What is the impact of the new coronavirus infection on the car audio industry? Is the number of customers increasing? decreasing? Has there been any change in the sales of products or the mindset of people?
And what will happen in the future? This time, Bewith Co., Ltd. and Focal Audio Japan Co., Ltd., which are involved in the car audio industry, which is one of the aftermarket industries, from the three positions of "maker", "importer (import agent)", and "dealer". ) While listening to Mr. Toshiharu Nakajima, CEO, I would like to think a little about the current state and future prospects of the car audio business in Corona.
Is the number of car audio customers increasing even with Korona-ka?
I have met President Nakajima many times for new products and shop coverage, but this time I asked him about the aftermarket, and the car audio industry as a whole. I can't advertise the product or the store, but please forgive me (laughs).
Nakajima: Of course it's okay (laughs). Thank you very much.
It has been more than half a year since the problem of the new coronavirus became full-scale. Today, I'm visiting the car audio specialty store "Focal His Plug & Play Main Store
Nakajima: As far as our shop is concerned, it hasn't really affected us ... or rather, the number of actual inquiries and purchases is increasing. It's a positive effect.
Yeah, that's right! ??
Nakajima: Looking at the car audio shops that we deal with, I think he was in a mood of refraining from going out from March to June. However, most of our customers end their business negotiations by e-mail or phone and come to the store on the specified date and time, so we do not have to be with other customers, and our store also has sterilization, ventilation, and staff. We thoroughly manage our health, so it seems that you can use it with confidence. Then, as a phenomenon peculiar to big cities such as Tokyo and Yokohama, which are the main commercial areas of our shop, people who are trying to refrain from using public transportation are using private cars more than ever, and as a result, it is related to cars. It may be that the attention to the product has increased.
Does that mean that your values are changing?
Nakajima: That's right. Working from home has expanded and I have more time to spend with my family, and I feel that my mind has changed significantly from "outside" to "inside." A private car is a tool for going out, but it is "inside" in the sense that it is a closed room that is isolated from the outside world and a room where you can spend time with your family. In order to make the space more comfortable, it seems that more and more people can find his BEWITH / FOCAL car model speaker kit and "Tune construction", which is a unique running noise quieting program, by searching the net. is.
So that's it. It is attracting attention from a new customer base who is not a traditional car audio user.
Nakajima: Yes. In the first place, the "Focal Plug & Play Store" itself was started with the concept of attracting a light user group that could not be visited by conventional car audio shops, so it may just meet the needs of the times. I'm wondering if there is one. Actually, the light and dark are divided among the stores that have transactions with us, and the number of customers who are conscious of new customers and light users, such as the franchise store of "Focal Plug & Play Store", is increasing even in Korona-ka, and on the contrary, it is a regular customer. There are many places where the shops that you own are tough.
Overseas car audio market that divides light and dark depending on the presence or absence of lockdown
Is that so. By the way, he thinks BEWITH is also exporting products overseas, but how was that?
Nakajima: There was a big difference between countries that were locked down and countries that weren't. The markets in China and Taiwan, where the lockdown was released early, recovered particularly quickly, and from around May it was even better than the previous year. However, from the manufacturer's point of view, there were some products that had a major impact on the supply chain such as raw materials, delayed the development of planned new products, and caused the production system to keep up with demand and cause out-of-stocks.
On the other hand, the influence of corona has been prolonged in Europe, but was the supply of focal products okay?
Nakajima: That was pretty difficult, wasn't it? In France, the number of infected people has increased rapidly, and since around February, distribution has been delayed, and products that should have been shipped from manufacturers have been stalled at local ports for a long time. As a result, there were a series of shortages in Japan, and his FLAX EVO, a new product, was delayed in its announcement. After that, FLAX EVO arrived safely and is now normal except for some.
How will he change in the "post-Corona" car audio business?
By the way, it seems that various efforts have begun in the world with an eye on "after the corona", but do you think that the car audio business will also change?
Nakajima: Yes. Naturally, it is expected to change. High-end car audio that costs more than one million yen in a system is a pillar of our brand, and I think we must continue to cherish it, but as you know, high-end equipment in the ultra-high price range. And custom installations that take weeks to install are shrinking worldwide. Frankly, it's already starting to fail as a business model. In the "post-corona" world, where people's lifestyles have changed dramatically, income and purchasing sentiment will decline, and it is certain that the movement will be further accelerated. Many of the traditional, do-it-yourself car audio specialty stores may eventually be weeded out.
If so, will the car audio business continue to decline?
Nakajima: No, that should never be the case. This is because the need to enjoy good sound and to make your car a more comfortable space never disappears. Currently, I think that needs are lost. I think that the attitude of "I will order any product from any manufacturer" and "I will finish it with your favorite installation", which is often seen in conventional specialty stores, is conversely keeping new customers away. .. I don't know what to ask for, and I don't know how much it will cost ...
Certainly, for customers who are not enthusiasts, the hurdles of conventional specialty stores may be high.
Nakajima: We tried to meet such needs with the Bewith "BE-FIT Series" and the focal "PLUG & PLAY elite Series" speaker kits developed with the concept of "high-end trade-in" and the "Focal Plug & Play" here. It's a store. Most of the customers who come to the store are new to car audio specialty stores, and I feel that there is a great potential need that the specialty stores have not been able to capture.
However, the speakers for exclusive use of the car model handled here are mainly for relatively expensive car models such as Mercedes and his old model car of BMW. I think the number of customers will be limited ...
Nakajima: Rather, that is the aim. By narrowing down the vehicle types, it is possible to develop products that are more specialized for that vehicle type. Know-how on vehicle handling and installation work will be accumulated in a short period of time. There is a sense of security for our customers, and the quality and efficiency of the installation will continue to improve. Of course, there may be many compatible models, but this is just right for a car audio specialty store. I think that the style of our store, which sells carefully selected products by narrowing down the target customers, rather than "anything shop", is one of the future specialty stores.
The concept of "sound adjustment construction" that surely reached customers who had no connection with car audio
Speaking of "focal plug & play store", the example "tone construction" is also popular.
Nakajima: Yes. Thank you very much. Actually, the "tone construction" is also a reconstructed concept as a product that matches the corona era, based on what was sold on a trial basis as "BAM construction" from last year. Thanks to you, even in our shop, it is becoming a hit product that exceeds the speaker kit for exclusive use of the car model. At present, the reputation has come first, and the development of compatible models and the network of dealers has not caught up a little, but I feel that this will also become a big business in the future.
This is also centered on new customers, isn't it?
Nakajima: That's right. I'm really surprised to reach customers who have nothing to do with the world of car audio. I don't want to do so-called deadening, but most people want to try "tone construction". It seems that they appreciate the clear concept that is different from deadening, such as specializing in reducing driving noise, less burden on the vehicle, reasonable price and flat rate (for each shop). Also, I can't say specifically yet, but in fact, another big project is underway, and there is an overwhelming shortage of human resources for product development and sales (laughs).
Oops, are you talking about recruiting here (laughs)?
Nakajima: I'm sorry (laughs). I wonder if there is a person who can understand the needs of customers, handle the car carefully, and provide solid customer service. On the contrary, I don't need the specialized knowledge and experience of car audio.
A car dealer may be the right person. I'm really curious about that "big project" (laughs), but if I change jobs to Mr. Bewith, I feel like I'll be able to do an exciting job.
Nakajima: Although it is a small company, I am proud that it is interesting to grow together. I'm sorry, the story has derailed (laughs).
No, it's okay. However, from the standpoint of introducing the fun of car audio like us, I would like to see a new super high-end product that is unique to Bewith. Do you have any plans like that anymore?
Nakajima: Of course we are planning. A little later, the BEWITH brand will celebrate its 20th anniversary in 2022. Toward that end, we will prepare new products that match the new era and that will please core sound enthusiasts. As I mentioned earlier, the environment surrounding high-end car audio is becoming harsher year by year, but I do not want to lose products that everyone can dream of.
That sounds exciting. I have high expectations. Thank you for today.