Advertising Strategy for Achieving 3.5 Billion Yen in Annual Sales in the 4th Fiscal Year and a Roadmap to 10 Billion Yen at a Buying Specialty Store

Mankunkunkun Co., Ltd. Chairman's Message

At the end of the third fiscal year, our sales target for the fourth fiscal year was 2 billion yen in annual sales.

However, halfway through the year, based on the pace of business growth, we revised our target upward to 2.5 billion yen. Ultimately, we were able to achieve annual sales of 3.5 billion yen, far exceeding that goal.

This result is thanks to the daily efforts of each and every employee, our customers, business partners, financial institutions, and everyone who supports our company. I express my sincere gratitude.

However, I am not satisfied with the figure of 3.5 billion yen.

Of course, it was not a number that could be reached easily. But for me, 3.5 billion yen is not the goal, but a stepping stone on the way to 10 billion yen.

As the company grows, we can help more customers, provide a better environment and higher wages for our employees, and actively invest in new challenges.

Therefore, we have no intention of stopping.

A Year When Radio Advertising Changed the Company

The biggest factor that significantly boosted our performance in the fourth fiscal year was radio advertising.

We had always focused on radio advertising, but this fiscal year we significantly increased the broadcast volume.

As a result, we realized something anew.

Radio is about "quantity," not "quality."

People don't act from hearing a commercial just once.

However, a company that is heard repeatedly every morning, every week, naturally builds a sense of trust.

"I've heard of them."

"They're always on the radio."

The accumulation of these impressions builds a brand and leads to inquiries.

We were inspired by the radio commercials played at Sukiya.

In fact, this fiscal year, we saw a significant increase in buying deals worth tens of millions of yen through radio.

We believe this is not a coincidence, but a result of brand recognition.

High-Value Transactions are Chosen by Trust, Not Price

For customers selling precious metals, artworks, or inherited items worth tens of millions of yen, requesting an appraisal is not something they experience many times in their lives.

That's why customers don't choose a company based on price alone.

"I can trust this company."

"I've seen them on TV."

"I always hear them on the radio."

These accumulated impressions ultimately lead to a request.

For better or worse, simply delivering a flyer will not allow us to approach customers dealing with transactions in the tens of millions of yen.

We realized this anew this fiscal year.

Challenging Local Television

In parallel with radio, we also actively participated in local television programs.

Television programs are not just advertisements.

They are opportunities for people to understand the company's philosophy, its people, and their attitude towards work.

We believe that having viewers resonate with the program and think, "I want to entrust this company," is extremely important for acquiring high-value transactions.

Therefore, our company is also involved in producing terrestrial television programs for special broadcast buying events on a quarterly basis, sponsored by a single company.

We want to continue delivering value that cannot be conveyed through commercials alone, in the form of programs.

Challenging to Become a Brand Company

I often read the financial statements of competitor companies.

I learn a great deal from the management strategies of BuySell Technologies, in particular.

Despite having about 800 buying sales representatives, their gross profit per appointment exceeds 100,000 yen.

This is not a figure that can be achieved by sales skills alone.

I believe that it is precisely because of brand recognition that customers can confidently entrust us with high-value transactions.

Furthermore, considering that their current CEO comes from a background of managing CMs for a major advertising industry giant, media strategy is one of the most critical issues in the reuse industry.

We also aim to become a "company chosen by brand," not just a sales company.

Billboard Advertising and Cross-Media

In local cities, billboard advertising has also yielded significant results.

"You're the company with that billboard, right?"

We are increasingly hearing this.

In the future, we will utilize billboards in TV commercials as well, pursuing a cross-media strategy to create the impression of a "company seen on billboards in town and on television."

We believe that advertising, when combined, yields many times the effect of advertising used alone.

Store Strategy Enters a New Stage

The store business was also a major pillar supporting our growth this fiscal year.

Until now, our focus has been on opening stores in areas with little competition, such as Sado City and Shimanto City.

We were able to earn sufficiently.

However, this fiscal year, we actively challenged ourselves by opening stores in terminal stations.

We aim to become a company that can win not only in local areas but also in direct competition in major cities.

We have gained a lot of know-how for that purpose.

Meanwhile, in local areas, we are also achieving success with a roadside strategy of opening stores in former convenience store locations and installing signs in about 15 locations within the city to guide customers to the stores.

In the future,

・Local roadside stores

・Terminal station front stores

We will proceed with nationwide expansion focusing on these two types.

Antiques Have the Potential to Change the Company's Future

There is an area we particularly want to strengthen going forward.

That is antiques.

The world of antiques is very deep and not a simple one.

We estimate that 90% have little to no market value.

The remaining 10% are treasures.

But the real dream lies beyond that.

Of that 10%, about 1/100th contain items worth tens of millions, and sometimes hundreds of millions of yen.

I feel enormous potential there.

Antiques are not just commodities.

They have history, culture, and people's emotions.

Correctly assessing their value and passing them on to those who need them is also our important role.

Going forward, we will focus on training specialized appraisers and collaborating with external experts, aiming to become not just a "company strong in antiques," but a company that can be called, "For antiques, it's Mankunkunkun." M&A Will Also Be Actively Pursued

To aim for 10 billion yen, growth through our own efforts alone has its limits.

Therefore, we want to actively pursue M&A.

Antique shops and buying stores that have operated in local communities for many years possess excellent appraisal skills and trust from the community.

On the other hand, many of these companies face the challenge of a lack of successors.

By joining hands with such companies and leveraging each other's strengths, we believe we can create greater value.

M&A is not about buying a company.

I believe it is about increasing the number of colleagues who share our aspirations.

Aiming to Be a Company Where People Don't Leave

Going forward, we are also planning a franchise system exclusively for sales employees.

There will be no franchise fee.

The royalty will be 1% regardless of sales.

The purpose is not company profit, but investment in human resources.

It is not uncommon for our sales employees to earn 2 to 3 million yen per month.

However, the more excellent the talent, the further they aim.

In fact, our all-time No. 1 and No. 3 sales representatives became independent but returned after experiencing the difficulties of management.

Sales and management are completely different things.

Therefore, we want to create an environment where employees can challenge themselves as managers while remaining with the company.

That is the purpose of this system.

Towards the 5th Fiscal Year

For the fifth fiscal year, we are targeting annual sales of 6 billion yen, with upward revisions also in consideration.

This figure does not include the franchise business.

We will continue to actively disclose our management strategies, just like listed companies.

We will share not only successes but also failures.

In fact, this fiscal year we challenged ourselves with about 50 initiatives, and only a portion of them led to significant results.

We have completely withdrawn from the event business.

However, those challenges have led to subsequent successes.

As an outlier in the reuse industry, we will continue to run forward without stopping our challenges.

We will realize our goal of 10 billion yen in annual sales and continue to create new value beyond that.

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Finally, we will share our thoughts.

Investment in advertising, investment in human resources, investment in brand.

We will further strengthen these three areas going forward.

We have no intention of stopping investment in favor of short-term profits.

We aim to be a company chosen by brand, not just by price.

To seriously aim for 10 billion yen in annual sales, our own strength has limits.

We will continue to actively join hands with excellent individuals and companies who share our aspirations, and create new value in the industry.

For those who desire the status quo, our company may not be suitable.

However, for those who want the experience of growing a company into a 10 billion yen enterprise with their own efforts, I am convinced that the next few years will be the most interesting period in the company's history.

We welcome competition.

However, we will not stop.

I believe that only companies that continue to challenge themselves without fear of change can lead the reuse industry going forward.

Mankunkunkun Co., Ltd. will continue to provide new value to customers, employees, and the local community without stopping its challenges.

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