evaluation via AI appraisal machine
Customers
  • Trading card enthusiasts
  • Collectors
  • Game shops
Products
  • Card appraisal machine "TAYS"
  • Card sales and buybacks
  • Event services

Hobby and Figure Wholesale

Overview
Distribution and sales support for related hobby goods.
Competitiveness
Stable supply based on long-term transaction record
Customers
  • Retail stores
  • Collector shops
Products
  • Figures
  • Plastic models
  • Related goods

Competitive Advantage

Strengths

  • Abundant experience and brand recognition since founding
  • Efficient appraisal system via introduction of AI appraisal machines
  • Store network spanning wide areas linked with EC
  • Balanced handling of used and new goods
  • Diverse product lineup catering to various customer segments
  • Strong regional base and community-oriented operations
  • Proprietary logistics system and inventory management capabilities
  • Sales initiatives leveraging customer data
  • Business diversification through wholly owned subsidiaries
  • Market expansion support via business alliances
  • Long-term stable financial foundation
  • Expansion power through franchise development
  • Promotion of digitalization for improved customer service
  • Recycling and environmental contributions aligned with SDGs
  • Establishment of multi-channel sales system

Competitive Advantages

  • Specialized know-how in handling used books and entertainment goods
  • Rapid and accurate buyback evaluation via AI-equipped appraisal machines
  • Industry-leading expansion with store count and regional coverage
  • Customer convenience from strong integration of EC and physical stores
  • Product lineup accommodating wide age groups
  • Brand recognition and customer loyalty for proprietary brand "Furuichi"
  • Strengthened inventory management and goods supply via Yamatoku acquisition
  • Strong cooperative relationships with franchise stores
  • Balanced expansion centered on Kanto, Chubu, and Kansai
  • New customer acquisition through smartphone-related goods
  • Improved customer satisfaction via community-oriented sales
  • Enhanced customer management via digital point cards
  • Diverse sales offerings from fusion of used and new goods
  • Pioneering development in trading card market
  • Promotion of environmentally considerate reuse business

Threats

  • Price competition risks from intensifying market competition
  • Decline in used demand due to rapid spread of new digital content
  • Reputation damage risks from customer personal information management failures
  • Decline in foot traffic at suburban stores
  • Instability in franchise store operations
  • Rise of new entrants in online used goods specialist markets
  • Decline in consumer purchasing power due to economic downturn
  • Inventory risks from shortened product life cycles
  • Cost increases from rising logistics and labor expenses
  • Increased operating costs from stricter regulations
  • Impacts on stores and logistics from natural disasters
  • Unstable procurement prices from supply-side market fluctuations

Innovations

2023: External Sales Launch of AI Appraisal Machine "TAYS"

Overview
Began external sales of proprietary AI-equipped trading card appraisal machine, expanding new revenue sources.
Impact
Contributes to stable growth through revenue diversification.

2020: Overhaul of POS System "TPOS"

Overview
Completed introduction of new POS system across all stores to improve sales management efficiency.
Impact
Improved operational efficiency and inventory management accuracy.

2020: Opening of Book Cafe "Furuichi Tokiwa-so Dori Store"

Overview
Opened new format book cafe in Toshima-ku, Tokyo, to diversify customer experiences.
Impact
Contributes to acquiring new customer segments and enhancing brand value.

2021: Decision to Build Group EC Site

Overview
Decided to build group EC site to strengthen online sales and promote digitalization.
Impact
Aims for increased EC sales and expanded customer touchpoints.

2022: Business Alliance with Kaiuri Oukoku Co., Ltd.

Overview
Entered business alliance agreement to expand buyback business, leveraging mutual strengths.
Impact
Contributes to market share expansion and service improvements.

2023: Enhanced Digitalization of Store IT Systems

Overview
Updated IT systems supporting store operations to achieve customer service efficiency.
Impact
Successfully improved operational efficiency and customer satisfaction.

Sustainability

  • Reducing waste through promotion of reuse
  • Considering introduction of eco-point system with customers
  • Promoting energy-saving measures in stores
  • Promoting use of environmentally friendly packaging materials
  • Participation in local cleanup and greening activities
  • Promoting resource circulation through used goods distribution
  • Considering establishment of sustainable procurement standards
  • Strengthening environmental education for employees
  • Promoting plastic-free initiatives
  • Regional revitalization through collaboration with local industries