November 8, 2019
Seibu Holdings Inc. (9024)
http://www.seibuholdings.co.jp/en/
Seibu’s efforts to establish a long-term growth platform
November 8, 2019
“Sustainability & Dynamism"
『持続的かつ力強い成長に向けて』
Promoting digital management (DX)
Strengthen marketing capabilities
① Strengthening customer base focusing on our
membership program SEIBU PRINCE CLUB (SPC)② Expanding customer base of our hotel business
Expand into new business areas and fields
1
November 8, 2019
【Strengthen marketing capabilities】
Current status of our customer base
The number of SEIBU PRINCE CLUB members
have reached 1 million at present
Number of SEIBU PRINCE CLUB members
and amount of transaction
as of Mar. 2017
2
830,000
approx. JPY 52 bn
Number ofSEIBU PRINCE CLUB
Members
and amount oftransaction
as of Sep. 2019
1,060,000
approx. JPY 63 bn
November 8, 2019
SEIBU PRINCE CLUB members : approx. 1.06 million
StayWell Rewards
approx. 70,000(as of Sep. 2019)
SEIBU PRINCE CLUB emi
(non-Japanese)
approx. 40,000(as of Sep. 2019)
Saitama Seibu LionsFan Club members
approx. 110,000(as of end of 2019 season)
Members inSeibu Railway lines corridor
approx. 310,000(as of Sep. 2019)
Prince status serviceGold and Platinum members:
approx. 150,000(as of Sep. 2019)
Promote customer acquisition in each service
3
【Strengthen marketing capabilities】
Current status of our customer base
November 8, 2019
Challenges are to increase the number of SEIBU PRINCE CLUB members who will use more than 1 service.
4
【Strengthen marketing capabilities】
Marketing challenges
SEIBUPRINCE CLUB
members
November 8, 2019
approx. 50%
approx. 80%
over 90%
0%
25%
50%
75%
100%
1 company 2 companies 3・4 companies
Membership continuity ratio by number of access to membership services of Seibu Group companies 1
1: Portion of SEIBU PRINCE CLUB members as of FY2019/3 who have retained membership since FY2017/3. A separate rate is given for each category (category based on number of operating companies who services are used). SEIBU PRINCE CLUB members lose their membership qualification as of December 31 of the fiscal year in which the final day of a two-year period of non-use falls, being a period of two years from the last day of usage (day on which points are awarded).
The membership continuation rate tends to increase when customers are using services of multiple group operating companies.
(example)
(example)
5
【Strengthen marketing capabilities】
Strengthening our customer base
November 8, 2019
We will increase the number of customers using multiple Group businesses and services with the SEIBU PRINCE CLUB as a common customer base
6
【Strengthen marketing capabilities】
Strengthening our customer base
SEIBUPRINCE CLUB
members
November 8, 2019
We will expand our platform for revenue and profits by increasing the number of SEIBU PRINCE CLUB members and members using multiple services
Considerationof cardless app service
Promotingone-to-one marketing Consideration
of linking services andapps of each
business
7
【Strengthen marketing capabilities】
Strengthening our customer base
(image)
November 8, 2019
Japanesewealthy
individuals
Millennials andinbounds
Wealthy individualsin oversea
We will strengthen our current foundation by acquiring new customer segments
8
【Strengthen marketing capabilities】
Expanding customer base of our hotel business
November 8, 2019
✓ We are slightly behind our sales target in terms of the number of membership rights, however, the business has drawn interest from more upper-class customers than we had originally expected.→Steadily acquiring a new customer segment,
wealthy individuals in Japan
✓ Overseas expansion of The Prince Akatoki, a new luxury brand, will attract wealthy individuals abroad.
✓ Promote stronger mutual referral function between the StayWell membership program “StayWell Rewards” and SEIBU PRINCE CLUB membership.
9
【Strengthen marketing capabilities】
Expanding customer base of our hotel business
November 8, 2019
“Sustainability & Dynamism"
『持続的かつ力強い成長に向けて』
Promoting digital management (DX)
Strengthen marketing capabilities
① Strengthening customer base focusing on our
membership program SEIBU PRINCE CLUB (SPC)② Expanding customer base of our hotel business
Expand into new business areas and fields
10
November 8, 2019
SEIBUPRINCECLUB
database
Shopping coupons
Restaurant recommendation
Leisure and event information
Consider Group-wide deployment of targeted and personalized marketing for individual customers
Digital marketing was launched at Prince Hotels from the second half of FY2019/3 ahead of Group-wide deployment
11
【Promoting digital management】
Digital marketing
November 8, 2019
Centralized database to improve customer service
Hotelsystem
(Customer database)
Ms. A stayed Oct. 2017
Ms. A stayed May 2018
A Hotel
B Hotel
A Hotel
Ms. A stayed Oct. 2018
Ms. A booked for Sep. 2019
C Hotel
I prefer..
I’m allergic to..
[Example of recourse utilization]
The centralized customer database will allow us to efficiently provide tailored services
Increase the number of repeat customers and boost profitability by improving customer satisfaction
12
【Promoting digital management】
Using the hotel system at Prince Hotels
November 8, 2019
[Example of additional function]Introduction of digital coupon
We have digitized our breakfast coupons, and the data is linked to the card keys for each guest
Efficient operation from adoption of digital process
Customer convenience
Risk of unauthorized use
13
【Promoting digital management】
Using the hotel system at Prince Hotels
November 8, 2019
“Sustainability & Dynamism"
『持続的かつ力強い成長に向けて』
Promoting digital management (DX)
Strengthen marketing capabilities
① Strengthening customer base focusing on our
membership program SEIBU PRINCE CLUB (SPC)② Expanding customer base of our hotel business
Expand into new business areas and fields
14
November 8, 2019
[ Our own resources ] [ external resource ]
✓ Trials to create next generation transportation service: Jul. – Sep. 2019 Tokyo ⇔ Hakone・Shimoda
Oct. – Nov. 2019 Tokyo ⇔ Karuizawa✓ Collaboration with AirX Co., Ltd., which was adopted at Open
Innovation Program "Biz Lab Accelerator 2017“✓ Looking ahead, we will continue to assess business potential
through the trials and take on the challenge of developing next-generation transportation business in the future.
The challenge of developing next-generation transportation business
【Expand into new business areas and fields】
Seibu Lab initiatives
15
November 8, 2019
✓ We have selected 10 out of 133 ideas, on our first SWING in 2018. These ideas with business potential are under feasibility analysis for commercialization.
✓ Encourage ventures and individuals to pitch ideas and participate in events.Some ideas were pitched by our own employees.
✓ We will implement this program continuously with the aim of accumulating business creation expertise.(The second SWING has kicked off in Oct. 2019)
(2018) (2019)
Our theme for SWING1 business creation program is to challenge social issues with new ideas
【Expand into new business areas and fields】
Seibu Lab initiatives
1 SWING: Seibu With Idea setter ‘N’ Growth hacker 16
November 8, 2019
Appendix
17
November 8, 2019
FY2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017・・・・・・・2020・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・
Foundation workShifting
gear
Improved financial structureand operation efficiencies
Enhancedprofitability
Reaping,Pioneering
Secondary growth
Extension of current capacity
EBITDA transition
ThemeConcentration on our core businesses
ThemeTaking advantage of our strengths to realize the strongest Seibu group
●”Current target level”
Maximize corporate valueMaximize shareholder value
“Long-term target level”
➢ Creating new business areas
➢ Expanding business fields
18
[FY2019-20 Mid-term management plan]
Long-term target levelDisclosed
May 11, 2017
November 8, 2019
Revision of figures and plans based on execution results
A plan that cements our initiatives from FY2017
onward and leads on to a new management plan
Reap benefits from investments to increase value
Strengthen financial structure to prepare for major future investments
Expand into new business areas and fields
[FY2019-20 Mid-term management plan]
Positioning of the current planDisclosed
May 14, 2019
19
November 8, 2019
Theme
Basic policies
Key measures
- A three-year plan serving as a road map to the “Challenge Target” -
“Sustainability & Dynamism"
Toward sustainable, dynamic growth
✓ Pursue innovations from a new viewpoint and with speed✓ Establish a growth platform from a long-term perspective
To realize sustainable, dynamic growth, we need to focus on addressing the key issues of
“create new business areas” and “expand existing business fields” based on
our basic policies. We have added “Continuously strengthen management foundation” to the five measures in the current plan and will promote initiatives over the next three years based on the following six key measures.
(1) Strengthen marketing capabilities(2) Make effective use of the Group’s assets(3) Strengthen collaboration inside and outside the Group(4) Disciplined and efficient capital expenditure(5) Create an organization and corporate culture that
brings about innovation(6) Continuously strengthen management foundation
[FY2019-20 Mid-term management plan]
Theme and basic policyDisclosed
May 14, 2019
Topic1Promoting Digital Management (DX)
Topic2Promoting Sustainability
20
November 8, 2019
Disclaimer
The forward-looking statements contained in these materials are based on currently available information and certain assumptions deemed reasonable by the Company.
Therefore, please note that actual results may differ due to various factors in the future.