Expanding Sales of OEM and Collaboration Products

「Private-label products continued to generate earnings pressure as a result of pricing measures aimed at promoting sales.」

「Although sales of national-brand products with strong brand equity remained firm, profitability was pressured by pricing measures to promote sales of our private-label products.」

「As a result of pricing measures aimed at promoting sales of the Company’s private-label products, earnings were pressured.」

「In sales by product category, PBCB products (private-label products and collaboration products) accounted for 27.1% of sales, and sales declined slightly from the same period of the previous year.」

「PB (private-label) products and CB (collaboration-brand) products accounted for 27.2% of sales.」

「In sales by product category, we continued strengthening information dissemination through social media and coupon campaigns for PB (private-label) and CB (collaboration-brand) products. Although sales remained broadly flat from the previous fiscal year, the sales composition ratio of PB and CB products declined to 28.3%, down 0.3 percentage points year on year, due to the impact of expanded sales of seasonal products in the NB (national-brand) category.」

「In sales by product category, we strengthened information dissemination through social media and coupon campaigns for PB (private-label) and CB (collaboration-brand) products rather than NB (national-brand) products. As a result, the sales composition ratio of PBCB products increased to 30.4%.」

「The sales composition ratio of our PB (private-label) and CB (collaboration-brand) products increased to 30.2%, up 1.6 percentage points from the previous fiscal year. We will continue working to expand PBCB products to differentiate ourselves from competitors.」

「The sales composition ratio of our PB (private-label) and CB (collaboration-brand) products increased to 28.6%, up 1.0 percentage point from the previous fiscal year. In the Blooming Style division, which plans and develops PB (private-label) products, winter products struggled due to the mild winter, but HIMICO continued to perform strongly, and division sales increased to 117.3% of the previous fiscal year's level. We also launched the men's brand HIMICO uomo and will seek further sales growth.」

「In sales by product category, we strengthened information dissemination through social media and coupon campaigns for PB (private-label) and CB (collaboration-brand) products rather than NB (national-brand) products, which face intense price competition. As a result, the sales composition ratio of PBCB products was 28.8%, a slight decline of 0.6 percentage points from the cumulative second quarter. This was due to strong growth in sales of certain products supported by promotional initiatives such as TV commercials for seasonal products by NB manufacturers, as well as increased sales of NB products through discounting measures. We will continue working to expand PBCB products to differentiate ourselves from competitors.」

「The sales composition ratio of our PB (private-label) and CB (collaboration-brand) products increased to 29.4%, up 1.8 percentage points from the previous fiscal year. We will continue working to expand PBCB products to differentiate ourselves from competitors.」

「The sales composition ratio of our PB (private-label) and CB (collaboration-brand) products increased to 29.2%, up 1.6 percentage points year on year. We will continue working to expand PBCB products to differentiate ourselves from competitors.」

「During the fiscal year, we actively advanced the development of PB (private-label) products by the Blooming Style and La Vie A Deux divisions to differentiate ourselves from competitors. As a result, the proportion of PB collaboration products in total sales increased to 27.6%, up 1.1 percentage points from the previous fiscal year.」

「Sales of various PB products, including HIMICO, and CB (collaborative brand) products increased to 114% of the year-earlier level as a proportion of total sales. We will continue expanding PBCB products to differentiate ourselves from competitors.」

「At our flagship store, sales of HIMICO (a PB product) and bundled products performed strongly, while an increase in orders generated through advertising and the LINE app brought sales to 112% of the year-earlier level」

「As a result, the proportion of PB collaboration products in total sales increased to 26.5%. Sales in the Blooming Style division, which handles HIMICO, also increased substantially to 149.9% of the previous fiscal year's level, partly because HIMICO performed strongly.」

「To differentiate ourselves from competitors, we continued the active development and sale of in-house products (PB products) by the Blooming Style and La Vie A Deux divisions. During the cumulative third quarter, the PBCB ratio of total sales was 26.3%, an increase of 2.6 percentage points from 23.7% at the end of the previous fiscal year. In particular, the PB product HIMICO, launched in September 2020, performed strongly, increasing 249% year on year.」

「To differentiate ourselves from competitors, we continued the active development and sale of in-house products (PB products) by the Blooming Style and La Vie A Deux divisions. During the cumulative second quarter, PB products and collaboration products with manufacturers accounted for 25.1% of total sales, an increase of 1.4 percentage points from the 23.7% recorded in the same period of the previous fiscal year.」

「Differentiation from competitors and securing profit margins through the active development of in-house products (PB brand products) by the Blooming Style and La Vie A Deux divisions」

「In particular, the sales proportion of PB collaboration products, which differentiate us from competitors and are expected to generate high profit margins, increased steadily from 19.6% in the previous year to 23.8%, an increase of 4.1%.」

「The proportion of PB products, which are expected to generate high profit margins, also increased 4.9% year on year and performed steadily.」

「Meanwhile, as stay-at-home consumption expanded and the proportion of PB products we are promoting increased 4% year on year and remained strong」

「Under these operating conditions, and guided by our corporate philosophy, “A fulfilling innerwear life is wonderful!”, we continued working to strengthen our product lineup and acquire new customer segments. During the cumulative first quarter, PB products performed strongly, increasing 43% year on year, while the number of orders, order volume and average spending per customer all exceeded the year-earlier levels.」

「We will work to plan, develop and expand sales of high-margin PB collaboration products, centered on the Tokyo sales office opened last fiscal year」

「With an insufficient supply of flagship and sale products, and a particularly sharp decline in PB collaboration products, sales fell substantially below budget.」

「Promotion of high-margin OEM product expansion」

「To differentiate itself from other websites, the Company continues to focus on adding new brands and expanding its assortment, as well as strengthening sales of OEM products,」

「We also focused on strengthening sales of OEM products, including SHIROHATO's specialty socks and ContRante's shape-memory bras.」

「While working to develop and expand sales of high-margin OEM products」

「We are also working to improve profit margins, including by beginning sales of OEM products whose development had been delayed」

「Delays in developing high-margin OEM products resulted in a difficult business environment.」

「While seeking to expand sales of high-margin OEM (collaboration) products, we will also continue to develop our sales and administrative structure.」