News On Japan

Unmanned Sweets Shops Take Japan by Storm

TOKYO - The 24-hour unmanned sweets shops have gained immense popularity, expanding to 98 stores nationwide in just a year and a half. What is the secret behind their success? We spoke with the 29-year-old founder and CEO to find out.

Unmanned Sweets Shops Take Japan by Storm

The recently opened 24 Sweets Shop in Hiratsuka offers a variety of famous sweets from across Japan. Inside the store's frozen cases, you can find everything from shortcake from Tokushima to jarred mitarashi dango from Fukui, with prices ranging from 200 yen to over 1000 yen. Customers can purchase their desired sweets through a self-checkout system.

‘I come here often to buy sweets for myself or as gifts. It's great that the store is open 24 hours, especially for late-night cravings,’ said a customer. ‘The items here are really photogenic too.’

Shoya Kubota, the 29-year-old CEO, founded the first store in his hometown of Hiroshima in January last year. Since then, the chain has rapidly expanded to 98 stores, with sales increasing ninefold compared to a year ago.

Kubota's approach focuses on creating an inviting atmosphere that appeals to social media users. 'We incorporate elements like neon lights to create a space that people want to share on social media,’ he explained.

Before venturing into unmanned sweets shops, Kubota ran construction and security companies. The idea for 24-hour unmanned sales came from his company officer's mother, who often bought sweets online but faced issues with high prices and limited availability. Kubota saw a business opportunity in offering a wide selection of sweets available 24/7.

‘The response to our first store was overwhelming, with over 200 customers on the first day alone,’ Kubota recalled. He also emphasized the benefits of an unmanned business model, which reduces labor costs and operational expenses.

The 24 Sweets Shop differentiates itself by offering a constantly changing selection of over 40 to 50 types of sweets at any given time. ‘Initially, it was challenging to source products as suppliers were hesitant. But now, thanks to media coverage, suppliers are approaching us,’ Kubota said.

Currently, the company collaborates with about 80 suppliers, offering around 700 to 800 products. Kubota plans to release 200 new products annually to keep the offerings fresh and exciting.

Kubota's goal is to expand to 500 stores within five years. He believes that constant product rotation is crucial for sustaining customer interest. ‘We plan to source products not only from Japan but also from places like South Korea, which is known for innovative trends,’ he added.

The shops' higher-priced sweets, compared to convenience store offerings, cater to customers seeking unique and Instagram-worthy items. Kubota envisions his stores as places people visit for special occasions rather than everyday purchases.

The unmanned model has also attracted franchisees, with some stores generating impressive sales, such as 20 million yen in the first month. Franchise owners, like the CEO of a machinery manufacturing company in Aichi Prefecture, appreciate the business model's low labor requirements.

‘The key to success is the location. Stores in suburban areas with parking facilities perform better than those in city centers,’ noted a franchise owner.

As the business grows, Kubota remains focused on his core strategy: maintaining a dynamic and appealing product lineup. ‘We want customers to always find something new and exciting when they visit our stores,’ he said.

Kubota's dedication to innovation and customer engagement is driving the rapid expansion of 24 Sweets Shops across Japan.

Source: TBS

News On Japan
POPULAR NEWS

Large Typhoon No. 25 was moving northwest over waters south of Japan at 3 p.m. on September 19 and is forecast to strengthen as it approaches Kanto and the Izu Islands from September 20 through September 21, bringing the risk of torrential rain, violent winds and further damage in areas still recovering from last year's typhoon.

A black bear has been spotted near one of the most popular hiking trails on Mount Takao in western Tokyo, prompting authorities to urge visitors to take precautions ahead of the five-day Silver Week holiday and the approaching autumn foliage season.

Starbucks is considering selling a majority stake in its Japanese business, potentially valued at as much as $3 billion, or about 470 billion yen, as the U.S. coffee chain seeks to concentrate management resources on its struggling North American operations.

Japan's Halloween Jumbo Lottery went on sale nationwide on September 16, offering a combined top payout of 400 million yen for the first prize and its adjacent-number prizes.

A new top-tier "Supreme Class" offering fully private compartments above the level of Green Car service will debut on the Tokaido and Sanyo Shinkansen on October 1, with passengers able to experience the new seating at a demonstration booth at Shin-Osaka Station.

MEDIA CHANNELS
         

MORE Business NEWS

The yen strengthened by more than 1 yen against the dollar in a short period late on September 18 after the Bank of Japan conducted a rate check, a step commonly taken in preparation for possible intervention in the foreign exchange market.

Tokyo stocks rose sharply on September 18, with the Nikkei 225 climbing to around 65,350 in afternoon trading after the Bank of Japan raised interest rates to 1.25%, as the yen weakened and investors bought artificial intelligence and semiconductor-related shares.

The Bank of Japan raised its policy interest rate from 1.0% to 1.25% on September 18, lifting borrowing costs to their highest level in 31 years as policymakers moved to contain growing inflation risks, but the yen weakened sharply after the decision as markets focused on two dissenting votes and uncertainty over the pace of further increases.

A market spread is generally the difference between two market prices. Most commonly, traders use the term to describe the bid-ask spread: the difference between the highest price a buyer is currently prepared to pay and the lowest price a seller is prepared to accept.

Tokyo stocks rose on September 17, with the Nikkei 225 closing at 64,136, up 213.25 points, as investors bought selected technology, pharmaceutical, insurance and consumer-related shares after the Federal Reserve’s rate hike, though gains were capped by a stronger dollar, renewed yen weakness and caution before the Bank of Japan’s policy decision.

Hakone, one of the Kanto region's most popular tourist destinations, has been left with just two operating gas stations after a series of closures, prompting the town to provide more than 10 million yen in subsidies to help reopen a shuttered facility.

Japan's Halloween Jumbo Lottery went on sale nationwide on September 16, offering a combined top payout of 400 million yen for the first prize and its adjacent-number prizes.

Japan's National Tax Agency is preparing a major overhaul of the way unlisted shares are valued for inheritance tax, a reform that could significantly affect business succession at profitable, asset-rich companies and would mark the first fundamental revision of the rules since they were introduced in 1964.