[Entrepreneur Interview #04] Hidetoshi Shimizu & Kenji Kuboshima (The Salons Japan Inc.)| 株式会社ディ・ポップスグループ

[Entrepreneur Interview #13] Shoto Masuda (D-POPS Corp.) – Part 2

D-POPS GROUP has 23 group companies that we call partners (at the time of publication). For this article, we interviewed Shoto Masuda, the current CEO of D-POPS Corp., the founding business of D-POPS GROUP. (This interview was conducted in March 2025.) This is the latter part of the interview. To read the first part, click here. ◆The Market Environment Sugihara: It seems that the business model of selling smartphones in physical stores is facing headwinds, given the increase in direct sales by carriers and manufacturers via e-commerce, as well as the growing market in different industries for buying and selling used devices. Could you share some aspects of your strategy in this market situation? Masuda: For about the past year, we’ve been heavily discussing our future strategy. We have many excellent existing businesses. Because they are directly connected to people’s daily lives, the products and services we handle are very attractive, I believe. However, on the other hand, when you’re in the position of an agency, control and management become incredibly difficult, so I really feel that balancing these aspects is extremely challenging. Regarding our strategy moving forward, it’s still fundamentally about telecommunications. While it’s quite broad to say telecommunications as a whole, there are many more products that we should really be selling. We will expand our product lineup to include items developed in-house and procured externally. Selling core products and cross-sellable products will be one of our first courses of action. Another plan is user life design. In essence, we are focusing our discussions on what people need for their daily lives and what problems need solving. This applies to our stores, and we’re also currently exploring if there's anything we can get involved in even without a physical store presence. Sugihara: Speaking of which, how is the “Smartphone Consultation Counter” business doing? Masuda: It’s growing steadily. It took a long time for feature phones and smartphones to penetrate into the Japanese market, but they have been fully received now. However, going forward, the products that come out, such as 5G and certainly 6G, and now even AI-equipped smartphones, are becoming so complex that many people don't know how to use them. For instance, people might not know how to use LINE, or how to link their My Number card, or how to connect IoT products to their home appliances. While devices have become widespread, many people don’t know how to use them, so we really want to address these customer needs, both in person and online. Sugihara: More and more people who are not tech-savvy, especially seniors, are finding themselves with no one to consult. Such individuals can run to a TOP1 store to address their concerns. So it seems there really are people who want to receive advice, even if they have to pay a fee. Masuda: That’s right. We used to do it on a volunteer basis, but we need to distinguish our business, and as we improve the skills of our staff, their wages also need to increase. So, we believe it’s better to charge a fee so that we can serve customers as professionals. We are also developing that service and are focused on continuously improving its quality. The third and final point is education. When I think back to what we most wanted to do since our founding, and what our strength still is today, it’s educating our human resources. The original vision of President Goto, the founder of D-POPS, was to create opportunities for young people. Although I’ve taken over as CEO, we’re still holding onto that vision, so at our core, we’re ultimately about educating people. In the end, we've committed to “cultivating talent”, so I believe that embedded in our company’s DNA is the idea of raising up “leaders equipped with both integrity and skill”, which also continues to be our human resource development policy as our business grows and evolves. In 2024, I had the opportunity to go abroad with Dr. Semmoto, the Chairman of D-POPS GROUP’s Board of Directors, and I realized that while some other countries have growing populations, the quality of Japan as a nation in various aspects is remarkably high. For example, I believe we can convey the high value of Japanese education, culture, and customer-focused service. Recently, as we’ve been brainstorming various ideas, we’ve gone back to our roots, asking: “What kind of company is D-POPS?” The answer is, “We are a company that develops human resources.” To make people genuinely excited and want to join D-POPS or work for us, I felt it was necessary to grow our business domains and to help individuals grow, making them believe that joining will lead to their personal development. ◆TOP1’s Policies for Sales and Proactivity Sugihara: Personally, when I picture mobile phone agencies in the past, I think, “Purely commission-based meritocracy!” What kind of sales and customer service policies does D-POPS’s own brand shop, TOP1, have? Masuda: Whether to compete purely on meritocracy or to prioritize meticulous sales and customer service—this is indeed the most challenging aspect. The truth is, when you chase sheer numbers, quality inevitably declines. That's why the industry as a whole has seen many compliance violations. However, no matter how good your intentions, if you don’t achieve results, you won’t get support, will you? Therefore, I believe it’s crucial to combine building a strong sales organization with education of the mind, which necessitates instilling our philosophy and vision. We believe that we are a company that properly educates its people and contributes meaningfully to those important individuals with whom we have connections, so we must continuously improve our quality. Essentially, it’s about whether we can establish a foundation of trust in human relationships and then build specialized skills and a favorable business environment upon that. There were many companies in the past that lacked this foundation. Those companies sold enormous volumes. They had high transient revenues and contributed more in terms of numbers than we did, but they no longer exist today. However, we need to increase both customer numbers and sales while simultaneously improving quality. So, we are working to strengthen this across the entire organization and aim for growth. ◆New Product “OTHEBES” Sugihara: So that’s why your philosophy-driven management and training truly come to life. It’s not just about the sales method; it’s because the staff, having gone through that philosophy training, are providing a service which enables them to support customers’ lives, lifestyle, and life design. I heard that as a future strategy, you’re launching a brand called “OTHEBES” to strengthen your customer base. Could you tell us more specifically about OTHEBES? Masuda: “OTHEBES” was launched in March. Led by Mr. Sakamaki, our Executive Officer and General Manager of Sales who is also in charge of product and business development, the first phase involves Wi-Fi rental and sales. OTHEBES is a portmanteau of “others” and “best”. While we have existing stores and products, there are still gaps where current products don't quite resonate with or contribute to end-users, and OTHEBES is designed to fill those gaps. Currently, for the first phase, we’re handling Wi-Fi. In the future, for example, some people only use their phone for calls, so we want to create our own brand of call-only mobile phones, plus develop combinations that pick the best aspects of different services. Recently, a slogan has emerged among us: “Create something new out of what already exists!” So, we are now analyzing the demands from both the field and customers, considering combinations that we believe will work. Sugihara: Both in terms of planning and on the ground, with the increasing number of products, carriers, hardware, and brands you handle, and your company’s own services appearing, there’s a risk that sales staff who lack initiative might not know what to propose to customers. Are you concerned about that? Masuda: That’s why we prioritize foundational education. In fact, D-POPS didn't have many established systems until now. So, from here on, our theme for this year is to create proper systems, and based on the premise that people forget, we aim to create systems that can convey information more simply, rather than just forcing memorization. It’s all about human resource development and systematization. If a company can just put the right people in the right places and clearly divide roles, there’s no way they can fail, ha ha. ◆Soccer Activities Sugihara: Nice! I love that kind of attitude! Changing the subject completely, I hear you are quite skilled at soccer! And that you’re active in the company’s futsal club. Could you tell us about these activities? Masuda: I’ve played soccer continuously since my school days, and I’ve kept it up as a hobby even after entering the working world. Initially, it was just an in-house club activity at D-POPS. We play about once a month internally, and since I have various connections, I also play with external members. I probably belong to about three or four main groups. When we focused only on in-house members, we were always just barely scraping by with enough players. We wanted to play but couldn’t. At that time, it suddenly occurred to me: what if we brought in people from both inside and outside the company? So, we started doing that. We organize the games, inviting our employees and other members of D-POPS GROUP to join, plus my acquaintances, some of whom are former professional players. We also forged a connection with BLUEISH Inc. through soccer, a company in which D-POPS GROUP later made a corporate investment. This made me realize that sports can create such networking opportunities. *See the full press release here: D-POPS GROUP Invests in BLUEISH Inc., Operator of Industry-Specific AI Workflow “Omni Workspace” Until now, my life has been pretty much full of those kinds of connections. I attended the Semmoto Management School run by Dr. Semmoto, and there I met another company’s board director who also played soccer. That director turned out to be a high school classmate of a former manager of mine from Germany, who had really helped me out during my time living in Beijing. I really hit it off with that director, started attending the soccer practices he participated in, and that's where I met the people from BLUEISH. But I also think this involves luck and timing. If this had happened five years earlier, I don’t think the discussion about investment would have occurred. I myself have had various experiences up to now, and being in a management position allows me to engage in various conversations, which enabled me to bring this opportunity to D-POPS GROUP. I mentioned playing with external people earlier; there are also skilled individuals among my acquaintances who are business owners, or even executives and younger employees within their companies. And typically, those people also excel at work. It’s like things just connect. That’s incredibly valuable, isn’t it? When people have good character, shared interests that foster friendship, and different expertise, skills, and networks, it leads to a wide range of connections. ◆Recruiting Students Sugihara: It’s the time of year when job hunting for students graduating next year has begun. What type of student would you like to see join D-POPS? And what aspects of D-POPS do you think are attractive points for new graduates? Masuda: Our company, first and foremost, has genuinely good people. They have high self-esteem and are very proactive. They also tend to reach out to others and have a strong sense of contribution. Furthermore, in D-POPS and D-POPS GROUP currently, we offer an environment where you can leverage support and coaching for experience, skills, and networking. I truly believe there’s no better environment than this. So, for those who want to challenge themselves quickly, gain not just knowledge but also practical skills, and refine their human qualities, ultimately, we’d like them to take on management roles. We don’t really prioritize academic background. However, it’s absolutely crucial to have high self-esteem. I think it would be difficult for both of us if an employee is consistently negative. If you think to yourself, “I can’t do this”, then you won’t be able to achieve anything. ◆“Realizing a Venture Ecosystem” Sugihara: D-POPS GROUP has the motto of “Realizing a Venture Ecosystem”. What aspects of this goal do you resonate with? Are there any activities you’re undertaking with the creation of a Venture Ecosystem in mind? Masuda: I believe this ecosystem is essential for living. The truth is, people cannot live alone, and their lives definitely change depending on who they spend time with and the differences in insights they gain. Moreover, the sooner this happens, the better. I think things can change even if it’s late, but realizing things as early as possible leads to making the right choices. Therefore, I personally feel that a Venture Ecosystem is indispensable. Within the D-POPS GROUP community, there are many people whom I’d want to meet even if it meant spending my own time and money. So, I think getting to join a Venture Ecosystem like this—and even getting paid to do it through working for the group—is quite an extraordinary opportunity. I want people to clearly recognize that it isn’t enough to simply show up. How you choose to act is up to you. It would be great if a group could form where people don’t just exist within the community, but actively initiate things themselves—whether it’s asking for guidance or contributing their own expertise. ◆Ideal Vision for D-POPS in 5 Years Sugihara: That’s wonderful! Now, could you tell us your ideal vision for D-POPS as a company and for yourself five years from now? Masuda: First and foremost, the company will have grown significantly. And I believe we will certainly have established a stage where we can better support customers’ life designs and employees’ self-realization within five years. We aim to expand this both domestically and internationally. I view this as a personal mission or message for myself: I want to ask myself, from a larger, global perspective, what do I need to do? I’m currently having various discussions while considering that. I believe the execution phase for that will be this year and next, so the company will likely undergo a significant transformation. Sugihara: That sounds promising. Now, are there any challenges you face in moving toward that future? Masuda: For Japan, it’ll definitely be the severe labor shortage. I have three children now, but when they grow up, in 20 or 30 years, the population will have decreased considerably, won’t it? When the population potentially drops to around 80 million, the question will become to what extent Japan’s culture and values, cultivated until now, can be transmitted and passed down. So, I think it’s about whether we can continue to impart education, not just to Japanese citizens, but also to foreigners. Another challenge, though it’s currently unclear, is nature itself. Among the challenges I’m currently taking on, I see existing businesses, information, and telecommunications as one aspect, then personal development for individuals as another, and finally, environmental conservation. What exactly we can do is not yet clear, but I am gathering information on it. ◆Message to Readers Visiting Our Website Sugihara: Finally, in closing, could you share a message for our online readers? Masuda: I believe our Venture Ecosystem is not just an ecosystem of startup companies, but an ecosystem containing groups of professionals driven by an intense spirit of altruism. I think there’s already something you can see and feel by simply looking at it. If you find something appealing or interesting after checking it out, I sincerely hope you’ll take the next step. We look forward to meeting you directly, and we would be delighted if you could contact us. Interview conducted by D-POPS GROUP’s advisor Genta Sugihara. D-POPS Corp. Company President and CEO: Shoto Masuda Address: Shibuya Hikarie Bldg. 32F, 2-21-1 Shibuya, Shibuya-ku, Tokyo Established: February 1998 Website: https://d-pops.co.jp/

Group Companies
Interview

2025.05.07

[Entrepreneur Interview #13] Shoto Masuda (D-POPS Corp.) – Part 1

“Serve people and cultivate talent” Aim for further growth through developing human resources and systematization! D-POPS GROUP has 23 group companies that we call partners (at the time of publication). For this article, we interviewed Shoto Masuda, the current CEO of D-POPS Corp., the founding business of D-POPS GROUP. (This interview was conducted in March 2025.) ◆Background of Initial Employment Sugihara: President Masuda, thank you for agreeing to this interview. You joined D-POPS right after graduating in April 2012, correct? Could you tell us how you came to join the company? Masuda: During my university days, I went to Beijing to study abroad for four and a half years. I didn't really know how job hunting worked. So, during the summer break after the first semester of my senior year, July and August, I used those two months to start my job search. I think I actually interviewed with about five companies. I tried for major trading companies and such, but it didn’t work out. In the end, the companies that offered me a job were D-POPS and a large company listed in the First Section of the Tokyo Stock Exchange. I received that large company’s offer first, but my feelings changed as I went through the interviews with D-POPS. When I interviewed at D-POPS, the company atmosphere seemed bright. I could really envision its future development. Also, after speaking directly with Mr. Goto, I had a strong intuition that joining this company would change my life, or that I’d encounter a huge positive opportunity for my life. So, midway through the process, my mindset shifted to “I want to join this company”, and I was hoping they wouldn't reject me, ha ha. By the way, my final interview with Mr. Goto lasted about three hours. Sugihara: How big was D-POPS at that time? Masuda: I think the company was probably around its 15th fiscal year. Sales hadn't reached 10 billion yen yet…I think they were around 7 to 8 billion yen. At that time, the strong rallying cry throughout the company was something like, "Let's reach 10 billion yen in sales!" ◆Getting Appointed as CEO Sugihara: D-POPS is the founding business established in 1998 by President Goto, founder and CEO of D-POPS GROUP. However, you became president of D-POPS in March 2024, even though you’re only in your mid-30s. I hear you were promoted at an exceptional pace over these 12 years, becoming a general manager, executive officer, and so on. Looking back, what are your thoughts? Masuda: Well, I certainly think “luck and timing” played a role. In addition, the fact that the company was on the verge of a major transformation was a significant external factor, I believe. You see, about a year after I joined, D-POPS and Good Crew had already reached 10 billion yen in sales. From there, when President Goto envisioned further growth strategies, he shifted from D-POPS growing alone to gradually developing a group structure. At that time, President Fujita, who was my superior, left to establish Advancer, and then President Hosaka left to establish STAR CAREER. When my superiors became independent, or “graduated” in a sense—and I think this involves both external and internal factors—there was a period when the company’s performance declined, and the organization underwent a major change. I was in my third year then, still only a store manager, but at that point, what was originally a large pyramidal organization was flattened, and almost everyone became approximately the same level, directly under the president. A manager in their third year is considered young, right? Even at that level, we were given a lot of discretion. Meetings that were previously only attended by the top management became intense morning discussions involving about 20 selected individuals, which provided a great learning opportunity. It became a chance for members in their third year, like myself, to seize opportunities. We took on challenges one after another. Rather than feeling like assignments were given to us from above, it felt more like “We’re going to seize these ourselves.” It was lucky that we were presented with equal opportunities, but I believe the proactiveness to seize those chances was also incredibly important. Sugihara: As you seized opportunities and moved up the ranks, what was the area where you put in the most significant effort? Masuda: I worked the hardest at constantly reaching out to my superiors. It was also around the time Dr. Semmoto joined, and I made sure to sit next to and learn from President Goto and other surrounding business leaders and advisors—people who were significantly above me—whenever there were opportunities for dinners or study sessions. Not many people want to do that. But I knew that if I dove fully into it, there would always be something to gain. And in terms of work, from the company’s perspective, they usually ask people to take charge of areas with poor performance, right? I proactively took on such positions, driven by the desire for those areas to improve as quickly as possible. Thus, when performance picked up in those areas, I gained attention. And since they were challenging positions to begin with, even if results didn’t come immediately, I’d get words of encouragement like, “You’re doing great!” No matter what kind of challenge came my way, I made a conscious effort to tackle it head-on. Sugihara: How did President Goto approach you about becoming CEO of his company? And how did you feel at that time? Masuda: This part is a bit ambiguous. It wasn’t like President Goto called me in and said, “Okay, you’re the new boss now.” The truth is, although President Goto was still the CEO of D-POPS structurally, he had already been giving his undivided attention to managing D-POPS GROUP for several years prior to this point, and the management of D-POPS itself was basically delegated to the other top leaders. Within that context, the performance and organization of D-POPS progressively worsened. There was a very uncertain period. At that time, I was mainly in charge as the General Manager of Sales, and as I became an executive officer, and then a managing director and senior managing director, the company just wasn’t improving. I felt it was rapidly deteriorating, and I was struggling with the inability to see a clear path to recovery. President Goto and I had dinner opportunities about twice a year, just the two of us, and it was during one of those times that I asked him bluntly, “Please let me be president.” I had already decided within myself that we had no choice but to change. At that point, if President Goto were to return to operating D-POPS, it wouldn’t have been effective for all of D-POPS GROUP. So, I braced myself and thought, “I just have to do it.” Sugihara: From your perspective, were there multiple candidates for CEO at the time, or did you believe you were the only one? Masuda: The latter. I believed I was the only one. Perhaps there were others who thought differently, but I considered myself the only real possible successor. Sugihara: How many years ago did you start working with the awareness that you would be the president’s successor? Masuda: I’d say it was around when I turned 30 years old. At that time, I had become an executive officer, but I was only overseeing the Sales Division, so I wasn’t really looking at the company as a whole. However, given that President Goto was focusing on managing D-POPS GROUP, I definitely started to feel that I needed to take responsibility. From there, I started learning various things. These included encounters arranged by Dr. Semmoto, meeting people through President Goto, and even joining communities of business executives in my late 20s. The encouragement and stimulation from those around me was significant. At first, I wasn’t taken seriously at all because I lacked sufficient skill, but I somehow managed to hang in there. Over the past few years, I’ve gradually expanded my network, and I feel like I’m finally starting to see the fruits of all of my hard work and effort. ◆Business Overview Sugihara: Considering your long period of getting to where you are now, you’ve become quite the veteran. It’s been a year since you officially became the CEO of D-POPS. Could you give us a brief overview of D-POPS as a company and its current business operations? Masuda: D-POPS is now in its 27th fiscal year, and the telecommunications agent business, which was pioneered by our founder, remains our main focus today. We carry out our multi-brand store business via two lines. First, we operate under our own independent brand name, “Smartphone Consultation Desk TOP1”. These are telecommunications stores that carry all the major products and services from various manufacturers and Japanese mobile carriers, in addition to our own branded products, such as security services and insurance. Along with all of these offerings, we provide comprehensive consulting, retail sales, and after-sales support to our end-users. We currently operate over 30 stores, primarily in the Kanto region. The second line of store business is through specialty stores. As a telecommunications agency, we operate shops for the following major Japanese carriers: NTT’s docomo, KDDI’s au and UQ, and Rakuten Mobile. Furthermore, we’re involved in media operations, developing our own specialized telecommunications media called “PhonCierge”. And in PlusPass, a child company headed by President Hirai, who helped lead D-POPS alongside me, we operate a web media called “Smappy” which specializes in low-cost SIMs and smartphones. So, overall, we operate a telecommunications-focused platform that combines both real-world and online services, along with service businesses that support users. Sugihara: I believe there have been a lot of changes within telecommunications recently, especially in shop operations. What are these current industry trends? Masuda: There are various changes every year. Not just because of telecom carriers, but also because of Japan’s Ministry of Internal Affairs and Communications and other reasons. I think the biggest factor is the continuous alteration of various laws. However, D-POPS has been able to survive for over 20 years amidst all this because we’ve always really adapted to these changes. ◆What I Changed and Didn’t Change Upon Becoming President Sugihara: These past 20 years have been hectic, haven’t they? It’s been a year since you officially became CEO, in both name and reality. Can you tell us what significant changes you’ve made and what you’ve kept the same during this period? Masuda: This past year has truly been hectic and has flown by. Even before it was decided whether I’d become CEO, I had already made one firm decision. What’s truly great about D-POPS is how deeply our philosophy, vision, and human resource development were instilled as the company’s foundation by our founder, President Goto. I myself was educated through this, and it’s precisely why we’ve been able to survive. I felt that our approach to customers, employees, staff, and ultimately, society, has an excellent foundation, and all we needed to do is further refine it. Additionally, for several years, when President Goto resolved to focus solely on group management, the company was essentially without a commander. This led to a negative cycle where the upper management was adrift, mid-level employees kept leaving, and young recruits would join and then quickly depart. So, I knew we had to thoroughly rebuild from the ground up. Instead of just aiming to reduce the turnover rate in the short term, my first change was to create an environment where work is fulfilling and where both individuals and the organization can grow. To achieve this, I decided to gather all employees in person once a month for a dialogue. Partly due to the COVID-19 pandemic, but more so because our company has over 50 locations, opportunities for everyone to gather in person were limited to just a few times a year. While we do a lot of online communication now, I felt a strong sense of unease that it had become the primary mode of interaction. D-POPS has so many great qualities that I felt it was essential to convey them properly. Also, I wasn’t confident that I was adequately educating our people myself. So, I made this decision for myself around October 2023 (my appointment to the CEO position was in March 2024): to gather all our employees in person once a month. Sugihara: That’s quite an undertaking, isn’t it? Masuda: Yes, it is. Once a month, we’ll spend the entire day together, talking about our philosophy and vision at least—and even if that’s all we talk about for the day, that’s fine. I made that decision around October, prepared extensively, and then gradually rolled it out starting around February 2024. This led to our monthly all-employee group training sessions. The purpose of these sessions is, first, for employees to have proper in-person dialogue. Then, based on the theme of the day, such as how to integrate one’s personal philosophy with the company’s, we deepen our discussions. After all, work is a part of life. If it’s not engaging, or if it deviates too much from one’s personal values, there’s no reason to remain a part of the community. So, through in-person dialogue, we design an exciting future together. And since the timing for this coincided with my appointment as CEO, I decided to deliver these messages myself, rather than entrusting them to an external lecturer. Before starting these training sessions, I had been running “Masuda School” for about three years. That was for volunteers, not all employees, but it was in person, so I stopped that and shifted to involving all employees. In addition to those changes, we also renewed our company logo and website. Sugihara: That’s wonderful. It takes courage to halt a full day’s operations to make something like that happen. Is there anything you chose not to change? Masuda: I didn’t change D-POPS’s historic “Creed”. While I’ve changed many things since taking office, those guidelines teach us what’s important as human beings, so for now, I intend to keep them as they are. The aforementioned “Creed” is displayed on this wall at D-POPS GROUP’s office in the Shibuya Hikarie Building. ◆Thoughts Behind the Updated Logo Sugihara: Could you tell us about the thoughts behind the revamped website and the new logo? Masuda: The idea behind the new logo design is our aspiration to be number one in whatever we do. Our corporate vision includes contributing to our customers, providing employees with a platform for self-realization where they can control their own lives, generating profit, and continuously contributing to society. With that in mind, there’s a strong desire to be “number one” in our chosen business, even if it’s a niche market. So, when you look at the logo, you’ll see a part that looks like the numeral 1 to represent “number one,” and another part that forms the letter D for D-POPS. Our corporate colors are predominantly blue, including shades like sky blue. Blue often evokes feelings of brightness and freshness, doesn’t it? But it’s not just that; the logo also incorporates the idea of the passionate heart and composure of a blue flame into our corporate colors. That blue 1 is actually supported by a smaller gray part. This signifies that in both life and organizations, it’s not just those on the front lines who achieve results; there are also those who are on the sidelines backing them up. Therefore, we aim to create an environment of mutual support. We, as a company, are committed to providing strong support, continuously expanding our capacity to do so. Within that framework, we strive to be number one, believing in the path we’ve chosen and the mission we must accomplish. That’s the vision we poured into creating the new logo. D-POPS Corp.’s logo Interview conducted by D-POPS GROUP’s advisor Genta Sugihara. D-POPS Corp. Company President and CEO: Shoto Masuda Address: Shibuya Hikarie Bldg. 32F, 2-21-1 Shibuya, Shibuya-ku, Tokyo Established: February 1998 Website: https://d-pops.co.jp/ Next, in the latter part of the interview, we discuss: ・Strategies in the current market conditions ・TOP1’s sales and proactive policies ・About the new product, “OTHEBES” ・Our soccer-related activities ・“Realizing a Venture Ecosystem” ・And other topics Be sure to check it out here: https://d-pops-group.co.jp/en/column/dpops-interview-latter-part/

Group Companies
Interview

2025.04.30

[Entrepreneur Interview #05] Tatsumasa Hosaka (STAR CAREER CO., LTD / graphD Corp.) – Part 2

Interview with Tatsumasa Hosaka: a Daring Voyage Toward Realizing a “Venture Ecosystem” At D-POPS GROUP, we have 23 group companies as partners (at the time of publication). On this occasion, D-POPS GROUP Advisor Genta Sugihara interviewed President Tatsumasa Hosaka, who founded STAR CAREER CO., LTD in 2016. This is the latter part of the interview. To read the first part, click the link below. https://d-pops-group.co.jp/en/column/star-career-interview-first-part/ ◆The Market Environment Sugihara: Thank you. For my next question, you mentioned that in the case of STAR CAREER, there are a lot of new graduates. However, generally speaking, what are the current trends in recruitment? Hosaka: The job seeker’s market will continue into the future for sure. Businesses will struggle to recruit employees next April and the following April, especially. A lot of companies, including major corporations, reduced their hiring numbers during COVID, and now many are lacking sufficient talent. As a result, demand for new graduate recruitment has increased tremendously. This situation is likely to continue through the hiring of graduates entering the workforce in 2026. ◆The Release of Carepo (“Carepo” is a portmanteau of the words ‘career’ and ‘points’.) Sugihara: In the midst of that challenging recruitment environment, on July 1st, you released a smartphone app called “Carepo” (page is only in Japanese) that allows users to earn points while job hunting. First of all, could you introduce Carepo for us? Hosaka: The Carepo app that we released displays various job hunting events. When job seekers participate in these events through the app, they receive electronic money as points. It’s an app that combines point collecting with job hunting—something that seemed like it should have existed before but didn’t until now. After its release, we’ve seen extremely positive reactions from both students and clients. Since it targets students graduating in 2026, we’re aligning our current approach with that graduating class. Sugihara: So then, you’re starting full-scale promotion from now. Do you have any goals for Carepo? Hosaka: As part of our 2025 fiscal year plan, we’re aiming for Carepo to receive 10,000 downloads. It’s said that about 450,000 people in Japan are job hunting each year, so after first reaching 10,000 downloads, our next goal is to get 150,000 downloads in three years. ◆Industry-Academia Collaborative Events Sugihara: I heard that in connection with Carepo, you’ve been involved in industry-academia collaboration activities and giving lectures at universities. Could you tell me more about this? Hosaka: Yes, as part of a business school curriculum at a certain university, we actively sponsor activities where students set up booths at event venues like a barbecue festival to learn how to generate revenue as a business. In practice, there are various tasks involved—ordering equipment for attractions like shooting galleries and yo-yo fishing, selecting prizes, arranging staff, managing schedules for receiving deliveries, and handling event operations. We expect this provides valuable hands-on experience for the students. We also plan to actively conduct lectures for job seekers, and we’re already receiving requests from universities and employment offices. I originally aspired to be a teacher and hold a teaching license, so in a sense, one of my dreams has come true. Sugihara: What’s the intention behind conducting these activities? Hosaka: The original motivation for starting my business and subsequently launching the job hunting café and the Carepo app was to nurture talented individuals who can thrive in society through our business. I am very grateful that we continue to gain allies who resonate with these activities. Regarding Carepo specifically, our idea is to eliminate employment inequality caused by information gaps, and we’ve received support from professors and lecturers at various universities. Rather than pursuing things purely from a business sense, we aim to create products that are widely endorsed by students, student organizations, and university officials. I want Carepo to become a resource that’s convenient and useful from multiple perspectives. Sugihara: That’s impressive. People who don’t put in the work can get a certain level of results just by pouring money into advertising. But instead of spending money, creating various innovations and earning things through your own sweat and legwork, so to speak—those outcomes are far more valuable than advertising. And more sustainable, too. Hosaka: Yes. Lecturing at universities and employment offices isn’t about status or branding—I simply want people to know about us, and I feel that through these activities, we’re gaining more supporters. Also, regarding “eliminating job hunting inequality caused by information gaps”—as mentioned in our media release (article only in Japanese)—a university dean told me that this is actually a serious issue that needs to be addressed, especially for regional universities. For example, in the Kanto region, job hunting events and seminars are typically held somewhere in Tokyo. When students living in Tochigi Prefecture and students living in Tokyo want to attend job hunting events, company information sessions, or recruitment fairs, the Tochigi students can certainly go, but they inevitably need to make more arrangements. It’s inconvenient to have to coordinate multiple company visits while in Tokyo. This means that within the short timeframe of job hunting, if they are unable to meet with and receive the opportunity to have an interview from a decent number of companies, a significant gap in experience will result. If students can participate online through this app, or if our job hunting café advisors can provide information about events tailored to each student’s needs, they can job hunt more efficiently in terms of both cost and time. We believe this contributes to eliminating inequality caused by information gaps. Sugihara: Everyone recognizes that the information gap between metropolitan and regional areas is an issue that needs to be addressed across all fields. It’s important to spread this awareness, and your business is truly excellent. ◆STAR CAREER’s Corporate Culture Sugihara: Changing the subject completely, I have the impression that at STAR CAREER, within the group, people of all genders and ages are thriving. Looking at your website (page only in Japanese) and company newsletters, everyone has such bright, attractive smiles. There are messages on your website like “shine as your authentic self” and “accept and respect each other”. Is there a policy that you’re consciously implementing, President Hosaka? Could you tell us the background of this message about “shining as your authentic self”? Hosaka: Yes, regarding both the headquarters members and field staff appearing on STAR CAREER’s website…I think basically all our members are like that, without a doubt, ha ha. But actually, this is the culture that President Goto built. The main deciding factor for me—who originally aimed to be a teacher—to join D-POPS* was when President Goto told me, “As we build a 3-billion-yen company that grows to be worth 10 billion yen, then to 30 billion and 100 billion yen, I want to create an environment where young people can take on challenges, so I think it would be great to have someone like a teacher with us.” *Note: D-POPS Corp. (page only in Japanese) is the company originally founded by D-POPS GROUP’s President and CEO Kazuhiro Goto. Based on that kind of culture, President Goto now leads an entire group company and is moving forward to the next major domain, whether that be creating a Venture Ecosystem or contributing to society as an entrepreneur. What I’m conscious of is that I want to pass on President Goto’s desire to provide a stage where young people can take on challenges and overcome them, even while bumping into walls. I’m working with the intention of continuing what I’ve inherited here at STAR CAREER, so I’m simply implementing at STAR CAREER what President Goto conveyed to me: creating an environment where young people can continuously take on challenges and communicating the value of facing obstacles. Journey to the Venture Ecosystem, and Beyond <Interview with D-POPS GROUP President Goto>https://d-pops-group.co.jp/en/philosophy/ Sugihara: I see. Indeed, at most companies led by presidents who emerged from D-POPS, many members have genuine, warm smiles. Recently, there are also many companies that have joined without being brought up out of D-POPS. Have you had the opportunity to speak with any presidents of these other group companies? Hosaka: Yes! I enjoy good relationships with the presidents of various companies that have joined D-POPS GROUP. Simply put, I’m interested in the presidents and members of companies that have joined D-POPS GROUP. I myself have been in the D-POPS environment from the beginning, so as a fellow group president now, I want to know more about their situations before and after joining. Sugihara: It’s definitely important to have someone like you, President Hosaka, who takes interest in our members and actively expands the circle. ◆“Realizing a Venture Ecosystem” Sugihara: Returning to what you said earlier, the members of D-POPS GROUP (not only President Goto) would like to spread the key phrase “Venture Ecosystem” throughout Japan. Is there anything about realizing a Venture Ecosystem that resonates with you, and are there any such activities that you’re intentionally engaging in? Hosaka: Indeed, D-POPS GROUP has officially set its sights on realizing a Venture Ecosystem, but even from the time I joined D-POPS, there was already a stage where young people could take on challenges. I believe that the vision at D-POPS evolved into an even larger worldview in today’s D-POPS GROUP. I sincerely resonate with how the foundational thinking at D-POPS has expanded into a much broader worldview within D-POPS GROUP. What I’m currently aiming for relates to places like the Shibuya Hikarie Building, where D-POPS GROUP’s headquarters is located. Since there are companies in various industries within D-POPS GROUP, I want to firmly establish that joining our group does not only mean gaining access to places like Shibuya Hikarie or industry know-how, but it also ensures increasing a company’s capability of recruiting core employees—even in a challenging job market. Sugihara: With 23 group companies now, being able to say things like “Our company is number one in recruitment capability”, or “Our company is number one in employee training”, or “Leave this backend system to us”—having various companies you can rely on for areas where you’re not as strong is one of the unique aspects of a Venture Ecosystem, you know. ◆Ideal Vision for STAR CAREER and graphD in 10 Years Sugihara: So, President Hosaka, could you tell us your ideal vision for STAR CAREER and graphD ten years from now? Hosaka: Simply put, I consider these two companies, STAR CAREER and graphD, as my assigned areas of responsibility in realizing the worldview that D-POPS GROUP is aiming for. For example, as D-POPS GROUP continues to grow, if they face challenges or need someone to handle certain tasks, I want to be someone who’s always ready to take action. Sugihara: Are there any initiatives you’re currently working on or challenges you face in moving toward that future? Hosaka: We do have some challenges, which we will address starting this October, in the second half of the fiscal year. Actually, all the senior managers who were responsible for each of STAR CAREER’s business units have delegated authority to the next generation. So now, the members who previously worked under those managers have become the final operational supervisors, independently engaging with those clients and supporting team members. I believe the reason why the 20-year survival rate for core businesses tends to be low is that even if they establish a business during an upward trend, they can’t ride the next wave once the business enters a stable or stagnant period. So, while developing three types of businesses—existing, core, and new—we’ve been able to expand our business fields from mobile phone shops to call centers, customer support, and back office support. We’ll continue to nurture the current trends as our existing business. Mobile phone shops, which were once on an uptrend, have now stabilized, but call centers and customer support are expected to continue growing, partly due to the digital transformation wave. We’ve decided to entrust the growth of these existing businesses entirely to our younger staff. And our previous executives will handle the newer business ventures, such as RPO (Recruitment Process Outsourcing), Carepo, and job hunting café operations. We’ve changed our policy so that leaders who are responsible for new businesses should achieve certain sales targets within three years. Sugihara: I see. The people who joined during the company’s launch have cultivated an entrepreneurial mindset through the staffing business—in other words, they’ve studied and gained experience in new business development. That’s truly the venture spirit. Hosaka: For sure. Recently, when we pivoted our business during COVID, we developed new business areas, talent development, and related evaluation systems through a collective effort of all our members. Now we’ve made the decision to have the next generation of members drive the business forward. Next, I intend to focus on properly launching Carepo and the RPO business. And we’re aiming to reduce the gross profit share of the staffing business from its current 90% to 50% over the next three years. The idea is to have our new businesses and the staffing business each account for half of our gross profit. ◆Message to Readers Visiting Our Website Sugihara: That’s a splendid goal. Finally, in closing, could you share a message for our online readers? Hosaka: Of course. When I talk with various people from D-POPS GROUP, I always get a certain sense. For example, there’s a famous manga with the repeated line “I’m going to become the Pirate King!” The protagonist is aiming to reach Treasure Island and earn the title of Pirate King. But interestingly, among the crew members on the same ship, only the protagonist wants to become the Pirate King. One member wants to become the world’s greatest swordsman, another member wants to be able to create sea charts of the entire world—everyone is working hard toward the single goal of reaching that place, but what everyone wants to gain when they get there is different. I think D-POPS GROUP is like that. Your dreams can come true in our Venture Ecosystem. There are many companions here, so we can cooperate with each other to fulfill each other’s dreams. I’m really looking forward to having more members join our Venture Ecosystem’s community in the future. STAR CAREER CO., LTD Company President and CEO: Tatsumasa Hosaka Address: 25F Shibuya Cross Tower, 2-15-1 Shibuya, Shibuya-ku, Tokyo Established: May 2016 Website: https://star-career.co.jp/

Group Companies
Interview

2024.11.08

COLUMN

[Entrepreneur Interview #04] Hidetoshi Shimizu & Kenji Kuboshima (The Salons Japan Inc.)

Interview with the CEO & Founder and the Director of The Salons Japan Inc., the company striving for "True independence for beauticians"

1. What inspired you to start the company?

2. Please briefly describe your company’s services.

3. What sets you apart from similar companies?

4. What was the biggest challenge since starting the business?

5. What do you most expect from your shareholders?

6. What is the best part about receiving investment from D-POPS GROUP?

7. What aspects of realizing a Venture Ecosystem resonate with you?

8. How did you two founding members meet each other?

9. What strengths do you see in each other?

10. What is your ideal vision for the company 10 years from now?

11. What are some issues you will have to face before seeing that future?

12. Any closing comments you’d like to briefly share?

The Salons Japan Inc.

Related Articles