Mid-term Management Plan
FY2022-FY2024
H2O RETAILING CORPORATION
Contents
Ⅰ . Background of the mid-term
management plan
Ⅱ. Realization of the Group's Vision Ⅲ. Long-term business plan for 2030
Ⅳ. Position of mid-term management plan for 2030
Ⅴ. Corporate Strategy
- Challenges for new business model
- Promotion of IT / Digitization
- Alliance partners
- Challenges for new market
Ⅵ.Business Strategy
- Department store
- Supermarket
- Shopping Center
- Others
- Forecast by segment
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Ⅶ. Sustainability Management Ⅷ. Group head office functions
- IT/HR/Panning Management
- BPR
- Head office relocation
Ⅸ. Human Resources Strategy Ⅹ. Investment plan
Ⅺ. Financial and Capital Planning
- Asset Efficiency
- Debt reduction
Ⅻ. Targets and KPI
- Operating profit
- ROE/ROIC
- Shareholder Returns and Dividend Policy
- Targets and KPI
1
Ⅰ . Background of the mid-term management plan
- Awareness of changes accelerated by COVID-19 -
- Rapid digitalization
New lifestyles among a wide range of generations and situation
- Build a business style that integrates offline and online (OMO style)
- Transition to a networked society
- direct connections to consumers and business partners
・Easier and more active online access and communication ・Rise of a younger generation of digital and social natives ・Expansion of D2C business where manufacturers sell directly
- Business model transformation based on direct communication with customers
- Decline in advantages of urban locations
・Decrease in the number of commuters due to the shift to telework ・Increase in the interest in the area where they live
・Increase in the frequency of use of nearby stores due to reduced areas of activity
- reduce dependence on department stores
- Diversify revenue sources and restructure the Group's profit structure
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Ⅱ. Realization of the Group's Vision
the Group's Vision | Strength of the Group | |
To be a customer's lifestyle partner to | Trust, network and connection with | |
enrich their hearts through offering | × | customers and local communities |
"fun, happy and tasty" experiences, | ||
contributing to the future of the local | Strong brand loyalty and various | |
community, children and our planet. | touchpoints with customers |
- The "strategy for market dominance in the Kansai region," the keystone of the Group
-
Sustainability management to deepen relationships
with stakeholders, especially local communities and residents.
Through these two strategies,
we aim to achieve both the No. 1 mindshare and the No. 1 market share.
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Ⅲ. Long-term business plan for 2030
▶ to become a "Communication Retailer" | 〈 Approach Strategies〉 |
Develop direct communication with customers and deepen relationship |
Market
●Target
●KPI in 2030 Active customer
EC related | ・the rich | ||||||
② | ・small mass | ||||||
business | ・mass | ||||||
New | Ningbo | ●Development | |||||
The rich | |||||||
・IT, digital, OMO | |||||||
Hankyu | |||||||
(Ningbo・ | ・Customer database | ||||||
・Connections with locals | |||||||
Zhejiang) | |||||||
10 millions of people OP ¥30-35 billion
- Dept. over ¥15 bn.
✓ Food | over ¥10bn. |
・ SC | ¥3bn. |
✓ Ningbo and | ¥3bn. |
Zhejiang | |
✓ Customer Service | |
ROE 6-7% | ¥3bn. |
Customer | contents | into | ||||||||||
(High-end, Japan) | ||||||||||||
B2B business | ||||||||||||
strategy for market dominance | ||||||||||||
① | in the Kansai region | |||||||||||
Food | contents | |||||||||||
Existing | ||||||||||||
0 | (Food) | |||||||||||
Shopping Department | Customer | |||||||||||
(Kansai Center | store | Service | ||||||||||
area) | ||||||||||||
※partnership with | Home delivery | |||||||||||
Lawson, Inc | ||||||||||||
Osaka pref. | ||||||||||||
・Rebuild Department store business ・Make Food business as second core
- Challenges for new market
・Success of Ningbo Hankyu business ・Expand business into Ningbo and Zhejiang prefecture(the rich、EC)
(working together with Hankyu Main store)
- Challenges for new business model
(1)Kansai region × Online × Service ・Service contents development ・Digital and Real stores
・Networking with alliance members
(2)Develop B2B business
Build and utilize customer database platform
Existing | New Business model |
(Store Commerce) | (Service Commerce)(Database business) |
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H2O Retailing Corporation published this content on 28 July 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 July 2021 05:02:11 UTC.