Strategic Alliances among Japanese Consumers Co-operatives

Transcription

1 Strategic Alliances among Japanese Consumers Co-operatives Makiko Sakurai International Dept. Japanese Consumers Co-operative Union Homepage: 1

2 Contents Business Situation - Outline of Japanese Consumers Co-op Business Practices on 6th Principle Conclusion 2

3 Co-operative Structure in Japan Japanese Joint Committee of Co-operatives (JJC) JCCU NFUCA Zengyoren ZENR- OSAI JA- Group Zenmoriren Rokyoren Prefectural Union of Consumer Co-ops National Federation of Consumer Co-ops Business Association of Consumer Co-ops Primary Consumer Co-op Societies ZENROSAI=Insurance ; Zengyoren=Fishery ; Zenmori= Forest ; Rokyoren=Workers Co-op 3

4 Outline of Japanese Consumers Co-op Number of member co-ops Total 608 co-ops (Retail co-op: 154) Total Membership million (Retail: million) Household ratio 34.6%(2007) 41 Retail University Mutual, Housing Institutional School Health 4

5 Business Types Retailing Store operation, Home Delivery Mutual Insurance (CO-OP Insurance) Medical, Life, Fire insurance 7.0 million policyholders Catalogue(& Website) Business Clothes, Household, others Welfare Business Mutual Help Activity Day service 5

6 Business position Turnover & Sales by format Total Business Turnover (FY2008) JPY3,411 billion USD36 billion (08/07) 99.3% Turnover for Retail co-op JPY2,711 billion USD28.54 billion (08/07) 98.8% Retail co-op Sales by format (Home Delivery) JPY billion USD16.73 billion (Store) JPY985.4 billion USD10.37 billion *JPY95/USD 6

7 Japanese Big Players VS USD39.37bln USD44.77bln USD28.26bln Co-op Market Share: 5.9%(Food) *Food retail (Source: CIES) 7

8 Business Practices on 6th Principle Regional Business Federation Consumer Co-op & Consumer Co-op Sanchoku Business (Fresh Food Business) Consumer Co-op & Agricultural Co-op Section Managers Training Course for Eldercare Service Consumer Co-op & Agricultural Co-op The Asian Consumer Co-operatives Development Fund Japanese Consumer Co-op & Asian Consumer Co-op 8

9 Regional Business Federation Cooperation between co-ops 1) Improve quality of integration of each business alliance Procurement, Logistics Product Development, Sales Promotion 2) Acceleration of cost cut in all over business alliance --area business department by JCCU and Co-op net 9

10 Regional Business Federation Hokkaido Hokurik u SUN NET Green Co-op Co-op Kyush u CS-Net Kobe Kinki Tokai Coop U-COOP Co-op NET Pal syste m Seikatsu Club 10

11 Regional Business Federation Name Turnover in USD Member Societies Year of Establishment Hokkaido 2.5 billion 1 Sun Net 2.2 billion Co-op Net 5.3 billion Pal-System 1.9 billion U-Coop 2.4 billion Tokai Co-op 1.1 billion Co-op Kinki 2.8 billion Kobe group 3.3 billion CS Net 2.2 billion As of 2007 Co-op Kyushu 2.0 billion It accounts for 95.2% of Total of Retail Co-ops Total 25.7 billion Ref. Total Turnover of Retail Co-ops : 27.0 billion USD 11

12 Sanchoku Business Cooperation between Consumer Co-ops and agricultural Co-ops, fishery co-op, dairy co-op 1) What is Sanchoku? 2) Turnover 3) Communication between consumers and farmers 4) Future Direction 12

13 Sanchoku Business 1) What is Sanchoku? Fresh food direct from the farm Vegetables,Meat,Egg,Milk High Quality Tractability, Safe and Security Supporting agricultural industry in Japan Co-op Sanchoku is strongly supported by co-op members. 13

14 Sanchoku Business 2) Turnover Categoly Turnover Fruits&Vegetables Marine Products Meat Egg Milk Rice Others 50.5 Total As of 2006 Unit : USD million Milk 10% Egg 7% Turnover by category Others Rice 2% 14% Meat 27% Fruits&V egetable s 35% Marine Products 5% Fruits&Vegetables Marine Products Meat Egg Milk Rice Others It accounts for 13.5% of turnover of food items. 14

15 Sanchoku Business 3) Communication between consumers and farmers Co-op Sapporo Agriculture Award 15

16 Sanchoku Business 3) Communication between consumers and farmers Communication between co-op members and farmers Educational program for kids 16

17 Sanchoku Business 4) Future Direction Eco-friendly Improve food self-efficiency in Japan 17

18 Section Managers Training Course for Elder-care Service Cooperation between Consumer Co-ops and Agricultural Co-ops 1) Aging society,especially in rural area 2) Rapid increase in need for elder-careworkers 18

19 Section Managers Training Course for Elder-care Service JCCU held the training courses in collaboration with JA Zenchu. 69 participants, 2 programs in participants,3 programs in

20 The Asian Consumer Co-operative Development Fund Year of Establishment : 1987 JPY million (USD 9.21 mil) as of Mar Donated from 103 Co-ops Training program for the managers of Asian Consumer Co-operatives Supporting exchange activities between Japan and Asian Consumer Co-operatives 20

21 Conclusion Business sustainability meet the needs of consumers Relationship of trust with other co-ops - you have to invest your time to create Win- Win situation with your partner co-ops. Contribute to Communities and Society 21

22 Thank you for your kind attention! 22