Dependence on the Nationwide Mobile Phone Shop Sales Channel
First written in FY2017. 8 of 13 entries say "Restated". Latest entry: FY2023.
The whole theme swung hardest in 2020: 7 of 29 companies on the "Worse" side.
29 other companies' latest entry also says "Restated".
- FY2023RestatedAnnual report
「This business relies on distribution licenses from content holders, and its primary sales channel is mobile phone stores nationwide, resulting in a high degree of dependence on mobile carriers. If it becomes difficult to continue the contracts due to changes in the business strategies of these parties or for other reasons, this could affect the group’s operating results and financial position.」
The company continues to disclose as key risks its structure of relying on nationwide mobile phone stores as its primary sales channel and its dependence on mobile carriers. - FY2023-Q3RestatedAnnual report
「The business had 3.14 million paid subscribers, down 60,000 from 30 September 2022. As the number of paid subscribers to AdGuard, a security-related app, continued to expand, the number of paid subscribers remained broadly flat.」
Despite constraints on subscriptions through mobile phone stores, the company explains that the number of members in the content business remained broadly flat due to growth in AdGuard’s paid membership. - FY2023-Q1MitigatedAnnual report
「The number of paid subscribers in the business was broadly flat at 3.18 million, down 20,000 from the end of September 2022. The pace of net subscriber losses in the business has been narrowing as the number of paid subscribers to the security app AdGuard has continued to expand.」
While constraints on subscriptions through mobile phone stores as the primary channel continued, the number of members in the content business remained broadly flat due to the expansion of AdGuard. - FY2022-Q3RestatedAnnual report
「The number of paid subscribers in the business was 3.20 million, down 320,000 from the end of September 2021. Net subscriber losses widened following the termination of feature phone services by mobile carriers, but excluding this factor, the pace of net losses in the business has been narrowing as the number of paid subscribers to the security app AdGuard has continued to expand.」
While the sluggish environment for new subscriptions through mobile phone stores and the impact of the discontinuation of feature phone services continued, the company continues to explain that the decline in members was offset by the expansion of AdGuard. - FY2022-Q2RestatedAnnual report
「In the content business, while new enrollments through mobile shops remained weak, we expanded the number of new AdGuard subscribers, a security-related app with strong demand, and increased the monthly number of original comic titles supplied to comic distribution operators.」
New subscriptions through mobile phone stores remained sluggish, but the company continues to explain that this was offset by expanding AdGuard and increasing the number of original comics offered. - FY2021RestatedAnnual report
「In the content business, the company expanded customer acquisition for new subscriptions to AdGuard, a security-related app with strong demand, while new subscriptions through mobile phone stores remained sluggish.」
In an environment where nationwide mobile phone stores are the primary subscription channel, new subscriptions have continued to remain sluggish. - FY2021-Q3RestatedAnnual report
「In the content business, while new enrollments through mobile shops remained weak, we expanded the acquisition of new subscribers for AdGuard, a security-related app with strong demand, and increased the monthly number of original comic titles supplied to comic distribution operators.」
New subscriptions through mobile phone stores remained sluggish, but the company continues to explain that this was offset by expanding customer acquisition for AdGuard and increasing the availability of original comics. - FY2021-Q2RestatedAnnual report
「In the content business, while new enrollments through mobile shops remained weak, we expanded the acquisition of new subscribers for AdGuard, a security-related app with strong demand, and increased the monthly number of original comic titles supplied to comic distribution operators.」
New subscriptions through mobile phone stores remained sluggish, but the company continues to explain that expanding customer acquisition for AdGuard is narrowing the net decline in members. - FY2021-Q1Sluggish new subscriptions, but AdGuard narrows the net declineAnnual report
「In the content business, while new enrollments through mobile shops remained weak, we expanded the acquisition of new subscribers for AdGuard, a security-related app with strong demand, and increased the monthly number of original comic titles supplied to comic distribution operators.」
New subscriptions through mobile phone stores remained sluggish, but the company explains that expanding customer acquisition for AdGuard narrowed the net decline in paid members. - FY2020-Q3WorsenedAnnual report
「The business environment for the group remained challenging for smartphone paid-member acquisitions because major mobile carriers were required to separate communication charges from handset prices and mobile phone stores nationwide shortened their business hours as part of measures to prevent the spread of COVID-19, among other factors.」
In addition to the separation of communication charges and handset prices, shortened business hours at mobile phone stores as part of measures to prevent the spread of COVID-19 contributed to continued sluggish smartphone paid-member acquisitions through the primary subscription channel. - FY2020-Q1MaterialisedAnnual report
「The business environment for the group remained challenging for smartphone paid-member acquisitions due to the high smartphone penetration rate and the requirement for major mobile carriers to separate communication charges from handset prices, among other factors.」
In a business that uses mobile phone stores as its primary subscription channel, smartphone paid-member acquisitions remained sluggish due to the separation of communication charges and handset prices, among other factors, demonstrating the impact of channel dependence risk in actual results. - FY2018RestatedAnnual report
「The company’s paid subscription services and the paid subscription services of other companies it handles have a very high proportion of subscribers joining through mobile phone stores nationwide, the primary sales channel for mobile devices. If this sales channel’s role changes substantially for any reason, such as legal regulations, administrative guidance, regulations imposed by mobile carriers or changes in the operating environment, making it difficult to secure new subscribers.」
The company continues to disclose its dependence on nationwide mobile phone stores as a subscription channel and the difficulty of acquiring members due to regulatory or environmental changes. - FY2017First statedAnnual report
「The company’s paid subscription services and the paid subscription services of other companies it handles have a very high proportion of subscribers joining through mobile phone stores nationwide, the primary sales channel for mobile devices. If this sales channel’s role changes substantially for any reason, such as legal regulations, administrative guidance, regulations imposed by mobile carriers or changes in the operating environment, making it difficult to secure new subscribers.」
The company identifies the risk that it may become unable to secure new subscribers due to its heavy dependence on nationwide mobile phone stores for paid service subscriptions and to regulatory or environmental changes.