Store-Led Sales, Delivery and Inventory Efficiency

「In department-store wholesale, as counter sales remained weak due to declining consumer sentiment, the company is introducing products based on inventory conditions at each store and reviewing return conditions at seasonal transitions to limit returns and markdowns. For certain business partners, it is also carrying out reforms to its earnings structure, including gradually shifting to a procurement model in which the company proactively controls counter inventory and revising transaction terms.」

「店舗ごとの在庫状況を踏まえた商品投入や、シーズン切替時の返品条件の見直しを進めております。」

「At directly operated stores, the company proceeded with the closure of unprofitable locations while opening new stores with a focus on profitability, increasing the number of stores to 7 at the end of the fiscal year. Rather than pursuing scale alone, it shifted its store-opening strategy toward establishing a sales-area production model and improving profitability.」

「The company promoted sales growth by expanding company-led sales areas in department stores through the development of its sales-area production business, building a foundation for expanding directly operated stores, and rolling out proprietary products and conducting promotional activities using social media in its legwear e-commerce business.」

「For men's socks, the advance launch of spring products at the end of the previous fiscal year (January) in anticipation of Valentine's Day demand, followed by their early rollout at counters, proved effective. Full-price counter sales reached 102% of the previous year's level.」

「In department-store legwear, increased customer traffic driven by inbound tourism, particularly at central-city stores, and the successful expansion of company-led sales areas and measures to increase sales-floor share resulted in counter sales exceeding the previous year's results for both men's and women's products.」

「The gross margin improved as a result of improvements in production infrastructure and the product delivery rate, partial product-price revisions, and a significant reduction in returns through timely supply of the appropriate quantities.」

「In addition to partial product-price revisions and an improved product delivery rate, appropriate product supply in response to the prolonged hot weather improved the sell-through rate of spring/summer products. As a result, returns and markdowns declined and the gross margin improved.」

「In department-store legwear sales, measures to increase the company's share of sales-floor space, including higher customer traffic and expansion of company-led sales areas, proved effective, resulting in counter sales exceeding the previous year's results for both men's and women's products. In addition, partial price revisions, an improved product delivery rate, and appropriate product supply reduced returns and improved the gross margin.」

「Although higher raw-material prices increased cost of sales, the gross margin improved as a result of partial product-price revisions and fewer returns due to more efficient sales of winter products.」

「In the department-store channel, the company expanded company-led sales areas and strengthened new brand rollouts in relaxing wear and nightwear, resulting in double-digit year-on-year growth in counter sales of both legwear and other products. However, wholesale sales fell short of the initial plan due to increased returns of winter products at the beginning of the fiscal year and reduced launches of new products in the fourth quarter as counter inventory was adjusted.」

「In the department-store channel, expansion of company-led sales areas and new brand rollouts in relaxing wear and nightwear proved effective, with same-store sales from August through October exceeding the previous year's level.」

「Restrictions on activity prevented winter products from being cleared, resulting in a significant increase in returns. In addition, gross profit declined substantially due to higher cost of sales caused by soaring raw-material prices and the rapid depreciation of the yen.」

「In the wholesale business, the company continued to increase self-operated sales areas and jointly operated sales areas with fashion-accessory companies, and to raise its share of the department-store channel through new brand rollouts,」

「In the wholesale business, the company continued to increase sales areas operated exclusively by the company and jointly self-operated sales areas with fashion-accessory companies. It also began rolling out new brands in men's underwear and relaxing wear, working to recover sales by increasing its share of sales-floor space.」

「In the wholesale business, the company opened "N-platz by NAIGAI," a shop consolidating its men's items, and "HOUSE WEAR STUDIO by NAIGAI," a lifestyle concept shop featuring legwear and homewear, as measures to strengthen sales through a shift toward self-operated shops. As product-strengthening measures, sales of knit shoes made on sock-knitting machines, which can be easily washed with water and are easy to carry, and versatile legging pants combining fashion and functionality progressed steadily. However, counter sales remained weak due to prolonged sluggishness in personal consumption and restrictions such as shortened operating hours, and product launches fell short of the initial plan.」

「In the wholesale business, the department-store channel faced difficulties due to the prolonged suspension of operations amid the pandemic. However, counter sales exceeded the previous year's results across all product categories—legwear, underwear, and homewear—supported by an increase in sales areas operated exclusively by the company and a higher share of the company's products in the product mix.」

「In the wholesale business, the company continued to increase sales areas operated exclusively by the company and jointly self-operated sales areas with fashion-accessory companies, while focusing on selling products suited to changes in lifestyles during the pandemic.」

「Under these circumstances, the group made the safety and security of employees, customers, and business partners its highest priority. It strengthened its internet-commerce business, including the NAIGAI online shop, flexibly responding to changes in the purchasing behavior of consumers avoiding outings, while also focusing on sales of legwear, homewear, and relaxing wear suited to staying at home in its stores.」

「In the wholesale business, the company continued to focus on expanding sales by increasing sales areas operated exclusively by the company and jointly self-operated sales areas with fashion-accessory companies in the department-store channel. Against strong stay-at-home demand amid the pandemic, it also worked to strengthen sales of room socks, relaxing wear, loungewear-style pajamas, and aprons. To clear the spring/summer inventory that increased due to restrictions on sales activities following the declaration of a state of emergency, the company held a company sale and extended the sales period for the inventory.」

「In the wholesale business, the company focused on expanding sales in the department-store channel by increasing sales areas operated exclusively by the company and jointly self-operated sales areas with fashion-accessory companies. In the mass-retail channel, it worked to develop new distribution channels, including specialist category chains featuring the company's distinctive products. However, conditions became extremely challenging as the spread of COVID-19 forced the scale-back or cancellation of the 100th-anniversary event and promotional sales scheduled for March, while nearly all stores were forced to suspend operations after the declaration of a state of emergency.」

「In the legwear business, the company launched self-operated shops within department stores and established sales areas operated exclusively by the company and jointly self-operated sales areas with fashion-accessory companies, initiating the development of a B2B2C business model.」

「As a new initiative in the department-store channel, the company established consolidated sales areas led by the company and featuring a range of fashion accessories beyond socks and underwear, as well as sales areas operated exclusively by the company. These initiatives spread mainly to regional and suburban department stores and contributed to expanding the space allocated to the company's products.」

「In its core legwear wholesale business, the company continued to expand product display space in department stores through new initiatives, including establishing sales areas operated exclusively by the company and taking the lead in creating consolidated sales areas featuring a range of fashion accessories beyond socks and underwear.」

「For men's socks in department stores, the company continued to establish sales areas operated exclusively by the company and expand product display space. For women's socks, it strengthened the rollout of the rebranded "NAIGAI" brand and its strong-performing leggings.」

「In the legwear business, counter sales in the department-store channel struggled due in part to weak sales of cold-weather products. However, the establishment of demand-driven wholesale improved the counter sell-through rate and reduced returns, continuing the trend from the previous fiscal year. As a counter-sales initiative, the company began selling women's socks in homewear areas and focused on expanding display space for men's socks, including by establishing sales areas operated exclusively by the company through stronger cooperation with business partners. Men's underwear sales grew steadily, supported by an increase in stores carrying lounge wear and promotional effects from pop-up shops.」

「In the legwear business, the company focused on expanding display space in department stores through stronger cooperation with business partners. For men's socks, it established sales areas operated exclusively by the company. For women's socks, it began cross-category product offerings, including room socks and sleep socks in homewear areas and yoga socks in health and beauty sections. Men's underwear sales grew steadily as display space for existing products expanded and the number of stores carrying lounge wear increased.」

「In the legwear business, demand-driven wholesale became established in the department-store channel, improving the sell-through rate at counters and significantly reducing returns compared with the previous year. As a counter-sales initiative, the company worked to expand product display space by strengthening cooperation with business partners, including by establishing sales areas for men's socks operated exclusively by the company.」

「In the legwear business, demand-driven wholesale became established in the department-store channel, improving the sell-through rate at counters and reducing returns for the second consecutive year. The company also expanded product display space, including by establishing sales areas operated exclusively by the company, and sales of solution products developed in tie-ups with magazines contributed to counter sales exceeding the previous year's results for both men's and women's products.」

「In the legwear business, the department-store channel continued to reduce costs under its right-product-for-the-right-market policy, while rigorous coordination of product launches with counter sales significantly reduced returns.」

「In the legwear business, the core wholesale business, the department-store channel continued to reduce procurement costs under its right-product-for-the-right-market policy, while rigorous coordination of product launches with counter sales significantly reduced returns. For counter sales, the company expanded the space allocated to its men's socks and underwear, launched lounge-wear products in earnest, and established new sales areas operated exclusively by the company.」

「In the legwear business, the core wholesale business, department-store sales increased in both revenue and profit. While women's hosiery sales at department-store counters remained challenging, men's socks and underwear sales were broadly in line with the previous year. In addition, the company continued to reduce procurement costs under its right-product-for-the-right-market policy, while rigorously coordinating product launches with counter sales. This improved in-store inventory efficiency and significantly reduced returns.」

「In the legwear business, the core of the wholesale business, department-store channels recorded higher revenue and profit as display space expanded, product launches progressed as planned, and returns were significantly reduced from the previous year.」

「In the legwear business, the core of the wholesale business, in-store sales in department-store channels generally exceeded the previous year’s results as the expansion of display space and in-store promotional activities progressed largely as planned. Revenue declined as the company optimized in-store inventory through demand-linked wholesale initiatives led by in-store demand, but performance was broadly in line with plan. Profit increased as the company pursued procurement-cost reductions based on its right-location, right-product policy and improved the gross profit margin through the consistent delivery of the right quantities at the right time, which reduced returns.」

「Profit increased as the company improved its gross profit margin through procurement-cost reductions based on its right-location, right-product policy and improved sales efficiency with fewer returns by consistently delivering the right quantities at the right time in department-store channels.」

「In department-store channels, revenue declined partly due to returns of old-stock inventory, but the gross profit margin improved as the company pursued procurement-cost reductions based on its right-location, right-product policy and improved in-store inventory efficiency through the consistent delivery of the right quantities at the right time.」