Business Overview of DMSolutions<6549> is as follows:
4. Clothing Business
In the clothing business, subsidiary Biatransports engages in the wholesale import of miscellaneous goods, wholesale plain T-shirts, basic American casual clothing from famous apparel and sport brands with stable demand, and other goods via EC. They do not have physical stores and import small lots of various products via air freight based on orders from domestic wholesalers, using their strength of short delivery times to sell to domestic businesses through their dedicated EC site "anytees.com". However, as this type of business is inefficient, they have shifted to businesses that focus on selling large quantities of popular items purchased by sea freight, aiming to improve the overall efficiency of their operations. Although they call this their clothing business, they view this as just one of their EC operations, utilizing both their logistics and internet infrastructure. Moreover, they can leverage the EC support for their subsidiary's EC operation, knowledge of handling overseas products, and connections with overseas companies, making their synergy significant.
By the way, DMSolutions has been operating the dedicated EC site "BeeMe" for their Manuka honey business for a long time, even before starting Biatransports. Initially, it seems that they were accumulating know-how in media operations, but currently, the site's presence as an EC site has become more prominent. Manuka honey, which has antibacterial properties, is a rare honey that is collected from the Manuka tree, which grows naturally in New Zealand. Although it is popular domestically, there are many imitation products, and the company provides an analysis certificate indicating the concentration of Manuka honey antibacterial components for all their products to guarantee their quality. In addition, they also sell other products on the site, such as "Espalsette honey," a white honey from Kyrgyzstan with a refined taste, similar to refined granulated sugar. They also operate other dedicated EC sites, including "pureLi," which sells bath tablets, and "RHET.," a DtoC※ car care brand.
※DtoC: A business model where a company directly sells products they planned and manufactured to consumers.
(Author: FISCO guest analyst Nobumitsu Miyata)