Climate Change Data

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Launched initiatives to improve employee skills through internal and external training programs.
• Opened a specialized customer service window to address customer issues and improve product usage, resulting in an increase in the retention rate of customers who had previously requested cancellation from 8.0% to 18.0%.

Governance Achievements

• Transitioned to a company with an audit committee.

Climate Goals & Targets

Environmental Challenges

• Maintaining continuous relationships with customers.
• Human resource development and strengthening of organizational structure.
• Strengthening system security and website safety.
• Strengthening corporate governance.
• Improving product development capabilities.
• Expanding business areas.

Mitigation Strategies

• Improving sales sites and product inserts to better understand product appeal, and improving after-sales support services to further improve customer satisfaction.
• Continuing to focus on human resource education and training, and strengthening the organizational structure by recruiting experienced personnel for middle management positions and providing direct guidance from the president and directors.
• Continuously strengthening the safety and reliability of the EC site.
• Building a corporate governance system with fully functioning internal controls, risk management, compliance, and disclosure information controls.
• Maximizing information obtained through customer contact, expanding the range of products under development, improving product development speed, and improving market research methods.
• Actively pursuing M&A to expand business areas.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Load Reduction
• Sustainable Resource Procurement

Social Achievements

• Launched initiatives to improve employee satisfaction and retention, including internal and external training programs and the creation of specialized support teams.

Governance Achievements

• Transitioned to an Audit & Supervisory Board Company to strengthen corporate governance.

Climate Goals & Targets

Environmental Challenges

• Maintaining strong customer relationships amidst increasing competition.
• Strengthening human resources and organizational structure to support business expansion.
• Enhancing system security and website safety.
• Improving corporate governance.
• Improving product development capabilities to meet evolving consumer needs and address environmental concerns.
• Expanding business areas through M&A.
• Responding to the COVID-19 pandemic.

Mitigation Strategies

• Improving sales sites and product packaging, enhancing after-sales support.
• Investing in employee training and development, strengthening middle management.
• Strengthening security measures and building a backup system for important data.
• Implementing compliance regulations and risk management procedures.
• Leveraging customer feedback, expanding product categories, improving market research methods, and incorporating ESG considerations into product development.
• Actively pursuing M&A opportunities and fostering synergy among group companies.
• Implementing various infection prevention measures, including travel restrictions, online meetings, and remote work.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Sustainability
• Environmental impact reduction
• Sustainable resource management

Social Achievements

• Improved employee well-being through increased hiring and training programs.
• Enhanced corporate governance through the establishment of a corporate governance committee.

Governance Achievements

• Transitioned to a corporate governance committee system.
• Implemented a system for electronic provision of shareholder meeting materials.

Climate Goals & Targets

Environmental Challenges

• Maintaining customer relationships in a competitive market.
• Developing and retaining talent.
• Maintaining system security and website safety.
• Improving corporate governance.
• Improving product development capabilities.
• Expanding business areas.
• Promoting sustainability.

Mitigation Strategies

• Improving sales sites and product packaging, enhancing after-sales support.
• Strengthening experienced personnel recruitment and internal training.
• Continuously strengthening site security and reliability.
• Strengthening internal controls, risk management, compliance, and disclosure information controls.
• Maximizing customer contact information, expanding product development genres, improving development speed, and improving market research methods.
• Pursuing M&A to diversify revenue bases and accelerate growth.
• Strengthening ESG and SDGs initiatives.

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• SALONMOON received the Cosmetic of the Year award in the straight hair iron category from the cosmetics review magazine "LDK the Beauty 2022 January issue".

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Strengthened recruitment efforts, increasing headcount in customer attraction departments by approximately 30% in the past two years.
• Established New Business Planning Office.
• Launched new SPADE and MENVE brands.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Decrease in the number of new customer acquisitions due to soaring internet advertising rates, revised Pharmaceuticals and Medical Devices Act, internal resource prioritization, insufficient Creative Department development and education, and fewer new product releases.
• Unfavorable results from product development and test sales on Amazon U.S.

Mitigation Strategies

• Changed policies for developing and releasing new products (shifting to a single-purchase model before subscription),
• Returned to niche market dominating strategies,
• Actively expanded e-commerce mall sales,
• Increased the number of product development projects,
• Improved the ratio of products that reach actual release after the planning stage,
• Strengthened recruitment in Product development departments,
• Expanded development genres,
• Selected OEM manufacturers, including those overseas.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being (related to SPADE e-cigarette)

SPADE e-cigarette aims to reduce smoking-related deaths.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Asia’s 200 Best Under A Billion (Forbes Asia, November 2020)
• Internet Shopping Award (Asia Direct Marketing Vision 2019, September 2019)
• Special E-Commerce Promotion Award (Japan Venture Awards 2017, February 2017)
• Japanese Representative Candidates Finalist for EY Entrepreneur of the Year 2015 (September 2015)
• Minister of Economy, Trade and Industry Award (2014 IT Management Awards for Small and Medium Enterprises, February 2014)

Environmental Metrics

ESG Focus Areas

• Environmental Conservation
• CSR Activities
• Customer QOL Improvement
• Sustainable Product Development
• Supply Chain Environmental Impact Reduction
• Sustainable Business Base Construction
• Information Security Management
• Organizational Sustainability

Environmental Achievements

• Not disclosed

Social Achievements

• Achieved over 30% female management ratio (43% as of end of April 2023), exceeding the target.
• Active promotion of diverse talent recruitment, including individuals with disabilities and foreign nationals.

Governance Achievements

• Established a Nomination and Compensation Committee composed of a majority of independent outside directors.
• Implemented a restricted stock compensation system for directors (excluding audit committee members and outside directors) to align interests with long-term company value.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental conservation
• CSR activities
• Improving customer QOL
• Sustainable product development
• Reducing environmental burden across the supply chain
• Building a sustainable business foundation
• Organizational sustainable growth
• Information security management to protect customers
• Human Capital Investment
• Intellectual Property Investment

Environmental Achievements

• Not disclosed

Social Achievements

• Achieved over 30% female management ratio (as of April 2024), exceeding the target of 30%.

Governance Achievements

• Established an independent Nomination and Compensation Committee with a majority of independent outside directors.
• Implemented a restricted stock compensation system for directors (excluding audit committee members and outside directors).

Climate Goals & Targets

Environmental Challenges

• The impact of climate change-related risks and profit opportunities on business activities and profits requires further data collection and analysis.

Mitigation Strategies

• Considering TCFD-based disclosure and other necessary responses.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed