Market & Consumer Analysis - The Japanese cross-border e-commerce market is experiencing rapid growth and transformation, with a projected market size of $191.9 billion in 2024 and expected to exceed $260 billion by 2029, indicating stable growth [2] - The consumer demographic in Japan is diverse, with significant segments including the elderly population, which accounts for nearly 30% of the population aged 65 and above, holding over half of the national wealth and prioritizing quality and service [3] - The rise of the "solo economy" is notable, with over half of Tokyo's population living alone, leading to increased demand for small appliances and minimalist home products [4] - Working women in Japan seek efficiency in their purchases, favoring time-saving products in beauty, convenience foods, and home cleaning [5] - Generation Z, born between 1997 and 2012, is a key demographic, being digital natives who are active on social media and prefer personalized, niche brands [5] Major Platforms - The Japanese e-commerce market is dominated by three major platforms: - Rakuten, the largest local e-commerce platform, holds a market share of 28.8% with over 120 million members, known for high user loyalty [5] - Yahoo! Shopping, with an approximate market share of 18%, offers stable traffic and strong search capabilities, particularly for second-hand goods [7] - Amazon Japan, which has a market share of about 25%, is recognized for its diverse product categories and high consumer trust [9] - New emerging platforms such as Temu, TK, and Mercari are also gaining traction, suggesting sellers should test the market on a small scale before deeper engagement [10] Product Selection Recommendations - Popular product categories for sellers to consider include: - Home and living products that are eco-friendly, convenient, multifunctional, and storage-efficient, such as collapsible storage boxes and smart small appliances [11] - Fashion items, particularly workplace attire, with a preference for minimalist designs, indicating a trend towards simple yet professional clothing [13] - Beauty and skincare products, where Japanese consumers show a strong interest in quality and efficacy, particularly in skincare with whitening, moisturizing, and anti-aging properties [15] Conclusion - The Japanese cross-border market presents both opportunities and challenges, emphasizing the importance of selecting the right platform and adhering to precise product selection strategies for sellers of all sizes to find their niche and achieve growth [15]

日本乐天集团成立于1997年，作为全球互联网生态的标杆企业，在电商零售、跨境支付、数字营销等领 域积累了深厚的经验与资源网络。自2019年乐天正式向中国卖家开放招商通道以来，其中国业务经历了 从"日本主体开店"到"中国公司直接入驻"的关键转型——这一政策突破不仅降低了中国卖家的入驻门 槛，更推动乐天与中国市场的深度融合。2021年，乐天集团在杭州开设了办事处，并设置了服务中国企 业入驻乐天市场的专业顾问。随着此次杭州分公司的正式投运，乐天在华发展的"华东引擎"将全面启 动。 开业仪式上，日本乐天集团中国分公司董事长兼CEO周洋表示，"华东地区是中国经济最活跃、产业基 础最雄厚的区域之一，其制造业与供应链优势与日本市场需求高度契合。无论是户外用品、服装纺织还 是家居百货，华东企业的产品凭借高品质与创新力，长期在日本市场占据重要地位。杭州分公司的设 立，正是要打通乐天生态与华东产业的'最后一公里'。我们将通过数字化工具、本地化运营支持及跨境 链路优化，助力更多华东卖家高效触达日本及全球消费者。" 杭州综试区凭借多年深耕积累的政策红利、产业集群优势与数字经济底蕴，已成为全球电商巨头布局亚 太市场的优选地。乐天集团此 ...

Group 1 - The article focuses on value investing opportunities in Asia, particularly in Hong Kong, targeting stocks with significant discrepancies between market price and intrinsic value [1] - The investment strategy emphasizes deep value balance sheet bargains, such as net cash stocks and low price-to-book (P/B) stocks, as well as wide moat stocks that represent high-quality businesses [1] - The author provides a range of watch lists with monthly updates to assist investors in identifying potential investment opportunities [1]

"The Rakuten Card offers our members a new and rewarding way to shop and earn," said Rakuten CEO and President Amit Patel. "The Card combines the power of Rakuten's Cash Back and rewards program with Imprint's advanced technology and the unique benefits of the American Express network to bring even more value to our members." "Rakuten and American Express share a commitment to rewarding customers for how and where they spend," said Will Stredwick, SVP and GM of Global Network Services for North America at A ...

Company Overview - Imprint, a 5-year-old credit card startup, has successfully secured a co-branded card deal with Rakuten, indicating its growing influence in the co-branded credit card market [1] - The company recently raised $70 million in additional capital, increasing its valuation by 50% to $900 million within less than a year [2] Industry Dynamics - The co-branded credit card sector is highly competitive, with major players including JPMorgan Chase, Capital One, Citigroup, and Synchrony vying for partnerships with retailers, airlines, and hotels [3] - Imprint is actively engaging with Fortune 500 companies to establish partnerships, positioning itself as a viable alternative to larger banks like Synchrony and Barclays [4] Financial Position - Imprint has raised a total of $330 million, primarily retained on its balance sheet, to demonstrate financial stability to potential partners [4] - The startup has access to approximately $1.5 billion in credit lines from banks such as Citigroup, Truist, and Mizuho, which it utilizes to extend loans to card customers [5]

Core Viewpoint - Rakuten Group Inc. will receive support from Meti in the development of artificial intelligence (AI) models [1] Group 1 - Rakuten Group Inc. is focusing on enhancing its capabilities in AI technology [1] - The collaboration with Meti is expected to bolster Rakuten's AI development efforts [1]

Core Insights - The article focuses on the Asia Value & Moat Stocks research service, which targets value investors looking for significant discrepancies between stock prices and intrinsic values, particularly in the Asian market, especially Hong Kong [1] Group 1: Investment Strategy - The service emphasizes deep value balance sheet bargains, such as net cash stocks, net-nets, low price-to-book (P/B) stocks, and sum-of-the-parts discounts [1] - It also highlights wide moat stocks, which are characterized by strong earnings power at discounted prices, including high-quality businesses and hidden champions [1] Group 2: Research Offerings - The author provides a range of watch lists with monthly updates to assist investors in identifying potential investment opportunities [1]

Rakuten Mobile & Subscribers - Rakuten Mobile achieved its first quarterly profit since the start of full-scale MNO investment, with JPY 12.3 billion in operating income for Q3/24 [9, 10] - Total Rakuten Mobile subscribers reached 8.12 million lines as of November 10, 2024 [5] - Rakuten Mobile subscribers use +2.45 more services than non-subscribers [24, 26] - Rakuten Mobile's MNO service revenue increased +42.2% YoY in Q3/24 [100] - Rakuten Mobile's adjusted MNO churn rate was 1.09% as of Q3/24 [100] Financial Performance - Q3/24 consolidated revenue reached JPY 566.7 billion, a +9.3% YoY increase [40] - FinTech segment revenue increased +12.8% YoY, reaching JPY 208.2 billion [41, 72] - Q3/24 consolidated Non-GAAP operating income increased by JPY 26.5 billion YoY, a +57.2% increase [49] - Q3/24 consolidated EBITDA achieved profitability at JPY 92.2 billion, a +159.1% YoY increase [53, 54] FinTech Segment - Rakuten Card shopping GTV increased +12.7% YoY to JPY 6.0 trillion [75] - Rakuten Securities general accounts increased +20.3% YoY to 11.65 million [75] - Rakuten Bank accounts increased +12.6% YoY to 16.19 million [75] AI Initiatives - AI implementation led to a 31% reduction in customer support costs at Rakuten Mobile [36] - Rakuten is driving groupwide productivity enhancement through the "Triple 20" project, aiming for a 20% improvement in operational, marketing, and client productivity [35]

Financial Data and Key Metrics - Consolidated revenue reached a record high of JPY566.7 billion, a 9.3% increase YoY [17] - Non-GAAP operating income improved by JPY53.4 billion YoY, recording a profit of JPY12.3 billion [18] - IFRS operating income recorded a profit of JPY538 million [18] - Consolidated EBITDA increased by 159.1% YoY to JPY92.2 billion [18] Business Segment Performance Internet Services - Revenue increased by 4.4% YoY to JPY314.6 billion [19] - Non-GAAP operating income rose by 54.2% YoY to JPY21.2 billion [20] - Rakuten Travel grew by 43.1% compared to pre-pandemic levels [21] - Advertising revenue increased by 4.3% YoY [21] - International business unit revenue grew by 9.4% YoY [22] Fintech - Revenue increased by 12.8% YoY to JPY208.2 billion [26] - Operating income rose by 57.2% YoY to JPY40 billion [26] - Rakuten Card Shopping GTV reached JPY6 trillion, a 12.7% increase YoY [27] - Rakuten Securities general account increased by 20.3% YoY to JPY11.65 million [27] - Rakuten Bank deposit balance grew by 16.4% YoY to JPY11.1 trillion [28] Mobile - Revenue increased by 19.5% YoY, surpassing JPY100 billion [33] - Non-GAAP operating income improved by JPY26.5 billion YoY [33] - EBITDA reached JPY30.5 billion, showing positive growth [33] - Total subscribers reached 8.12 million, with MNO service revenue growing by 42.2% [35] - ARPU stood at JPY2,801, approaching the target of JPY3,000 [35] Market and Strategic Insights - Rakuten Mobile is positioned as a key pillar of the ecosystem, driving usage of other Rakuten services [11][13] - Subscribers use 3.25 services on average, compared to 1.25 for non-subscribers [12] - AI-driven cost reductions in customer support saved 31%, reducing costs from JPY195 to JPY37 per user [15] - The company aims for a 20% improvement in marketing, operational, and client efficiency through AI [16] - Rakuten Mobile plans to expand 5G coverage, targeting 100% coverage in Tokyo Metro by March 2026 [41][42] Management Commentary - The company achieved self-funding for Rakuten Mobile, with no reliance on external loans [5] - Rakuten Mobile's growth is supported by its cost advantage and rich data assets [6] - The company is leveraging AI to enhance customer experience and operational efficiency [15][16] - Rakuten Symphony is driving technological advancements, with 45 global customers and a target of 100+ by next year [57] - The company is focused on improving profitability, with Rakuten Mobile expected to achieve monthly EBITDA profitability by 2024 and annual profitability by 2025 [63] Other Key Information - Rakuten Mobile's ecosystem contribution is reflected in its financials, with adjusted MNO churn at 1.09% [35] - The company is integrating generative AI into Rakuten Link, enabling advanced communication features like simultaneous interpretation [50] - Rakuten Symphony is expanding its cloud services, focusing on private cloud solutions for businesses [55] - The company is targeting energy savings of 20% through AI-driven base station operations [44] Q&A Session - No specific questions or answers were provided in the document [84]

Core Insights - The research service "Asia Value & Moat Stocks" targets value investors looking for Asia-listed stocks with significant discrepancies between market price and intrinsic value, focusing on deep value balance sheet bargains and wide moat stocks [1] Group 1 - The service emphasizes investment opportunities in the Hong Kong market, particularly in deep value balance sheet bargains such as net cash stocks and low price-to-book (P/B) stocks [1] - It also highlights wide moat stocks, which are characterized by strong earnings power and include high-quality businesses and hidden champions [1] - The author provides a range of watch lists with monthly updates to assist investors in identifying potential investment opportunities [1]