- List of articles
- The reason why hardware supplier was able to advance to platform business was co-operation.
For platform business
We were able to advance
The reason was co-operation.
- There are a lot of companies facing critical situation that company's main product commoditizes. How do you make business to become hope of the next generation? By challenge to defeat that, result is demanded from the speed of speed for granted. In the genre called new business that is full of such problems, wonderful example that provides result on expressway while performing co-operation is "@ AR" which ELECOM and Megahouse dealt with. ELECOM of hardware supplier clarifies something with "update" that came to deal with platform business operation.
- Kusu Yusuke
(ELECOM CO., LTD.: Assistant Section Manager product Development Department alliance & service business section)
- Kazuo Usui
(Megahouse: newly development room Assistant Manager)
We survive commoditizing of hard disk by update.
With reason that was able to get wonderful share of 70%
We have such a mind in ELECOM which "always brings about new product and service, and continues challenging, and continues growing up", and there is employee who continues updating oneself and the neighborhood consistently. Kusu Yusuke who is the assistant section manager of product Development Department alliance & service business section is one of such employees. It is "complete reform of hard disk" that projects that Kusu dealt with include.
"Hard disk commoditized and was product category that differentiation had difficult. Share is low for ELECOM, and profitability is the situation to be low in those days, too; "how do fight now?" Kusu where place called this says, it was start point.
You renovate, and how do you sell product of differentiation hard to please? Kusu has begun to touch such a difficult problem from place to get back to user glance.
"In the first place what is hard disk used for? We paid our attention to place called this. Speaking of hard disk, it was said that way of being used to save data as peripheral device of PC was natural till then. Therefore maker solicited shop in such an Uses, too. But it was revealed that we used by recording Uses with half of visitor or more connecting to TV when we investigated the actual situation."
Hard disk where both maker and store labelled the Uses for a long time simply because it was a certain product. However, the actual situation seemed to be greatly different from assumption of the whole industry.
"Therefore we threw away hard disk for PC boldly and switched to strategy to give hard disk for TV. We went to sales floor for game not PC in TV sales floor without writing PC in package of product. In that way we got Top share in TV Uses and rose to 30-40% in the whole retail and grew to Lines same as Top maker at a stretch. When it is now, we take pride in one having had possibilities to have been able to make new movement as hard disk = TV Uses becomes natural."
Kusu that planned differentiation in hard disk market which we commoditized by big policy switch wonderfully, and got share. However, we confide to the back that there was steady work earnestly.
"We thought that it was not good only by just putting product in TV sales floor and paid our attention to inquiry from customer. Have most, asking "was usable with TV which I had?." Therefore by one all tried whether we thought that he/she bought even that if we cleared, and the on TV hard disk in all of japan moved. In that way we think that what made the situation that we make thick corresponding table, and salesperson of shop is recommended to with confidence was big."
"@ AR" which updated AR to imminent thing. It was idea of co-operation and venture to have enabled
It is first co-operation project "@ AR" (attoearu) by Megahouse which dealt with character goods for many years in ELECOM and Bandai Namco Group that such Kusu dealt newly.
Service concept of "@ AR" which is synthesis platform of delivery/seeing and hearing/production of AR contents that put seeing and hearing application "@ AR Player" and cloud type software "@ AR Station" for delivery together "becomes common of use of AR". We are considered to be new technology and are doing that we update AR where hurdle was for the use as familiar thing with proposition until now.
In the first place "@ AR" began, and what kind of thought was it developed by? And what are the coming prospects? We greeted Kazuo Usui who was Megahouse new development room Assistant Manager which was partner and had you talk with Kusu.
−−＠What kind of process would project of AR stand up by?
Usui: Originally Kusu of ELECOM was VR headset "bottsunyuraito" which it released in April, 2016 and did work together. When we were going to assume story of new VR product Kusu as the extension, we showed that at part of chat as we just stocked interesting example of AR. We made reaction if we did so saying Kusu was saying "this is interesting", and story of project that assumed AR main in no time advanced from there.
Kusu: There was big problem that we felt to be VR business as the background. That means, "we cannot participate in this business when it is not the platform side.". That was only tool which just saw VR and thought that I seemed to be in corner of a person's sumo ring at all when we took out VR goggles using smartphone. Therefore we were looking for service all the time to provide place from us. Therefore it became start to have felt, "we may have various people enjoy as new business if it was AR".
−−We heard that market research and user investigation were considerably done at the time of hard disk, but is it careful one which we researched in which did so about "@ AR?"
Kusu: We performed some research, but were project that, to be frank, venture company-like thought "that we would do as it did not turn out that we did not try." preceded about "@ AR", and started. It was different from example of hard disk again and did not do while thinking, "we are stuck in this domain of market" this time and seemed to improve while oriented to speed, moving project with force.
−−In form such as a certain kind "idea", the reason why co-operation was established for a feeling of two will be that there was relationship of mutual trust by former project. It became the first co-operation project that was not the ordering side which this time, but how about?
Kusu: It is different from Megahouse in type of industry, but we may turn to the same direction in part to "want to send pleasant thing to end user" and think that we were able to push forward project at considerably fast speed. As for the ELECOM, sale of hardware may account for most of sales and is studied very much as there was not idea to sell character and contents.
Usui: Anyway, ELECOM is speedy. As tool (Skype or Slack) for communication hardly conjugated in Megahouse, we keenly realized that, as a result, it was connected for update (progress of project) to cope with speed of communication. In addition, as we are companies having toy or entertainment, there is part, "interesting one is important", but Kusu draws such a place up and balances fun and sense of speed. It is easy to do it very much.
Kusu: It is good that the industries are different, and there is feeling that thing not to have each other fitted in into well. There is feeling that various things double simply even if we introduce visitor as, at first, it is not piled up.
Usui: It was good to be relationship called partner in revenue share without where saying ordering. Besides, either is not in a position to tell domain not to know each other as we started running. We seem to be running in spite of being reliance together.
−−We announced "@ AR" in July, 2018, but how is reaction of the world from there?
Kusu: Considerably good. At first, you could be interested and have not been said "not to need" in callousness even if we took story to company which delivered AR contents.
Usui: Originally though we wanted to do AR, we have problem on cost side, and there are many companies that way does not understand, and reaction from such various places is good at all.
Kusu: Besides, triggered by "@ AR", we came to have unexpected work. We develop into different business including production of Video to deliver in AR and production of CG, and actual feeling to be able to sell contents as we ELECOM comes out.
−−What would reason of the reaction be? Please tell point that you were particular about in "@ AR".
Kusu: At first, it is to have reduced charge. We think that "@ AR" is one of the promotion plans if we say in big frame. But the budget for promotion frame does not increase to several times because there is "@ AR". However, cost was not taken for important contents production, so set cheaply when charge of platform was high. As a result, we became able to have work of contents production. It was unexpected, but thinks that, as a result, it was very good design itself.
Update calls in the next update, naturally of the one and only come
−−The present, ELECOM called "the second founding period" stand, and, at position, promote further expansion to BtoB market. What kind of challenge does Kusu want to do in future?
Kusu: BtoC is main domain for me, but we will consider BtoB in future and want to give a service newly. Mission that ELECOM publishes is "LIFESTYLE INNOVATION" to tie person who cannot manage digital and IT and innovation and that to. In other words, we do not send predominantly new thing to early adapter and researcher and already send technology that it is to form widely well and social contribute. We cannot show concretely yet, but may have already considered how old you are.
−−As well as "@ AR", we still have idea of a lot of new businesses.
Kusu: In fact, through "@ AR", we think that it is big to have been able to notice point with strength that platform and contents and hardware can provide. That that is it having possibilities to be said, "we will do it if he/she leaves all problem." Even this directionality considers project except "@ AR", and new thing product wants to go.
Usui: Generally company doing platform is company of software. Though ELECOM is company of hardware, we Megahouse has platform for that, too. We think that that seems to be like the one and only. As "@ AR", we want to send new product which combined hardware with AR off in the life in future.
Kusu: Besides, normal business spreads in "@ AR" as opportunity, too. When it is said, "ELECOM made mouse if we say so" and introduces business (laugh) and goes in new genre, there is much stimulation and realizes that we activate past thing. In that way we want to take original position for various business.
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