Seller Channel> Success Story> Success Story Detail

The Merchant's Style: Don't Battle the Price

Member: Nishida Masao, Nishida Yusuke
Company: KYOWA CO., LTD.
Location: Japan
Industry: Machinery Tool
Gold Supplier member since: 2014
Website: https://kyowajapan.trustpass.alibaba.com/
Gold Supplier

 

 

 

 

 

The hardware trading company Kyowa CO., has entered its 70th years in 2017. “It’s not that we felt the immediate necessity to sell overseas, but we surely saw the limitation of the domestic market from here on.” Said CEO Nishida. He first heard of Alibaba.com on a TV program.

 

Incidentally at the same time, the son of the CEO, Yusuke, returned to the family business, and was named to oversee the entire new international division. Yusuke previously worked at retails at the fashion company Louis Vuitton which is in completely different industry with different products and target market. But with trusts from many in the company, as the successor of the business, Yusuke kept on trial and error without being discouraged. The first year on Alibaba.com the company did 23 million yen for international sales.

 

During the period with few or no order, Yusuke implemented 3 main strategies: “timely response”, “unconditional sample offer” and “personal touch”. Buyers are after all human. Given the same price offering the buyer will choose based on their personal relationships, he thought. Once the Vietnamese buyer who was learning Japanese asked for help, and he delivered. “Building a close personal relationship is also necessarily contributing to sales.”

 

After one year and a half on Alibaba.com, with 5 million yen monthly sales, the company confirmed expansion. CEO Nishida believed it is unideal for the current team to carry on with extra work, so the company welcomed a new member Ms. Sun to specialise on overseas business. Under the new system, Ms. Sun took over the responsibility of attracting new costumer while Yusuke continued existing account management. They also started routine visit to their frequent costumer to deepen their relationships. Their sales number took off as 60 million the 2nd year and 130 million the 3rd year.

 

“Ones who compete by lowering prices will simply lose in the overseas market. The ability to suggest and to tailor to meet the customers’ need is crucial.” “It is not only to improve your sales, but also to satisfy your costumers.” The CEO talked about “the added value” to be the essence of sales.