DMS

Basic Information

Stock Code
9782
Industry
Service Industry
Category Detail
Professional Services for Businesses
Prefecture
Tokyo
Establishment Year
April 1961
Listing Year
October 1995
Official Website
http://www.dmsjp.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Lococo, Bell System24 Holdings, Virtualex Holdings, Tojiki, DM Solutions, Inbound Tech, Bridge International, Smile HD, Direct Marketing Mix, Arubiban, BeWith, SmaSapo, Transcosmos

Overview

DMS, founded in 1961, is Japan's leading service provider in direct mail dispatch agency and offers a wide range of communication services.

Current Situation

DMS operates on a scale of consolidated sales of approximately 22.6 billion yen and around 306 employees for the fiscal year ended March 2017. It has established the top position in Japan in its core mailing services, providing one-stop services that integrate web, telecommunications, and logistics. It operates multiple business centers and logistics centers in Saitama Prefecture, supporting customers' DM promotions and mail-order fulfillment. It also covers event planning and sales promotion, offering multifaceted advertising support. By acquiring certifications for personal information protection and information security, it has enhanced its credibility. In recent years, it has invested in technologies to strengthen digital communications, focusing on improving operational efficiency and service quality. Moving forward, it aims for stable growth by expanding in the BtoB market and adapting to changes in the advertising industry.

Trivia

Interesting Facts

  • Japan's largest direct mail dispatch agency company.
  • Has led the evolution of DM services for over 60 years since founding.
  • High reliability as a Privacy Mark certified company.
  • Owns multiple large-scale business centers nationwide, mainly in the Kanto region.
  • One of the few publicly listed companies specializing in DM dispatch in Japan.
  • Event planning division also handles sports and cultural events.
  • Diversified business structure including mail-order fulfillment.
  • Major shareholder is founder representative Yamamoto Katsuhiko with over 15% ownership.
  • Also engages in information magazine editing and marketing research.
  • Emphasizes personal information protection and information security within the industry.

Hidden Connections

  • Has long-term partnerships with major advertising agencies and mail-order businesses.
  • Known for promotional support for local SMEs and governments.
  • Collaborates with logistics companies to build efficient dispatch networks.
  • Has technical alliances with major printing companies and insertion equipment manufacturers.
  • Competes with peer DM Solutions while also collaborating in some areas.
  • Event planning closely collaborates with advertising agencies as part of corporate PR.
  • Founder's family holds core management positions, supporting stable operations.

Future Outlook

Growth Drivers

  • Expanding demand for new services integrating digital and DM.
  • Increasing outsourcing demand from strengthened corporate promotional activities.
  • Growth in mail-order fulfillment demand accompanying e-commerce market expansion.
  • Emphasis on reliability amid rising personal information protection awareness.
  • Revenue source expansion through diversification of event planning and operations.
  • Technological innovations supporting logistics efficiency.
  • Opportunities for market share expansion through industry restructuring.
  • Recovery of corporate marketing investments post-COVID.

Strategic Goals

  • Complete integration of digital marketing into DM services.
  • Advanced logistics efficiency and reduced environmental impact.
  • Achieve 30 billion yen in sales for advertising support business.
  • Maintain top-level domestic personal information protection system.
  • Expand community contribution activities to nationwide scale.

Business Segments

Mailing Services Business

Overview
Comprehensive agency services for corporate DM and document mailing.
Competitiveness
Japan's largest network and high-quality delivery system
Customers
  • Advertising agencies
  • Retail companies
  • Financial institutions
  • Telecommunications companies
  • Publishers
  • Mail-order businesses
  • Local governments
  • Educational institutions
Products
  • DM Dispatch Agency
  • Document Dispatch
  • Insertion and Sealing
  • Address Printing
  • Data Processing

Sales Promotion Business

Overview
Comprehensive promotion support from planning to application sorting and telephone assistance.
Competitiveness
Comprehensive planning and production capabilities and customer response strength
Customers
  • Manufacturers
  • Advertising agencies
  • Event planning companies
  • Retail chains
  • Mail-order companies
  • Local governments
Products
  • Campaign Planning and Operation
  • Application Management System
  • Novelty Production
  • Telemarketing
  • Marketing Research

Event Planning and Operation Business

Overview
Handles a wide range of event operations from sports to cultural events.
Competitiveness
Extensive track record and planning/operation capabilities
Customers
  • Corporations
  • Sports organizations
  • Cultural organizations
  • Advertisers
  • Local governments
Products
  • Event Planning
  • Venue Setup
  • Ticket Sales
  • Operation Support
  • PR Events

Logistics Business

Overview
Provides inventory management and delivery services for mail-order and advertising materials.
Competitiveness
Efficient business center operations and logistics management system
Customers
  • Mail-order companies
  • Advertisers
  • Logistics companies
  • E-commerce operators
  • Manufacturers
Products
  • Product Storage
  • Dispatch Agency
  • Order Management
  • Inventory Management
  • Delivery Arrangement

Competitive Advantage

Strengths

  • Japan's largest mailing service network
  • Comprehensive direct communication support
  • Abundant business centers and logistics bases
  • Advanced personal information protection and security system
  • Revenue stability from diversified business operations
  • Strong customer base and long track record
  • High planning/production and execution capabilities
  • Synergy between telemarketing and event operations
  • Flexible customized service provision

Competitive Advantages

  • Largest scale and market share in the mailing services industry
  • Wide range of communication services provided on a one-stop basis
  • Reliable operations backed by years of experience
  • Multiple efficient business centers and logistics centers in Saitama Prefecture
  • Enhanced information protection through ISMS and Privacy Mark certifications
  • Seamless services through integration of advertising, events, and logistics
  • Flexible service design accommodating diverse customer needs
  • Accumulated industry knowledge and sales support expertise

Threats

  • Risk of DM market contraction due to shift to digital advertising
  • Rising printing and mailing costs
  • Increased operational constraints from strengthened personal information protection laws
  • Intensified digitalization responses by competitors
  • Industry labor shortage issues
  • Decrease in advertising budgets due to economic fluctuations
  • Intensified price competition from new entrants
  • Decline in competitiveness from delayed adoption of new technologies (AI, etc.)

Innovations

2022: Introduction of Automation Equipment at Business Centers

Overview
Installed automated insertion and sorting lines at DMS business centers to improve efficiency.
Impact
20% improvement in operational efficiency and successful cost reduction

2023: Introduction of AI Chatbot for Telemarketing

Overview
Launched new service utilizing AI chatbots to enhance customer response efficiency.
Impact
30% reduction in response time and improved customer satisfaction

2021: Logistics Center Expansion

Overview
Expanded logistics base in Saitama Prefecture to enhance storage and dispatch processing capacity.
Impact
15% improvement in dispatch processing capacity

2020: Privacy Mark Renewal through Security Enhancement

Overview
Introduced new information security measures to build a system exceeding certification standards.
Impact
Enhanced reliability of customer information protection

2024: Planned Introduction of Digital Marketing Integration System

Overview
Developing new system for effect measurement integrating DM and web advertising.
Impact
Expected to improve customers' marketing efficiency

Sustainability

  • Resource reduction through promotion of paperless DM
  • CO2 emission reduction via energy-saving equipment introduction
  • Waste recycling rate improvement activities
  • Continuous strengthening of personal information protection system
  • Environmental conservation activities in collaboration with local communities