■ Activity achievements of DD Group <3073>.
1. Results of new store openings (change of business format).
In order to respond to the new normal, we have focused on changing our business format to a new format and have been working on new store openings since the fiscal year ending February 2024. A total of six new stores and three business format changes were made. Among them, a new Korean cuisine format, 'Korean public bar Lucky Seoul', was opened in Shibuya (new store) following the format change in Nishi Shinjuku as well as the popular omelet rice format 'EGG BOMB' in Musashiurawa (new store) ※ and Hiroshima (business format change). In addition, we have achieved certain results in expanding new formats and expanding channels/areas for new store openings, such as opening a cafe format 'Park South Sandwich FUKUOKA' in Fukuoka's new landmark (Fukuoka Daimyo Garden City Biosquare) and so on.
※ It is noteworthy as the first format to enter a food court (AEON Mall).
2. Creation of new services/markets.
We are working on creating new businesses and products/services using existing management resources, expanding business areas through alliances with other companies, and expanding BtoB businesses through the provision of platforms and expertise. In February 2024, we were able to achieve results in initiatives such as 'Hotel/Real Estate Business' and collaboration projects in the 'Food and Beverage/Amusement Business'. In the case of hotel operations, we opened a share house 'SUNNYSIDE INN Matsugizawa II' with the concept of 'support for the younger generation' × 'activation of the Shonan area', and in the case of the 'Food and Beverage/Amusement Business', we achieved results through collaboration cafes that utilize IP content ※(42 content cases, 34 collaborative stores).
※Collaboration cafes planned and developed by the entertainment business division of Parco Co., Ltd. were held at stores operated by the same company as well as three nearby stores as venues for 'Chii Kawahanten Drink Stand', which offers popular 'Chii Kawahanten' drink menus and meat buns.
3. Initiatives aligned with Google Cloud's joint business plan.
On April 22, 2024, we announced that we would be working on initiatives aligned with Google Cloud Japan's joint business plan. In order to achieve the key policies outlined in the midterm management plan (detailed below), we are advancing the integration of our internal data infrastructure and the construction of a common management database. The aim of this is to make use of Google Cloud's technology in the digital marketing field, offering cutting-edge cloud technology and innovative work practices, and utilizing AI for data analysis and utilization. We plan to cooperate in each of the four main areas: 'Optimal placement of business systems', 'Maximization of LTV', 'Strengthening group management capabilities' and 'Training of next-generation talent'.
(Written by Fisco Guest Analyst Ikuo Shibata)