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Latest Japanese E-Commerce Case Study 2025: Kikunoya

1. Business Background and the Need for EC Transformation

1.1 A Long-Established Brand with 130 Years of History

Founded in 1890, Kikunoya Honten is one of Japan’s most prestigious traditional confectionery brands.Its signature product, Fukiyose (assorted dry sweets), has been a flagship item since the late Taishō era and is widely recognized as a representative gift from Ginza.

The company operates across multiple channels:

  • Ginza main store, Shibuya, and Tokyo Station

  • Department stores nationwide

  • Haneda Airport stores

  • Online shop

Given this multi-channel structure, strengthening its omni-channel strategy had long been an important business challenge.


1.2 Limited Response in the Early Internet Era

Kikunoya launched its first website about 20 years ago, but the main ordering method remained telephone-based.As media exposure increased, website traffic surged, prompting the company to take EC more seriously.


1.3 Limitations of the Previous EC System

At that time, the EC system introduced carried several structural issues.

■ Issues affecting customer experience

  • The site was difficult to use and not optimized for smooth purchasing

  • PC-oriented design with insufficient smartphone compatibility

■ Operational challenges

  • Heavy manual work for order handling, inventory management, and customer support

  • Increased orders resulted in heavier workloads, reducing response quality→ A negative spiral where “higher sales created operational bottlenecks”

■ Functional limitations

  • Insufficient customization for traditional confectionery

  • Fukiyose message-printing requests often did not reach production accurately

  • Weak support for gift-related needs (multiple shipping addresses, noshi, etc.)

  • Promotional features (coupons, campaigns, sales) were extremely limited

The most fundamental issue was:

“The more the company tried to grow EC sales, the more system limitations created operational strain.”



2. Why Kikunoya Selected EBISUMART

2.1 Recommendation from a Design Partner and Comparative Review

Kikunoya adopted EBISUMART after a strong recommendation from their long-time creative partner,who had already used the platform in another food-related EC project and understood its strengths.

Three decisive factors led to its adoption:

1. SaaS model with continuous updates

Unlike on-premise or full-scratch development, EBISUMART is always up-to-date, reducing cost and development lead time.

2. High degree of customization

The platform supports flexible customization of cart pages, member pages, and more—essential for expressing a heritage brand’s world view.

3. Cost efficiency and predictable operation

Frequent changes no longer require large development budgets; predictable monthly fees simplify resource planning.


2.2 Clear and Strategic Renewal Objectives

President Yuji Ida set two core goals for the renewal:

  • Improve customer experience: Make the EC shop easier to use, particularly for gift buyers

  • Improve internal operations: Reduce workloads for staff handling orders and shipping

This dual focus—enhancing both CX and internal operational efficiency—formed the foundation of Kikunoya’s digital strategy.



3. Functional Enhancements and Operational Improvements After Implementation

3.1 Full Enablement of the Message-Printing Feature

One of the most impactful improvements was the stabilization of the Fukiyose message-printing feature.

Before renewal:

  • Customer-entered messages often failed to reach production accurately

  • Manual intervention was required, increasing errors and workload

After EBISUMART:

  • Customers can specify messages intuitively

  • Message data is automatically delivered to production and shipping teams

  • Manual checks are minimized

Because gifting is a core revenue driver for traditional confectionery, this function is not just a feature—it enhances the overall business model.


3.2 Gift-Oriented EC Features

Essential gift-related requirements were strengthened:

  • Multiple shipping addresses

  • Automated noshi (gift wrapping) handling

  • Centralized management of per-address shipping and billing

Complex gift orders that previously required manual handling can now be processed seamlessly online.


3.3 Flexible Promotion Features

Seasonal campaigns, limited-time sales, and coupons can now be set directly by EC staff via the admin panel.

This eliminated:

  • High development costs

  • Long lead times

  • Operational bottlenecks

Promotional agility improved dramatically.



4. Quantitative Results: Membership 1.78×, Customer Spend 130%

4.1 Membership Increased 1.78× in Just 10 Months

Following the October 2018 renewal, membership increased by 1.78× within 10 months.

This growth cannot be explained simply by time;the scalable, automation-driven environment made proactive customer acquisition finally possible.


4.2 Customer Spend Increased to 130%

Customer average order value increased by approximately 130%.

Key drivers:

  • Growth in demand for personalized Fukiyose

  • More multi-item and multi-destination gift purchases

  • Improved cross-selling and upselling through campaigns


4.3 Shift from Telephone Orders to EC Orders

Many customers who previously relied on telephone ordering naturally shifted to the EC site.

Benefits include:

  • Reduced phone support burden

  • 24/7 ordering convenience for customers

  • Ability to grow transaction volume without proportional staff increases



5. Internal Operational Efficiency: Dramatic Reduction in Order Processing Time

5.1 Faster Handling of Each Order

Automation enabled significant time savings:

  • Order verification

  • Message-printing confirmation

  • Gift-wrap specifications

  • Shipping instructions

  • Automated customer notifications

Previously, order volume and workload were directly proportional.The new system enabled non-linear efficiency, allowing growth without strain.


5.2 Major Reduction in System Modification Costs

With EBISUMART:

  • Promotions

  • UI adjustments

  • Feature enhancements

can be implemented rapidly and inexpensively, improving responsiveness to market demands.



6. Establishment of the Digital Promotion Department

6.1 Organizational Significance

With EC’s success, Kikunoya established a Digital Promotion Department. This marked:

  • Elevation of EC from a secondary channel to a core business pillar

  • Movement toward unified service quality across stores and online

  • A shift toward integrated customer data utilization and CRM sophistication


6.2 Advancement of Omni-Channel Strategy

The new department enables future initiatives such as:

  • Unified customer IDs across EC, physical stores, and department stores

  • Centralized inventory management

  • Personalized customer communications across all touchpoints



7. Strategic Lessons for Traditional Japanese Brands

Kikunoya’s case demonstrates several insights applicable to long-established Japanese companies:

  1. SaaS platforms align well with traditional brands→ Maintain brand identity while gaining modern functionality

  2. Customer experience and operational efficiency can be improved simultaneously→ Avoid the typical trade-off between growth and workload

  3. Organizational DX accelerates when supported by dedicated departments→ Structure enables sustained transformation



Conclusion

Kikunoya Honten leveraged EBISUMART to dramatically transform its EC operations:

  • Membership increased by 1.78× in 10 months

  • Customer spend increased to 130%

  • Gift-based purchasing became smoother and more profitable

  • Internal workloads were reduced through automation

  • A dedicated DX organization was established

This case shows how a 130-year-old heritage brand can embrace digital technology to open new avenues of growth.Kikunoya’s experience serves as a valuable role model for traditional and mid-sized Japanese companies exploring digital transformation.




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  19. https://www.future-shop.jp/magazine/ec_renewal

  20. http://www.zenkaren.net/wp-content/uploads/2022/02/41.pdf


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