Tsutsumi

Basic Information

Stock Code
7937
Industry
Other Products
Category Detail
Apparel & Fashion Accessories
Prefecture
Saitama Prefecture
Establishment Year
June 1973
Listing Year
September 1991
Official Website
https://www.tsutsumi.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Crossfor, Estelle, Eidai Kogyo, Kōsai, Yondoshi Holdings, Nagahori

Overview

Tsutsumi is a major jewelry manufacturing and sales company founded in 1973, with strengths in its own factories and direct sales system, possessing a wide sales network centered in the Tokyo metropolitan area.

Current Situation

In fiscal 2023, Tsutsumi maintained sales of approximately 17.5 billion yen, with ordinary income of about 1 billion yen, boasting a solid business foundation. The main business is jewelry manufacturing and retail sales, with a direct sales store network accounting for 90% of sales deploying 178 stores mainly in the Tokyo metropolitan area, which is robust. Diamond imports from overseas are top-class in Japan, maintaining reliable procurement routes for over 25 years. Through its unique integrated manufacturing and distribution system, it thoroughly manages quality and differentiates from competitors. In recent years, it has launched new brands 'Blessed Rain' and 'Pure Planets' to target younger generations and develop new markets. It focuses on promoting sustainability for environmental considerations and is accelerating business digitalization. Moving forward, it aims for growth by expanding sales channels and strengthening global procurement capabilities as strategic goals.

Trivia

Interesting Facts

  • Boasts Japan's No. 1 diamond import volume for 18 consecutive years.
  • Store network specialized in Tokyo metro area, maintaining one of Japan's largest direct sales systems.
  • In-house integrated manufacturing system is the pillar of quality stability.
  • Sponsored a popular TV Tokyo program in the past.
  • Representative from founding family contributes to long-term management stability.
  • Actively developing sustainable jewelry in recent years.
  • Diverse brand lineup, strengthening youth-oriented offerings.
  • Engages in scholarship support activities via jewelry-related foundation.
  • One of the early companies to implement gem traceability management.
  • Advanced integration of EC mail order and stores.
  • Track record sponsoring famous entertainment programs.
  • Wide customer base through diverse price range products.
  • Custom-made service highly rated.
  • Beauty of handcraft by artisans is the secret to enduring popularity.
  • Established high trust as a veteran in the domestic jewelry market.

Hidden Connections

  • Pioneering presence in jewelry among companies listed on Tokyo Stock Exchange Standard Market.
  • Suppresses market fluctuations through long-term contracts with key suppliers.
  • Provides technical support to other OEM companies via integrated manufacturing system.
  • Contributes to forming local communities related to jewelry.
  • Sustainable jewelry brand partners with female entrepreneurs.
  • Influences talent development across the jewelry industry through foundation establishment.
  • Close collaboration with multiple famous department stores for joint new product exhibitions.
  • Partners with local precious metal processors to revitalize regional industries.

Future Outlook

Growth Drivers

  • Increasing demand for sustainable and ethical jewelry
  • Strengthening digital sales channels and expanding customer touchpoints
  • Growth in high-end jewelry market for affluent domestic customers
  • Store expansion beyond Tokyo metro area and customer base growth
  • New customer acquisition through new brands for younger generations
  • EC market expansion and innovation in online sales assistance technology
  • Cost optimization effects from procurement in emerging markets
  • Market share expansion of environmentally and socially considerate products
  • Productivity improvement through fusion of artisan skills and IT
  • Expansion of jewelry reuse and recycling market
  • Increasing demand for made-to-order and custom services
  • Enhanced price competitiveness through distribution efficiency

Strategic Goals

  • Over 60% of all jewelry using sustainable materials
  • Directly operated stores in 300 major cities nationwide
  • Achieve over 40% of total sales from EC
  • Achieve long-term growth exceeding 30 billion yen in annual sales
  • Make custom jewelry orders industry-leading
  • Recognized as a digital leader in the jewelry industry
  • Achieve over 90% waste reduction and recycling rate
  • Build organization with over 40% female managers
  • Further diversify and stabilize overseas procurement routes
  • Expand environmental and cultural activities in collaboration with local communities

Business Segments

Wholesale Sales

Overview
Provides wholesale of jewelry and accessories to client companies, meeting diverse distribution needs.
Competitiveness
Strengthened wholesale network through stable in-house production and diverse product lineup
Customers
  • Specialty Jewelry Stores
  • Department Store Retail Divisions
  • Accessory Manufacturers
  • Gift Shops
Products
  • Jewelry in General
  • Jewelry Components
  • Processing Services
  • Brand License Products

Manufacturing Consignment and OEM

Overview
Provides consignment processing and OEM manufacturing services tailored to diverse needs.
Competitiveness
High-quality finishing by skilled artisans and flexible production capabilities
Customers
  • Domestic and International Jewelry Brands
  • Accessory Designers
  • Retailers
  • Event Planning Companies
Products
  • Jewelry Manufacturing Consignment
  • Custom-Made Products
  • Design Development
  • Small Lot Production

Material Procurement and Processing

Overview
Leverages abundant domestic and international procurement routes for material processing and supply.
Competitiveness
Stable supply system based on long-term trusted relationships
Customers
  • Jewelry Processors
  • Raw Material Trading Companies
Products
  • Precious Metal Materials
  • Diamond Rough
  • Cutting Services
  • Gem Processing Technology

Technical Cooperation and Design Support

Overview
Provides technical support and design proposals from the product development stage to add value.
Competitiveness
Development support integrating advanced technology and know-how
Customers
  • Designers
  • Jewelry Brands
  • Manufacturers
Products
  • 3D Modeling
  • Prototype Production
  • Design Consulting

Online Sales Support

Overview
Provides multifunctional sales support services to support the growth of e-commerce.
Competitiveness
Optimized EC operation support leveraging industry knowledge
Customers
  • EC Site Operators
  • Individual Sellers
  • New Brands
Products
  • Product Photography
  • Sales Agency
  • Inventory Management
  • Customer Support

Event Promotion

Overview
Plans and implements sales promotion events to enhance customer attraction.
Competitiveness
Planning and execution capabilities tailored to customer needs
Customers
  • Department Stores
  • Trade Show Operators
  • Local Shopping Districts
Products
  • Event Planning
  • Joint Sales
  • New Product Launch Events

Logistics and Inventory Management

Overview
Supports business operations with efficient logistics systems and inventory management.
Competitiveness
Stable supply system linked with in-house factory bases
Customers
  • Nationwide Stores
  • EC Division
Products
  • Centralized Logistics
  • Inventory Optimization
  • Delivery Management

Competitive Advantage

Strengths

  • In-house factories and integrated production system
  • Direct sales-focused sales network
  • Store expansion in the Tokyo metropolitan area
  • Domestic top-class diamond import volume
  • Rich brand portfolio
  • Long-established reliable procurement routes
  • High quality control and customer service
  • Flexible response in OEM manufacturing
  • Skilled artisans' technical expertise
  • Business stability and high net assets
  • Utilization of diverse sales channels
  • Unique integrated production and distribution system
  • New brand development capabilities
  • Online sales support system
  • Experienced management team

Competitive Advantages

  • Possesses robust direct sales store network centered in Tokyo metro area
  • Procurement strength boasting Japan's No. 1 diamond import volume for 18 consecutive years
  • High-quality manufacturing and integrated management via in-house factories
  • Customer base expansion across wide layers through brand strategy
  • High repeat rate due to local closeness and enriched customer service
  • High technical expertise and production flexibility in OEM
  • Active brand launches and channel expansion in growth markets
  • Promotion of business efficiency through IT and digital utilization
  • Market risk diversification via diverse channels
  • Long-term investment capacity from stable financial base
  • Fusion of advanced manufacturing technology and artisan skills
  • High product development capabilities responsive to market trends
  • Procurement superiority leveraging strong supplier relationships
  • Environmental response aiming for sustainable material use
  • Custom service provision promptly meeting customer needs

Threats

  • Risk of market shrinkage due to declining birthrate and aging population in Japan
  • Intensifying competition from cheap overseas brands
  • Raw material price surges and price fluctuation risks
  • Consumer spending instability due to economic fluctuations
  • Risk of reduced store foot traffic from pandemics etc.
  • Import cost fluctuations from exchange rate changes
  • Competitive decline from delayed digitalization response
  • Increased material procurement costs from strengthened environmental regulations
  • Impact from expansion of counterfeit and imitation markets
  • Increased logistics costs and delay risks
  • Delayed response to rapid market trend changes
  • Business operation constraints from legal and regulatory changes

Innovations

2024: Digital Jewelry Prototyping Development

Overview
Introduced new design prototyping technology using 3D printing to improve production efficiency.
Impact
Achieved shorter prototyping periods and high-precision product creation

2023: Launch of New Brand 'Pure Planets'

Overview
Launched jewelry brand for younger generations using sustainable materials.
Impact
Improved market recognition as environmentally considerate products

2022: Full Renewal of IT Sales Management System Across All Stores

Overview
Completely overhauled POS system to achieve efficiency in inventory and customer management.
Impact
Rapid decision-making through real-time sales data reflection

2021: Enhanced Diamond Traceability

Overview
Introduced digital management of purchase routes and quality information to improve transparency.
Impact
Contributed to enhanced customer trust and differentiation

2020: Launch of Online Sales Assistance System

Overview
Introduced system for online jewelry sales assistance and custom orders.
Impact
Successfully acquired new customer segments

Sustainability

  • Promotion of sustainable certified gems and materials
  • Introduction of energy-saving equipment in in-house factories
  • Improved waste recycling rate
  • Logistics optimization to reduce environmental impact
  • Implementation of jewelry recycling program
  • Support for local community environmental education
  • Building sustainable supply chains
  • Employee environmental awareness training
  • Gradual reduction of plastic packaging
  • Enhanced environmental consideration labeling on brand products
  • Active use of fair trade certified products
  • Formulation of carbon neutral plan