Article
Takara's New Deal
by Darren Pierce : Radar, Radar! : 11.25.04 11:29am EST
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Following an unexpected earnings dip, Takara has announced a strategy change and plans for reorganization for 2005. The new plans are neither complex or original, but the resources and focus behind them are substantial.
While Takara has evolved into much more than a toy company in recent years, some of their new ventures have been bombs. Lifestyle products such as Let's Beer and Bowlingual have been smash hits while the Q Car has turned into a lead weight on the balance sheet. In reaction, the majority of the money losing projects will be abandoned. Takara will re-focus on its core business -- primarily toys -- and specifically, its best selling brands.
A new high-tech distribution center in China is expected to streamline the post-manufacturing cycle and clear up warehouse clogging bottlenecks.
Resources will also be poured into a major new initiative to create a character division, and leverage their corporate IP, character, and branding assets, many of which have been dormant for decades. This is a page right out of Bandai's playbook, and will likely come as welcome news for fans of Takara's robot-rich past. Plans are to dredge up the time-tested hits of yesteryear for new toy treatment. Takara expects to see sales in the neighborhood of ¥50B from this campaign alone.
Taking another cue from Bandai -- the company will implement a highly structured system of product divisions with well defined responsibility within each. Until now, responsibilities were split between development and commercial fulfillment. While the final structure isn't locked down, Boys' Goods, Girls' Goods, and Lifestyle Goods are likely coming.
If Takara isn't now looking strongly enough like "Bandai Junior", there's one more shoe to drop ... a Takara-sponsored sentai show for 2005.
While Takara has evolved into much more than a toy company in recent years, some of their new ventures have been bombs. Lifestyle products such as Let's Beer and Bowlingual have been smash hits while the Q Car has turned into a lead weight on the balance sheet. In reaction, the majority of the money losing projects will be abandoned. Takara will re-focus on its core business -- primarily toys -- and specifically, its best selling brands.
A new high-tech distribution center in China is expected to streamline the post-manufacturing cycle and clear up warehouse clogging bottlenecks.
Resources will also be poured into a major new initiative to create a character division, and leverage their corporate IP, character, and branding assets, many of which have been dormant for decades. This is a page right out of Bandai's playbook, and will likely come as welcome news for fans of Takara's robot-rich past. Plans are to dredge up the time-tested hits of yesteryear for new toy treatment. Takara expects to see sales in the neighborhood of ¥50B from this campaign alone.
Taking another cue from Bandai -- the company will implement a highly structured system of product divisions with well defined responsibility within each. Until now, responsibilities were split between development and commercial fulfillment. While the final structure isn't locked down, Boys' Goods, Girls' Goods, and Lifestyle Goods are likely coming.
If Takara isn't now looking strongly enough like "Bandai Junior", there's one more shoe to drop ... a Takara-sponsored sentai show for 2005.