With its management philosophy of Creation and Challenge in mind, the Yamada Denki Group has maintained growth by actively promoting a business approach which looks towards future management, strengthening its financial position through steady implementation of capital policies, and strengthening the base of its management resources.
The Group will continue to monitor closely the changing times, creating systems for the future not bound by its results, and working hard to build on the next Creation and Challenge.
Yamada Denka Service founded
The history of Yamada Denki begins with the founder and chairperson Noboru Yamada. While working at the Maebashi Plant of Victor Company of Japan, Limited (JVC), he learned a lot about quality control and went on to open the Yamada Denka Service (*) in Maebashi City, Gunma Prefecture in 1973. Mr. Yamada and his wife started the business as a small local electric goods store having a floor space of just over 25 m2. From the time of its foundation, Creation and Challenge was proclaimed as the business’ management philosophy. During the period of the oil crises of the 1970s and the introduction of the floating rate system which caused the appreciation of the yen, the Company expanded its business, and in 1978 five stores were operating with annual sales of over 600 million yen. The time from its foundation to the first half of the 1980s was the Company’s first start-up period.
The first Tecc Land store
Urban large scale store, LABI
Suburban store (Tecc Land)
The period from the first half of the 1980’s to the first half of the 2010’s, known as the second start-up period, saw the Company shift from an electric store selling goods from various manufacturers to a mass merchandiser.
YAMADA DENKI CO., LTD. was established in 1983 and expanded its business through the development of franchise chains, the opening of large scale general home appliance stores known as Tecc Land, the introduction of low price strategies, and by setting up distribution centers. Then, amid the turmoil of the bursting bubble economy, the Company offered shares to the public in 1989 consequentially achieving sales of 100 billion yen in 1997. In 2005, the Company became the first home appliance mass merchandiser to establish a national chain in Japan and through the expansion of the urban large scale store LABI became the first home appliance mass merchandiser to achieve a turnover of 1 trillion yen in the same year. The first turnover of 2 trillion yen was achieved in 2010 and overseas store expansion was pushed to the fore.
Since the 1990s, the Yamada Denki Group began to focus on building relationships of trust with its various stakeholders. In 1994, the Company started its comprehensive maintenance service called, The Anshin. In 1997, CIC Inc. was established to handle discarded home appliances and resell salvageable products. The Group actively carried out activities aiming to improve customer satisfaction by designating 2003 the start of its promotional initiative. Recognizing the importance of social responsibility in tandem with the growth of the Company, in 2007, the Group newly incorporated the words Appreciation and Trust to define its management philosophy and set up the CSR Office.
Reuse & outlet specialty store
LABI LIFE SELECT
Kaden Sumairu Kan
In the third start-up period from the early 2010s, the Yamada Denki Group established a long-term vision aiming to be an IoT company with the largest service network in Japan. Amid a rapidly changing market environment, and in collaboration with Group companies, the Company endeavors to broaden and deepen its areas of business with the sale of home appliances at its heart. The Group is developing innovative solutions-based businesses based on customers’ perspectives and downstream thinking.
Based on this long-term vision, the Group acquired BEST DENKI CO., LTD., which had a large market share in Kyushu, as a subsidiary in 2012. In 2015 the Group opened Concept LABI, a store which showcases the latest concepts and ideas. In 2017 LABI LIFE SELECT Senri, an interactive store with home displays, was reopened, and also developed "the Kaden Sumairu Kan," a new type of store which offers a total housing approach and which aims to create a whole new business model. Furthermore, in 2019, we launched the "YAMADA web.com store," which links the web and prices. Meanwhile, as a means to strengthen the Group’s housing sector, SxL Co., Ltd. (*) and Housetec Inc. were acquired and made subsidiaries in 2011 and 2012, respectively. YamadaWoodHouse Co., Ltd. (*) was established in 2013, and the house business was integrated in 2018 with the foundation of Yamada Homes Co., Ltd. In 2019, Otsuka Kagu Co., Ltd. was made a subsidiary, and the shift to a new business model that proposes "total living" is accelerating.
Then, on October 1, 2020, the Yamada Denki transitioned to a holding company structure as Yamada Holdings.
Based on its management philosophy of Creation and Challenge, Yamada Holdings will continue to create a strong system for the future not bound by past results.
(*) The company name was at that time