Asakuma

Basic Information

Stock Code
7678
Industry
Retail Industry
Category Detail
Restaurants
Prefecture
Aichi Prefecture
Establishment Year
December 1948
Listing Year
June 2019
Official Website
https://www.asakuma.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Cygnex, Tempus Holdings, Hiramatsu, Wise Table Corporation, Kichiri Holdings, S.L.D., General Oyster, Kanmonkai, Eltes, Basis, Yukes, Auto Server, Rigua, Anraku-tei, Umenohana Group, Ukai, NATTY SWANKY Holdings, Kisoji, Totenko, Kinei

Overview

Asakuma is a long-established steak restaurant chain founded in 1948, mainly operating in the Tokai region, providing stable quality and service through diversification and its unique central kitchen system.

Current Situation

Asakuma recorded consolidated sales of approximately 8.8 billion yen and operating profit of approximately 220 million yen in the fiscal year ending March 2020, securing a certain position in Japan's steak restaurant industry. Its main business is the Asakuma steak restaurants, operating 63 directly-managed stores and 4 franchise stores, with suburban roadside stores as its strength. As a subsidiary of Tempus Holdings Co., Ltd., it has stabilized its management foundation backed by capital and business alliance, and is promoting diverse business formats such as Indonesian restaurants, prepared food buffets, and coffee shops through subsidiaries in food-related businesses as part of diversification. It has achieved cooking uniformity and cost reduction through the central kitchen system adopted in the past, and is improving operational efficiency with employee training manuals and development of proprietary cooking utensils. In 2020, it attempted to make a sushi and Japanese cuisine restaurant a subsidiary, but the subsidiary filed for bankruptcy, highlighting management risk control as a challenge. Moving forward, it will focus on developing new business formats tailored to customer needs, expanding high value-added products, and enhancing business efficiency and brand strength in anticipation of intensifying market competition. While considering risks such as population aging and fluctuations in the restaurant industry, it aims for sustainable growth through diversification strategies and regionally integrated store development.

Trivia

Interesting Facts

  • Asakuma was the first restaurant chain in Japan to establish a central kitchen.
  • Pioneer of roadside steak restaurants in Japan.
  • Brand name 'Asakuma' derived from the founder's name.
  • Once one of Japan's largest steak chains in terms of store count.
  • Famous baseball player Ichiro has loved the corn soup since childhood.
  • Used as a filming location for TV Asahi's 'Seibu Keisatsu PART-II'.
  • Subsidiaries operate multiple non-core restaurant formats.
  • Pioneering company that promoted a female part-time housewife to director in the 1990s.
  • Relocated German Pavilion to headquarters and actively holds cultural events.
  • Achieved regionally integrated growth by expanding to multiple regions since the 1970s.
  • Operated high-end steak restaurant 'French Potato' in Nagakute Town.
  • Offers diverse menu expansion including Indonesian restaurants.
  • Historically recognized as one of the four major restaurant chains in the restaurant industry.
  • Emphasizes employee training and has enriched cooking manuals.
  • The sushi restaurant subsidiary filed for bankruptcy amid the COVID-19 pandemic.

Hidden Connections

  • Founder gained fame in fish peddling, reflected in the company brand name.
  • Capital alliance with Tempus Holdings is key to management stability.
  • Central kitchen system was imitated across the industry.
  • Initial store expansion centered on Tokai region but also attempted nationwide.
  • Cooperation with TV programs contributed to brand recognition.
  • Aggressively expanded into non-core formats to promote diversification.
  • Corn soup loved by Ichiro is a long-selling product.
  • The bankrupt subsidiary emerged during expansion of Japanese cuisine formats in Tokyo.

Future Outlook

Growth Drivers

  • Customer base expansion through strengthened regionally integrated store development.
  • Promotion of format diversification and new business development.
  • Enhancement of digital marketing and EC channels.
  • Improved competitiveness through synergy effects with capital alliance partners.
  • Expansion of high value-added products tailored to customer needs.
  • Strengthened environmental considerations through sustainable ingredient procurement.
  • Service quality improvement through employee training.
  • Linkage of health-conscious trends and new menu development.
  • Business efficiency improvement and AI utilization as countermeasures to labor shortages.
  • Format and regional diversification for market risk dispersion.

Strategic Goals

  • Store count expansion and brand strengthening in major domestic cities.
  • Rebuilding overseas business and exploring international expansion.
  • Further efficiency of central kitchen system.
  • Promotion of initiatives to reduce environmental impact.
  • Advanced customer experience through digitalization.
  • Expansion of approaches to diverse customer segments.
  • Active development of new formats and services.
  • Improved employee satisfaction to reduce turnover.
  • Enriched CSR activities through strengthened collaboration with local communities.

Business Segments

Restaurant Operation Support

Overview
Provides semi-finished product supply and operation support utilizing central kitchen.
Competitiveness
Quality uniformity through years of operation know-how
Customers
  • Steak restaurant chain franchisees
  • New store openers
  • Restaurant franchise owners
Products
  • Central kitchen product supply
  • Cooking utensil sales
  • Human resource development manuals

Food Processing and Sales

Overview
Widely deploys proprietary seasonings and retort foods.
Competitiveness
Proprietary cooking manuals and product quality
Customers
  • Retail stores
  • Supermarkets
  • Department stores
  • Mail order businesses
Products
  • Retort soups
  • Steak sauces
  • Dressings
  • Prepared food products

Restaurant Franchise Business

Overview
Supports franchise operations for consumer-facing stores.
Competitiveness
Established brand and central kitchen system
Customers
  • Individual business owners
  • Restaurant managers
  • Real estate owners
Products
  • Store management know-how
  • Brand licensing
  • Operation support services

Restaurant Equipment Sales

Overview
Equipment sales in collaboration with parent company Tempus Holdings.
Competitiveness
Industry-leading product variety and price competitiveness
Customers
  • Restaurant operators
  • Cooking facilities
  • Catering companies
Products
  • Grill equipment
  • Kitchen facilities
  • Cooking utensils

Food Raw Material Procurement

Overview
Builds ingredient procurement system for stable supply.
Competitiveness
Efficient logistics through central kitchen collaboration
Customers
  • Restaurant industry
  • Food manufacturers
Products
  • Meats
  • Vegetables
  • Processed ingredients

Competitive Advantage

Strengths

  • Long-established brand power and customer recognition
  • Japan's first central kitchen introduction for quality control
  • Success know-how in suburban roadside stores
  • Securing stable revenue base through diversification
  • Capital and business alliance with Tempus Holdings
  • Abundant store count and regionally integrated sales strategy
  • Uniform quality through employee training and cooking manuals
  • Long-term trust relationships with customers since founding
  • Mid-sized presence in the industry
  • Product development leveraging regional characteristics
  • Proprietary grilled grill cooking technology
  • Market response through diverse restaurant formats

Competitive Advantages

  • Strategic operation of roadside stores based on rich experience
  • Low-cost high-quality realization through central kitchen system
  • Sales stabilization through diverse formats and franchise expansion
  • Enhanced financial strength through collaboration with Tempus Holdings
  • Local community-focused marketing strategy since founding
  • Balanced deployment of directly-managed and franchise stores
  • Differentiation from competitors through proprietary menu development and cooking techniques
  • Improved customer loyalty through regionally limited brand building
  • Risk diversification through multifaceted business expansion
  • Active promotion of employee advancement and career development system
  • Marketing measures based on rich customer data
  • Strong relationship building with local communities

Threats

  • Harsh competitive environment in the restaurant industry and intensifying price competition
  • Risk of decreased store visitors due to social impacts like new infectious diseases
  • Labor shortages in the restaurant industry and rising labor costs
  • Consumer sentiment cooling due to economic fluctuations
  • Risk of rising food raw material prices
  • Potential decrease in steak demand due to strengthening health consciousness
  • Competitor expansion from entry by other industries
  • Risk of bankruptcy in overseas subsidiaries
  • Concerns over market saturation due to regional-limited expansion
  • Increased operational burden due to changes in legal regulations

Innovations

2020: Subsidiary Acquisition of Sushi and Japanese Food Restaurant

Overview
Made Takewaka, which operates sushi and Japanese cuisine in Tokyo, a subsidiary.
Impact
Aimed to develop new customer segments through diversification.

2021: Strengthening Diversification of Food Service Formats

Overview
Promoted multi-formatization such as prepared food buffets and Indonesian cuisine.
Impact
Responded to market changes and expanded revenue base.

2022: Promotion of Existing Store Renovations

Overview
Advanced interior refreshes at major stores like Fujigaoka store to boost customer attraction.
Impact
Contributed to improved customer satisfaction and increased visits.

2023: Development of Online Sales Channels

Overview
Strengthened product sales via official mail-order site and online shop.
Impact
Secured new revenue sources through EC business.

Sustainability

  • Active use of local ingredients to support regional agriculture
  • Menu improvements and sales adjustments to reduce food loss
  • Promotion of renewable energy introduction
  • Adoption of environmentally friendly packaging
  • Promotion of employee diversity and labor environment improvement