Addressing digital marketing and omnichannel retail

「To achieve sustainable business growth, the company plans to expand its service offerings in owned media, one of its strengths, support various devices such as the web and apps, and advance a multichannel strategy spanning digital and physical channels. It has begun initiatives to deliver a consistent UX without a perceptible boundary between digital and physical channels, and plans to accelerate these efforts further through the effective use of generative AI technology.」

「To support future business growth, the company plans to expand the range of services offered in the owned-media field, where it has traditionally had strengths, and to strongly advance a multichannel strategy spanning the web and various devices, both digital and physical, while also focusing on developing new services that use generative AI.」

「To support future business growth, the company plans to expand the range of services offered in the owned-media field, where it has strengths, and to advance a multichannel strategy spanning the web and various devices, both digital and physical, in order to enhance its competitive advantage.」

「Against this business backdrop, to support future business growth, the Company plans to expand the scope of services provided in the owned media field and promote a multichannel strategy spanning not only the web, which has been its focus since its founding, but also various devices, messaging, advertising, e-commerce, and physical stores, regardless of whether they are digital or physical, while focusing on developing new services that use digital technology.」

「In September 2023, we began considering a proof of concept (PoC) with FLUX Co., Ltd. (head office: Shibuya-ku, Tokyo; Representative Director and CEO: Nagai Motoharu (永井元治)) to develop a “next-generation marketing platform,” including AI-powered website development.」

「We will pursue business growth by strengthening collaboration with our parent company, NTT DATA Corporation, to improve sales efficiency; promoting activities that propose multiple solutions comprehensively in response to diversifying needs; and delivering major benefits to clients’ DX and digital marketing through the realization of an optimal user experience without barriers between online and offline channels.」

「To support future business growth, the company plans to expand the range of services offered in the owned-media field, where it has strengths, and to advance a multichannel strategy spanning the web and various devices, both digital and physical, in order to enhance its competitive advantage.」

「In this business environment, we support client companies’ DX and digital marketing by leveraging our expertise in user experience design (customer experience design) and digital technology. We have strengthened our DX proposal activities and deepened collaboration with our parent company, NTT DATA Corporation. Orders remained strong, and net sales increased 21.5% year on year.」

「With the strengthening of proposals related to DX and its collaboration with NTT DATA Corporation proving effective, orders for existing services remained strong, led by major customers in the telecommunications, retail, and local government sectors.」

「We operate a business supporting client companies’ digital transformation (DX) and digital marketing by leveraging our expertise in user experience design (UXD) and digital technology.」

「As part of its efforts to drive business growth, the company is focusing its sales activities on services that propose an integrated user experience without separating online and offline channels, and services that integrate analysis of advertising and SEO used to drive traffic to owned media to improve their effectiveness.」

「As a new business area, during the third quarter we released the “Prize and Campaign Supporter” app on the Shopify e-commerce platform to reduce the workload involved in shipping prizes and samples.」

「In the digital marketing-related fields served by our group, the expansion of so-called “stay-at-home consumption” and the “new normal,” including remote work, has further accelerated the expansion of direct-to-consumer (D2C) sales through owned channels such as e-commerce websites in response to consumer behavior, as well as initiatives toward digital transformation (DX), which uses digital technology to transform products, services and business models. Corporate investment in digital-related fields continues to expand.」

「As a new business area, we have begun providing services supporting the implementation and use of the multichannel commerce platform Shopify, adopted by more than 1.7 million online stores in 175 countries worldwide.」

「In terms of services, we launched the “Website Update and Operations Service” and the “Website Operations Assessment Service” to support companies’ digital marketing operations. In November 2020, we also launched the “Next-Generation Shopping Experience App Support Service,” which supports the development of smartphone apps for the retail industry.」

「In the digital marketing-related fields served by our group, some areas of the market are expected to contract in the short term because of the suspension of advertising and promotional activities, while the expansion of direct-to-consumer (D2C) sales through owned channels such as e-commerce websites in response to consumer behavior, and initiatives toward digital transformation (DX), which uses digital technology to transform products, services and business models, are accelerating.」

「The Group's policy is to continue providing highly distinctive services built on its strengths in unconstrained proposal capabilities, highly creative capabilities, and advanced technological capabilities, with the aim of becoming the No. 1 brand in user experience (UX) design.」

「During the cumulative second quarter, we began providing the “Innovation Design Service,” which promotes collaboration in innovation activities across businesses and organizations within companies, and the “KPI Design Support Service,” which supports the development of metrics for evaluating companies’ digital marketing from business, UX and data perspectives. We thereby strengthened services supporting companies’ digital transformation.」

「Meanwhile, in the digital marketing market in which our group operates, adoption of marketing automation (MA), which automates marketing according to customer attributes, and data management platform (DMP) tools, which centrally manage big data and log data from company websites, is advancing, and corporate demand for support in implementing these systems is also increasing.」

「Going forward, our group will work with NTT DATA to use the expertise of both companies to expand support for digital marketing initiatives integrating management, marketing and IT, and to create new businesses linking digital marketing with systems integration.」

「Our company and NTT DATA established a comprehensive business alliance covering all phases of both companies’ businesses, from product planning through marketing and sales, system development, system operations and business operations support, with the aim of making our company the core entity responsible for the NTT DATA Group’s digital marketing strategy and achieving sustained growth in corporate value for both companies. In addition, as a means of maintaining and strengthening this business alliance, our company became a consolidated subsidiary of NTT DATA, thereby establishing a capital alliance between the two companies.」

「In addition to continuing to implement the measures described above, we are pursuing initiatives to make use of internal talent and improve workforce utilization, including controlling outsourcing costs and planning and developing short-lead-time services such as the “Simplified GDPR Compliance Survey Service.”」

「The digital marketing market in which our group operates is growing steadily. System markets such as marketing automation (MA), which automates marketing according to customer attributes, and data management platforms (DMPs), which centrally manage big data and log data from company websites, are expanding, and corporate demand for support in implementing these tools and systems is also increasing.」

「In this business environment, we have secured a competitive advantage over competing companies through our knowledge, track record and service quality in the area of customer experience, where all processes, including business development, system development and design, are derived from the user experience.」

「Demand is growing for mobile compatibility, content personalization and marketing automation as companies become more active in initiatives such as enhancing the consumer experience and renewing marketing channels through the digital marketing services we provide to support their marketing activities from an IT perspective.」

「Against this backdrop, as a new initiative, we established “Neko Labo,” a research project on consumer characteristics and approaches after defining consumers who cannot be captured by conventional marketing methods as “cat-type customers.” Meanwhile, our consolidated subsidiary Tribal Media House Co., Ltd. released an iOS app for the lifestyle media platform “Funmee!!” (ファンミー).」

「In terms of services, we focused on the growing number of consumers for whom conventional marketing initiatives, such as loyalty programs, have not produced sufficient results. We defined this consumer profile as the “cat-type customer” and launched “cat-type marketing,” a service providing effective marketing initiatives. In addition, our consolidated subsidiary Tribal Media House Co., Ltd. entered into a business alliance with Ei Publishers Co., Ltd., a major publisher of lifestyle books, and strengthened the editorial structure for its own media platform, “Funmee!!” (ファンミー).」

「In addition to beginning to provide “Messenger Connector” (Note 1), jointly developed by the company and its subsidiary Tribal Media House Co., Ltd., Tribal Media House launched its own media platform, “Funmee!!” (Note 2). The group as a whole is strengthening its capabilities to support companies’ digital marketing across the full range of owned, earned and paid media.」

「We worked to strengthen our order-taking capabilities and services, including by partnering with NTT DATA Corporation in the omnichannel field, particularly for the distribution industry, to provide services drawing on our omnichannel expertise.」

「An increasing number of companies, particularly in the retail sector, are pursuing omnichannel strategies that review all consumer touchpoints, including websites, social media and stores, as well as logistics, creating business opportunities for us.」