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Mr. Kono's joining and the outlook for the future of Commerce Media: The challenge of business succession

This time, Takanobu Kono will join as the new Executive Aide Producer.

What is Executive Aide Producer?
Acting as a consultant to executives and business managers, he achieves internal/external branding through commitment in terms of organizational design and technology utilization.

How will Izawa, the company's CEO, commit himself to Commerce Media as a branding expert, and what are his expectations? Through this conversation, we will delve deeper into those expectations.

Mr. Kono and our CEO, Mr. Izawa

The origins of commerce media and what we want to achieve in the future

Izawa: Commerce Media started as a consulting business as my personal business in 2016. In the process of providing support, we saw results on client sites, but gradually we ran out of people to create sites, so we formed a production team, and as we continued to increase sales, we began to take on the entire operation of e-commerce sites, including logistics, and have since evolved into a one-stop support company.

> Our service page is here

Overview of our services

Izawa: Although it was not our intention during the support process, we started receiving consultations from clients about investment and business succession. (As of April 2024, we have actually completed two business successions and one company acquisition.)
In recent years, an increasing number of companies have been engaging in e-commerce roll-up businesses (a method of increasing corporate value through business acquisitions), but I felt that we could create a unique approach to this.

Kono: The goal is to address the various management issues that companies face through business succession and build a sustainable business model. Business succession is not just about passing on ownership of the company to the next generation; it requires an integrated strategic approach that also includes corporate culture, employee benefits, and contributions to the local community.
As a commerce media company that comprehensively supports all of these elements, this trend may be inevitable.

Izawa: It certainly happened naturally. We've created our existing businesses in line with the trends of the world, but I think that we're able to succeed the business because we're providing comprehensive support.

Why do we do this?

Izawa: I feel uncomfortable when the value of a product or brand is not properly communicated. When I worked at Rakuten, I looked at products of all genres, so I had a vague sense of how much a product would sell. There are brands that are not communicated at all, and conversely, there are brands that are overvalued. The management agency service I am currently providing aims to achieve the appropriate value of brands and products in the market. This is because I think that is the most sustainable state.

Among these, I believe that business succession is the most distorted area facing Japanese society right now. Many valuable things are being lost because they cannot continue.

Kono: That's true. While it is very important to understand what already exists, the process is time-consuming and difficult, so in many cases it ends up being about disassembly and reconstruction. Drawing out the true value and making it sustainable may be exactly the direction that will be required in business succession from now on.

Commerce Media Representative: Izawa

Izawa: That's why I think "business succession" is more appropriate than "M&A." Rather than M&A to expand the business, I want to carry out business succession without losing anything of value.

Kono: Although business succession is a new business form, I think Commerce Media has always had the desire to "correctly convey the original value." Was there any special reason that you decided to redefine this clearly this time?

Izawa: I think the challenges of generational succession in my own family-run farm have had a major impact. From that experience and roots, I have come to feel that many small and medium-sized enterprises are facing similar challenges and need effective support. In particular, I feel that the coronavirus pandemic has indirectly made the challenges of business succession clearer.

The significance of Mr. Kono joining the company

Izawa: I have the impression that Mr. Kono has strengths that are the polar opposite of mine. I am the type of person who can create the optimal state for a business and create value by combining things that other companies are not doing. Mr. Kono has overwhelming analysis and insight into brands, and it seems like he breaks it down and makes it scientific. It's hard to put into words, but it's like he makes sensibility scientific...that sense of balance.

Mr. Kono and Mr. Izawa having a friendly conversation

Izawa: By the way, what did you think when I approached you?

Kono: I was genuinely happy. I was just thinking about taking a new step, so I was really grateful and happy to be asked, "Why don't you try this?" I have no choice but to always do my best, and my work has become my life itself... But honestly, I was feeling down because I was reflecting on my recent results, so I was so happy that I cried when I was asked this question more than ever before.
Thanks to you, I'm having a lot of fun now (laughs).

Izawa: More than anything, Mr. Kono looks like he has fun talking about the brand. That's the simple reason why I wanted to work with him.

Kono: Thank you! But it's not enough to just have fun, so I'm committed to getting results (laughs).
It's a big responsibility, but I'm happy that people have high expectations of me, and I want to be proactive in my role. I hope to not only develop strategies, but also shape the organizational culture and motivate the entire team to work toward a common goal.

Mr. Kono

What to expect

Kono: Personally, I'm grateful and will do my best! (laughs) What do you expect from me, Izawa-san?

Izawa

Izawa: A strategist ! When I first heard the meaning of Executive Aide Producer, I thought that's it!

I am running a business succession business with a strong passion, but it is meaningless if this activity does not reach those who need it. To that end, I would like you to work with me to create an environment where people can learn about the company . In that respect, I think that the branding and public relations activities that Mr. Kono has been doing will be a great help .

Kono: Yes. I still think that's a waste. Our employees and the things they've done are wonderful, but to be honest, I feel like only about 20-30% of it is known to the world (laughs). But when it comes to communicating with the outside world, it's inevitable that we tend to be reserved from the inside...I think this is the case for most companies.
That's why I think it's so important for an "outsider" like me to bring that out and support it. I have to make sure that the employees don't think that some shady person just showed up out of nowhere and said some shady things (laughs).

Izawa: A few years ago, when we did our internal branding, all the members at that time were communicating with Mr. Kono, so there was nothing suspicious about it (laughs).

Internal branding materials

Izawa: I also plan to have him make decisions together with me when it comes time to actually take over the business . I want to shape my and Mr. Kono's decision-making criteria and create a business succession model for Commerce Media.

Kono: I would like to take on this challenge while learning various things and making use of my past experiences. And since it is an area that requires a true understanding of the business, I am motivated because it is an area that will affect my life.

Izawa: Even now, with the advances being made in technology, it is still people who ultimately drive business forward, so I would like you to help with our internal branding. I myself am often told that my messages are too abstract and difficult to understand, and as the number of members has increased in commerce media, I think it is important to align our vectors.

Kono: No matter how good the members are, if there is a mismatch, it's all a waste... I think it's especially important to communicate the intentions of the management, and for the members to trust the management. Of course, I think that's still the case now, but I'd be happy if I could give that support again.

Conclusion

Kono: There's so much to talk about, but it seems like it will go on forever, so I'll stop now (laughs). Finally, is there anything you would like to say or a message to our readers?

Izawa: There are two main reasons.

  1. If you are worried about the continuation of your brand or products, please feel free to contact us for a consultation . Our company provides support for e-commerce sites, so we may be able to help you, and we hope that business succession will become a natural choice if it is ultimately the best option.
  2. We are looking for colleagues to work with us. Taking over a business is a job that comes with a lot of responsibility and difficulty. If you join Commerce Media, you will understand that there is a lot of discretion. Rather than becoming a professional in one area, we encourage you to be involved in multiple business areas and projects. Since we place importance on on-site decision-making, we welcome the participation of people who want to work in such an environment and who want to solve Japan's future challenges. The work is hard, but it is definitely rewarding!

    > Click here for recruitment information

Izawa conveys his message

Kono: Thank you very much. I hope you will look forward to the future of commerce media! Thank you to everyone who read this.

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