Characteristics of the Motorcycle Business
Purchasing system
We source more than 100,000 motorcycles annually. We conduct on-site purchasing appraisals when requested to do so by customers, so our motorcycles are sourced from customers, rather than from auctions.
Applications first involve customers contacting us by email or telephone with details about the motorcycle they want to sell or have appraised. These inquiries are handled by our Contact Center 24 hours a day, 365 days a year, and details of customers from around the country are arranged and forwarded to the stores closest to customers in order to organize on-site purchasing appraisals efficiently. Our staff at stores around the country then visit customers at their home to conduct an on-site purchasing appraisal, not only using uniform appraisal standards nationwide, but also handling the complicated paperwork on behalf of customers who decide to sell their motorcycle. Motorcycles we have sourced are delivered to our Logistics Centers or sold at stores.
Sales system
We operate two main types of sales channels for motorcycles. The first is selling motorcycles through auctions for dealers, and the second is through retail in our stores, etc. built on the concept of "familiar," "casual" and "choice."
Wholesale
Around 80,000 of the 100,000 motorcycles we source annually are sold through wholesale.
Motorcycles sourced at our stores are delivered to our Logistics Centers and serviced to suit their condition. Take motorcycles covered in rust as an example—rust is removed or replaced with different parts, while motorcycles with high mileage that have been ridden extensively are stripped down and serviced to boost their full value in the most efficient manner.
Motorcycles that have been serviced are auctioned and sold via wholesale. The majority of motorcycles are auctioned via Japan Bike Auction Co., Ltd. and BDS Co., Ltd. We concluded a business and capital partnership with Japan Bike Auction Co., Ltd. in 2011 and provide a reliable supply of motorcycles to help minimize the costs of auctions.
In addition to other motorcycle stores around the country taking part in auctions, overseas buyers also come to bid for motorcycles at the auction site, as well as over the Internet if they are unable to attend.
Retail
Around 20,000 of mainly high-quality motorcycles from the 100,000 sourced annually are sold for retail at our stores or online sale. The majority of motorcycles sold retail are in great condition only need a quick service—our focus is on ensuring that all our motorcycles are serviced so that our customers can ride with peace of mind and safety.
A high ratio of used motorcycles are models that are no longer available today, and the associated parts are no longer available from manufacturers. To address this issue, we created a comprehensive system in 2019 for reliable supply of parts by making a parts wholesaler a subsidiary.
We do outsource some of our servicing work to our partners, but are increasing the number of certified workshops for conducting vehicle inspections and other checkups in-house in line with our growing retail business. (38 stores as of March 2024)
We have also created the optimum environment to ensure that customers can ride with peace of mind and safety even after they purchase a motorcycle. Our bikes not only come with a long warranty period of up to seven years that is rare for used motorcycles, but also have a Partners Pack available, where a return policy, periodic inspections, oil changes and other service items are provided at half price.
Other services
We have more than 150 mechanics working with us—nationally accredited mechanics not only service motorcycles before they are sold, but they also conduct periodic inspections after motorcycles have been sold, ensuring a bike life full of peace of mind and safety.
- Sales of motorcycle parts/motorcycle accessories
More than just new parts, we also sell parts that customers no longer need when we purchase their motorcycle, as well as remove and sell parts from some of the 100,000 motorcycles we source annually.
- Motorcycle rental service
Demand for rental motorcycles is growing with the recent growing boom in motorcycles, and the number of stores dealing with rentals has increased during the current fiscal year. Customers can book rentals online, with motorcycles available from 4 hours slots to suit any schedule.
- Insurance sales agent
Customers are recommended to take out optional insurance for peace of mind when riding their motorcycles, and details of insurance against theft are also provided. These auxiliary services are anticipated to grow in line with growth in our sales businesses.