Expanding New Contracts and Managed Parking Facilities in Japan

「In the parking business, the company worked to expand its business base and improve profitability in Japan, pursuing three pillars of its growth strategy: improving the profitability of existing properties, acquiring new properties, and providing parking brokerage services through its website.」

「In the domestic parking business, we are pursuing a growth strategy built on 3 pillars: acquiring new properties, improving profitability at existing properties and brokering parking through our website.」

「In addition to Tokyo and Osaka, we completed the opening of bases in Sapporo, Sendai, Yokohama, Nagoya, Hiroshima and Fukuoka, expanded our priority areas and increased operator staffing. We also formed a dedicated team to update parking availability. By automatically distributing nearby parking availability information to users seeking the best parking options in a timely manner, we were able to continue making proposals to users who had not entered into contracts when they first inquired. As a result of these initiatives, we maintained the highest number of listed properties across the search site and by municipality in major areas, while inquiries also increased to more than 110,000 during the current interim consolidated accounting period, up 28.3% year on year.」

「During the cumulative third quarter of the current fiscal year, we expanded the priority areas of the monthly parking search site and focused on increasing the number of listed properties by strengthening field surveys, achieving the highest number of listed properties across the site and by municipality in major areas. As the number of listed properties increased, inquiries also rose, with cumulative user inquiries exceeding 143,000, compared with 107,000 in the same period of the previous year. The number of contracts also increased, and in March we reached 1,000 contracted spaces in a single month, while user contracts at our directly operated properties also increased.」

「During the cumulative second quarter of the current fiscal year, we expanded the priority areas of the monthly parking search site and focused on increasing the number of listed properties by strengthening field surveys. As a result, we achieved the highest number of listed properties both across the site and by municipality in major areas.」

「In the domestic parking business, we worked to improve the convenience of the monthly parking search site and increase inquiries, and to improve the speed and volume of matching users with the most suitable parking facilities by strengthening our operating structure. In addition, by analyzing the large volume of demand data obtained from monthly parking users, we continued from the previous period to focus on securing new contracts through multifaceted operating proposals to owners based on the analysis results.」

「By strengthening the number of properties listed on the monthly parking search site and the information provided for each property, among other measures, the number of monthly user inquiries increased approximately sixfold over 3 years compared with March 2020. In addition, the number of contracts increased as a result of strengthening staffing and shortening the response time from inquiry to proposal.」

「In the domestic parking business, we thoroughly advanced the digital transformation of parking data. This enabled us to analyze user data, improving the profitability of existing properties, making multifaceted proposals to owners based on the results of user-data analysis, and increasing the number of new contracts.」

「By increasing the number of operating bases for the monthly parking search site and driving more traffic, we gained access to a large volume of user data. Based on analysis of this data and by leveraging the sales capabilities of personnel at each operating base, we dramatically improved the speed and volume of matching users with the most suitable parking facilities.」

「Supported by solid orders for properties in the previous period, revenue performed steadily as new contracted properties contributed throughout the current full fiscal year. As a result, during the cumulative third quarter of the current fiscal year, the domestic parking business secured 83 new properties and cancelled 54 properties, for a net increase of 29 properties from the end of the previous consolidated fiscal year.」

「When regularly contacting property owners regarding newly undertaken properties, we received an increasing number of consultations about difficult operating conditions, including weak utilization during the COVID-19 pandemic. We therefore focused on sublease proposals, including reviews of pricing structures in light of surrounding market conditions, and advanced the undertaking of new properties.」

「We focused on proposing the +1 (Plus One) solution, combining staffed parking operations with the use of vacant tenant space, to owners facing changes in tenant demand and lower parking utilization due to tenant departures, remote work and other factors. We also focused on newly undertaking properties in areas with many inquiries on the parking search site, securing properties including the Fujita Building in Hiroshima and Kudan First Place in Tokyo.」

「We focused on collecting information on and newly undertaking the management of targeted properties, promoting monthly contracts, improving productivity by reviewing the employee evaluation system and reducing costs by bringing outsourced operations in-house.」

「Meanwhile, we focused on collecting information on and acquiring targeted properties, promoting monthly contracts and improving productivity by reviewing the employee evaluation system. As a result, during the cumulative third quarter of the current fiscal year, the domestic parking business secured 101 new properties and cancelled 54 properties, for a net increase of 47 properties from the end of the previous consolidated fiscal year.」

「Meanwhile, we promoted monthly contracts, collected information on targeted properties in anticipation of an increase in available parking spaces as office tenants vacated buildings and companies reviewed their vehicle holdings, and focused on improving productivity by reviewing the employee evaluation system. As a result, during the cumulative second quarter of the current fiscal year, the domestic parking business secured 70 new properties and cancelled 41 properties, for a net increase of 29 properties from the end of the previous consolidated fiscal year.」

「Anticipating an increase in available parking spaces as office tenants vacated buildings and companies reviewed their vehicle holdings, we promoted proposals for new properties and focused on improving productivity by reviewing the employee evaluation system. As awareness of infection-control measures and workplace reforms increased, we strengthened proposals for monthly rental cars with parking suited to a direct-to-client, direct-return sales style. We also enhanced the parking referral service using an internet site by increasing inquiries and improving user convenience through new functions. As a result, during the cumulative first quarter of the current fiscal year, the domestic parking business secured 34 new properties and cancelled 24 properties, for a net increase of 10 properties from the end of the previous consolidated fiscal year.」

「To improve profitability at existing properties, we worked to improve revenue by reviewing rates and operating methods at hourly parking facilities, promoted reviews of contract terms, and improved the contract unit price and contract rate at monthly parking facilities. We also reorganized the sales organization to optimize it for acquiring new properties and worked to secure new properties by increasing the number of activities undertaken by each sales representative.」

「To improve profitability at existing properties, we worked to improve revenue by reviewing rates and operating methods at hourly parking facilities, promoted reviews of contract terms, and improved the contract unit price and contract rate at monthly parking facilities. We also reorganized the sales organization to optimize it for acquiring new properties and worked to secure new properties by increasing the number of activities undertaken by each sales representative. As a result, during the cumulative third quarter of the current fiscal year, the number of new contracts in the domestic parking business increased by 80 properties year on year, including an increase of 7 properties from the same period of the previous year, while the number of domestic managed properties reached 1,203 and total managed spaces reached 45,977.」

「To improve profitability at existing properties, we worked to improve revenue by reviewing rates and operating methods at hourly parking facilities, promoted reviews of contract terms, and improved the contract unit price and contract rate at monthly parking facilities. We also reorganized the sales organization to optimize it for acquiring new properties and worked to secure new properties by increasing the number of activities undertaken by each sales representative. As a result, during the cumulative second quarter of the current fiscal year, the domestic parking business secured 56 new properties, an increase of 20 properties year on year.」

「To improve profitability at existing properties, we promoted reviews of contract terms, improved the rate of monthly contracts and proposed new solutions, including monthly rental cars with parking. We also reorganized the sales organization to optimize it for acquiring new properties and worked to secure new properties by ensuring efficient sales activities by each sales representative. As a result, during the cumulative first quarter of the current fiscal year, the domestic parking business secured 31 new properties and cancelled 28 properties, for a net increase of 3 properties from the end of the previous consolidated fiscal year.」

「Building on our strength in hospitality-oriented parking operations, we secured new properties, including the valet service at Nihombashi Mitsukoshi Main Store and the parking facility at Osaka Kaisei Hospital, our first hospital operation, with 80 spaces.」

「To improve profitability at existing properties, we promoted reviews of contract terms, improved the rate of monthly contracts and proposed new solutions, including monthly rental cars with parking. We also reorganized the sales organization to optimize it for acquiring new properties and worked to secure new properties by ensuring efficient sales activities by each sales representative.」

「To improve profitability at existing properties, we promoted reviews of contract terms, improved the rate of monthly contracts and proposed new solutions, including monthly rental cars with parking. We also reorganized the sales organization to optimize it for acquiring new properties and worked to secure new properties by ensuring efficient sales activities by each sales representative.」

「As flagship new managed properties in the Tokyo area, we secured the doorman service at Cerulean Tower Tokyu Hotel and the valet service at Nihombashi Mitsukoshi Main Store, among others.」

「As profitability improvements at directly operated properties combining hourly parking progressed ahead of schedule, we reorganized the structure supporting the sales personnel previously assigned there toward acquiring new properties, and worked to secure new properties. As flagship new managed properties in the Tokyo area, we began operating the Togo Parking/Jingumae Tower Building parking facility, a redevelopment project in Harajuku, with 151 spaces, in September, followed by the Meguro Central Square parking facility, part of a large-scale redevelopment in front of Meguro Station, with 208 total spaces and 198 managed spaces, in December.」

「As flagship new managed properties in the Tokyo area, we began operating the Togo Parking/Jingumae Tower Building parking facility, a redevelopment project in Harajuku, with 151 spaces, in September last year, followed by the Meguro Central Square parking facility, part of a large-scale redevelopment in front of Meguro Station, with 208 total spaces and 198 managed spaces, in December.」

「In August, we undertook the management of the UD Yumesaki Building parking facility, directly connected to Universal City Station and comprising hotel and wedding facilities, with 126 spaces. In September, we began managing the Togo Parking/Jingumae Tower Building parking facility, a redevelopment project in Harajuku, with 151 spaces. In addition, in October we began operating the Dojima Avanza parking facility in the Osaka-Umeda area, with 46 spaces, and the Sendai Meihou Building parking facility in the area in front of Sendai Station, with 20 spaces, further advancing our strategy of building dominant positions in local markets.」

「As flagship large-scale new contracts, we began operating the parking facility at OIT Umeda Tower, the new campus of Osaka Institute of Technology in the Umeda area, with 58 spaces, in November last year. In April this year, we newly undertook the management of Parking Lots 1 and 2 at the Osaka Merchandise Mart Building (commonly known as the OMM Building), operated by the Keihan Holdings Group, with a total of 689 spaces. In June, we also began operating the parking facility at Hibiya Parkfront, near Hibiya Park, with 77 spaces.」

「As a flagship new managed property, in April we began managing Parking Lots 1 and 2 at the Osaka Merchandise Mart Building (commonly known as the OMM Building), operated by the Keihan Holdings Group, with a total of 689 spaces. In addition, we began operating the Chugoku Labour Bank Head Office Building parking lot in Hiroshima on an hourly basis, with 30 spaces, and continued to secure new contracts nationwide for office buildings owned by financial institutions, including banks and life insurers. Furthermore, in March, we purchased Cowbell Parking, located in front of Sendai Station and previously managed by us under contract, from the building owner and converted it to direct operation.」

「Among the flagship new properties, we began operating the parking facility at Agri Square Shinjuku, newly completed last November at the redevelopment site at the Shinjuku Station South Exit, with 37 managed spaces. In the Umeda area, we also secured a contract to manage the parking facilities at OIT Umeda Tower, the new campus of Osaka Institute of Technology, with 58 managed spaces, among other major development projects.」

「To expand the scale of the business, we focused on securing new contracts and actively marketed large-scale parking facility renovation work and the provision of alternative parking during the renovation period to parking facility owners and mechanical parking system manufacturers. As a result, during the first quarter of the current consolidated fiscal year, the domestic parking business added 11 properties. As we proceeded with terminating unprofitable and low-profitability properties and reviewing contract terms, 20 properties were terminated, resulting in a net decrease of 9 properties from the end of the previous consolidated fiscal year.」

「During the consolidated fiscal year, the domestic parking business added 125 properties under new contracts and terminated 57 properties, resulting in a net increase of 68 properties from the end of the previous consolidated fiscal year. The number of properties under management in Japan was 1,218, and the total number of parking spaces under management was 43,280, up 8.2% year on year.」