Strengthening sales of low-priced products and expanding everyday-use offerings

「In our core apparel and lifestyle business, we expanded our product initiatives and worked to enhance the freshness and recognition of existing brands by introducing the weather-responsive cooling material “ＳＡ・ＲＡ・ＲＩ” and new models of “マイデニ,” our core private-label bottoms brand, while further strengthening the rollout of IP and collaboration products.」

「In terms of products, in response to record heat, we strategically launched core items such as the “SA・RA・RI” series with cooling functionality and “Tough Luck T,” combining high durability with comfort. For the autumn/winter season, anticipating sharp temperature declines and unstable weather, we expanded the lineup of the “MAC HEAT” series using high-performance materials with photothermal and moisture-activated heat-generation properties, seeking to capture demand resulting from weather changes and increase sales.」

「For the spring/summer season, we revised our assortment to respond to changes in temperature and weather by expanding items in the “SA・RA・RI” series made with cooling materials, adding production of best-selling summer products to address extreme heat, and launching early-autumn products to address lingering summer heat. For the autumn/winter season, we advanced the development of core items that would serve as sales pillars, including the “Shut Outer,” a mainstay outerwear product marketed for its functionality, and the “Nobiru Mon” kids' stretch-pants series, which has sold a cumulative 1.27 million pairs.」

「Under product policy, as part of rebuilding the women's apparel division, we began selling “HusHusH,” a brand developed in collaboration with WORLD CO.,LTD. At stores carrying the brand, this had a certain positive effect in expanding the customer base and increasing women's apparel sales. We also expanded the “SA・RA・RI” series under the “NAVY” private brand as summer functional merchandise, while introducing additional production of best-selling summer products to address extreme heat and launching new early-autumn products to address lingering summer heat, thereby responding to customer needs during periods of extreme and lingering heat.」

「Regarding product policy, as part of rebuilding the women's apparel division, we began selling “HusHusH,” a brand developed in collaboration with WORLD CO.,LTD., and sought to increase customer traffic by introducing a new, well-known brand and expertise in creating sales-floor displays. We also expanded the “SA・RA・RI” series under the “NAVY” private brand as summer functional merchandise and rolled out the comfortable, functional “NAVY FIT” series under the concept of “Every Day, Fits Anywhere,” developing a range of products combining fashion and functionality.」

「To adapt to needs that change with customers' increasingly diverse lifestyles and values and with store locations, we will optimize our assortment by combining our strengths in private brands and national private brands with well-known national brands.」

「Regarding product policy, as the launch of autumn merchandise was delayed by lingering summer heat, we focused on sales of bottoms, an evergreen product category, to secure revenue. At the same time, we controlled purchasing and accelerated the conversion of carryover products into cash, working to bring inventory levels into line with appropriate levels.」

「Regarding product policy, while disposing of slow-moving products to reassess appropriate inventory levels, we analyzed customer needs by regional and location-specific characteristics, optimized assortments and sought to strengthen competitiveness. We also worked to improve the gross margin ratio by rigorously managing purchasing and inventory plans to reduce excessive price changes and actively developing functional products under our private brands.」

「Regarding product policy, while disposing of slow-moving products to reassess appropriate inventory levels, we sought to strengthen competitiveness through assortments aligned with customer needs by rigorously managing inventory by region and store location. Through thorough purchasing plans and seasonal inventory management, we worked to increase the proportion of products sold at original prices, while promoting the development of functional private-brand products, mainly under our private brands, to improve the gross margin ratio.」

「In terms of products, we focused on winter essentials, including the “All-Weather Jacket,” high-performance outerwear developed based on customer feedback regarding comfort and functionality, knitwear combining functions such as antibacterial and odor control, static-electricity reduction and stretch, bottoms made with warm materials, and the “Warmth℃” series of bottoms, sweatshirts and hoodies made with warm materials, centered on the private brand “NAVY.”」

「In terms of products, while providing “products useful in everyday life” at affordable prices, we developed and sold as core products high-performance outerwear, jeans and items made with sustainable materials, incorporating customer feedback on comfort and functionality.」

「In terms of products, under the concept of “Making Every Day Comfortable,” we focused on selling the “SA・RA・RI” series, which adds functions suited to each product, such as cooling, deodorizing and antibacterial properties, to summer functional innerwear and frequently worn everyday clothing. We also began selling casualwear made with functional fabrics, such as cooling and moisture-wicking quick-dry materials, under “CEDAR CREST,” a brand highly supported by customers at our parent company, CHIYODA CO.,LTD., and expanded our range of functional products in response to strong customer demand as a measure against extreme heat.」

「In terms of products, under the concept of “Making Every Day Comfortable,” we focused on selling the “SA・RA・RI” series, adding functions suited to each product, such as cooling, deodorizing and antibacterial properties, to a broad range of everyday wear including summer functional innerwear, frequently worn T-shirts, relaxed pants and loungewear. We also thoroughly tailored assortments to individual stores based on differing needs by region, including temperature variations in Hokkaido and Okinawa, and by store location, optimizing assortments and reducing lost sales opportunities.」

「We also strengthened our locally tailored assortment by addressing customers' broad needs through practical items made with functional fabrics and collaborations with highly popular anime franchises, and by expanding our range of larger sizes in response to frequent customer requests.」

「We strengthened our range of products closely tied to daily life, including expanded offerings of warm functional products for winter and the introduction of larger sizes in response to frequent customer requests.」

「We also focused on addressing a broad range of customer needs by introducing monthly such products as collaborations with highly popular, high-profile anime franchises and cooling, quick-drying and antibacterial functional products.」

「We also focused on addressing a broad range of customer needs by introducing monthly such products as collaborations with highly popular, high-profile anime franchises and functional products for early summer.」

「Based on the assumption of living with COVID-19, we are working to expand products suited to lifestyles during the pandemic. At the same time, we are revising our strategy of selling large volumes of low-priced items, which we had pursued for several years.」

「Homewear, two-mile wear and masks performed steadily as products suited to a lifestyle with COVID-19.」

「Homewear and cooling masks performed well as products suited to a lifestyle with COVID-19.」

「Since the previous fiscal year, under the slogan “Creating stores that are trusted by many customers and are attractive,” we have worked on four reforms: rebuilding our corporate climate and culture, reforming our products, reforming store operations, and redirecting store development. Results have begun to emerge, including improved inventory efficiency, higher product prices through quality improvements, and the development of solution-oriented sales floors with layouts that improve customer circulation and visibility within the sales floor.」

「We will work to offer an attractive range of products whose value customers can appreciate. We will listen to our customers and improve quality while avoiding excessive concentration on value-priced products, and work to unify our target customer, price tier and design aesthetic.」

「As part of product reform, we are reviewing the categories we carry and narrowing the number of items in order to improve quality, avoid excessive concentration on value-priced products, and unify our target customer, price tier and design aesthetic.」

「As part of product reform, we are reviewing the categories we carry and narrowing the number of items in order to improve quality, avoid excessive concentration on value-priced products, and unify our target customer, price tier and design aesthetic.」

「We will listen to our customers and improve quality while avoiding excessive concentration on value-priced products, and work to unify our target customer, price tier and design aesthetic.」

「Specifically, we continued to sell high-quality, low-priced private-label jeans that can compete with rival products, enhance our range of low-priced general merchandise so that more customers can use it, strengthen low-priced everyday apparel such as innerwear, legwear and homewear, and differentiate ourselves from other companies through products featuring our distinctive logos and characters.」

「Specifically, we continued to expand sales of high-quality, low-priced private-label jeans that can compete with rival products, enhance our range of low-priced general merchandise so that more customers can use it, strengthen low-priced everyday apparel such as innerwear, legwear and homewear, and differentiate ourselves from other companies through products featuring our distinctive logos and characters.」

「Specifically, we continued to expand sales of high-quality, low-priced private-label jeans that can compete with rival products, enhance our range of low-priced general merchandise so that more customers can use it, and strengthen low-priced everyday apparel such as innerwear, legwear and homewear.」

「We will introduce selected, high-functionality priority products, centered on private-label products. By concentrating sales on core products, we will seek to expand sales. We will also expand frequently used everyday essentials to increase store visit frequency and the number of items purchased per visit.」

「By product category, men's and women's apparel sales fell below the previous year's levels due partly to unfavorable weather, while everyday essentials such as innerwear, legwear and homewear performed well.」

「We continued to pursue each initiative based on the 6 action guidelines established in the previous period as basic measures for returning to growth: "strengthening sales capabilities by embedding a customer-service culture," "continued growth in new customers," "expanding everyday essentials needed for daily life," "achieving low prices and high gross margins through procurement reform," "pursuing distinctive designs and content," and "increasing sales per store by expanding store size."」

「We continued to pursue each initiative based on the 6 action guidelines established in the previous period as basic measures for returning to growth: "strengthening sales capabilities by embedding a customer-service culture," "continued growth in new customers," "expanding everyday essentials needed for daily life," "achieving low prices and high gross margins through procurement reform," "pursuing distinctive designs and content," and "increasing sales per store by expanding store size."」

「We will introduce selected, high-functionality priority products, centered on private-label products. By concentrating sales on core products, we will seek to expand sales. We will also expand frequently used everyday essentials to increase store visit frequency and the number of items purchased per visit.」

「As part of expanding everyday essentials, we launched new innerwear products such as "超特暖" and various types of loungewear, as well as products including "暖ランデニム," which offers excellent stretch and heat retention, windproof bottoms and water-repellent outerwear.」

「Specifically, we are continuing to strengthen sales of value-priced products that offer good value, while expanding our range of everyday essentials, including innerwear, legwear and rainwear-related products.」

「We are continuing to strengthen sales of value-priced products that offer good value, while expanding our range of everyday essentials, including innerwear, legwear and rainwear-related products.」