Yagi Tsusho is a trading company specializing in textiles that handles many top brands such as "Moncler," "J&M Davidson," "Barbour," "Macintosh," and "Moncler." We are a company that has created new lifestyles with global marketing and merchandising. We spoke with Yuzo Yagi, the company's representative director and president, who established the company's brand business and made great strides for Yagi Tsusho.
There's a reason why I believe in meat
Yuzo Yagi is small but always energetic. It seems to be an established theory in the fashion industry that ``President Yagi likes meat.''
"That's right (lol). I think I'm the man in Japan who knows the best about steakhouses around the world. Because I'm a trading company man. Meat is the best thing for a trading company man who travels all over the world. ”.
However, there was a reason for his "meat love".
"First of all, it's for physical reasons."
Mr. Yagi earned an MBA from Michigan State Graduate School in the United States and was originally planning to work locally. However, his father and sister went to America and persuaded him to come back to the family business. That was in 1967.
``At that time, Yagi Tsusho was a small family business.My father founded it in Osaka the year after the end of the war, and its mainstay was exporting materials.Honestly, as a young person, I was attracted to joining that company. At that time, I had received offers from about six large American companies, so I was thinking, ``Now, where should I join?''
After returning to Japan, he tried working on textile exports at the company's headquarters, but the employees at the time were not aggressive enough, so he decided to explore the global market on his own. Filling four Samsonite trunks with samples of Japanese yarn and fabrics, Yagi set out into the unknown. First up was Hong Kong. Since a good market for textile exports was created there, they expanded their business to the Middle East, Central and South America, Africa, Europe, and Oceania one after another.
``I've traveled all over the world as a peddler, but I don't have any money to spend on myself.I wish I had a place to stay, but depending on the country, my days were almost like camping out in the wild.The same goes for food.I realized that back then. The only thing you can rely on is grilled meat.''
What was cultivated during the era of international peddling was the trust in meat.
"You think I'm joking, right? One day, I bought a chunk of grilled meat from a guy who spoke broken English at a food stall in Africa. When I asked him what kind of meat it was, he said, ``Bushmeat.'' Basically, I bought it the day before. They carry dead animals from the forest, wash them thoroughly in a bucket, cut them into chunks, and roast them over a fire.However, if you burn them properly, they are the only safe food available. , any kind of meat will do.”
For six or seven years in my 20s, I traveled around the world for eight months a year. Business negotiations were tough, of course, but life was also tough. Even so, he says he never found it difficult.
“It was a tough peddling job, but it was worth it and it paid off.The most profitable international peddling was in Syria.In the middle of the third and fourth Middle East wars, Unable to enter the country by air, I rented a beat-up car and crossed the border from Beirut, literally risking my life.However, other trading companies would not take the risk of going to Syria to do business, so I arrived there. Contrary to what I had imagined, there was a shortage of supplies, so surprisingly large quantities were sold."
Be fearless and be alert to opportunities.
Mr. Yagi created a textile export market with the momentum of breaking bamboo. But there comes a turning point.
"In 1971, the Nixon Shock occurred. This was a turning point. At that time, the dollar was 1 yen. In 360, a floating exchange rate system was introduced, and the yen appreciated to 73 yen. Japan's Textile exports supported the postwar recovery, and I was selling goods at a tremendous rate, but as more and more general trading companies came in, margins became tighter, and I began to feel a sense of crisis that if the yen continued to appreciate, we would no longer be able to make a profit. I was letting it go.
At that time, I was selling Japanese acrylic yarn to a spinning and dyeing factory in Viera, Italy, but when I went to Milan, I was drawn to the beauty of the show windows in the city. It's different from the America I know well. In the future, Japanese people's incomes will rise and their lifestyles will change. Interest in high-end fashion should also increase. These predictions, combined with the support of the Nixon Shock, led to a 180-degree change in direction. I decided to start importing special, good, and luxury products. So in 1971, we invested all of our export profits and opened an office in Milan."
Yagi Tsusho considers this time, when they started an in-house business importing fashion products from Europe and America, as their "second founding." President Yagi was 29 years old when the Milan office opened. I thought I was at an age where I wasn't afraid of anything.
"Ever since I was a child, I've always had the personality of not being afraid of anything (lol). Well, I was a bad kid, but that's something I've used in my work."
Yagi Tsusho started the import business in the 1970s. After that, Moncler started selling down jackets in 1996 and grew into a luxury brand in just 15 years, but Mr. Yagi's first encounter with down jackets was already in the 70s.
Capturing a period of transformation in the “Way of Life”
“I started handling Moncler in 1996, when it was still only known to those in the know.However, I first laid eyes on down jackets in 1971 when I started the brand business within my company.Canada I imported a down jacket and went to wholesalers and department stores, but it didn't sell at all.At that time, there were no select shops like Beams or Ships, and the reaction in Japan was, ``Is that what it is?'' and I ordered it. The only hunting shop that gave me this was Tokyo Gunpoten. Although it was only a small order, I was very impressed."
Mr. Yagi says the secret to Moncler's success is the transformation period of the ``Way of Life.''
``Nowadays, people in the apparel industry often talk about lifestyle proposals, but they're not talking about installing a cafe in a store.It's about capturing the moment when the ``Way of Life'' changes. It's important. When Yagi Tsusho started Moncler, it was at a time when fashion was becoming more casual and luxury casual was beginning to emerge.And I've been accumulating knowledge about down jackets for the last 20 years. It wasn't something that suddenly came up."
When Mr. Yagi talks about business, he uses many clear and easy-to-understand phrases. "Product talks itself" is also one of them.
``I always say this to my staff: A product that requires you to spend a lot of time and explain it in detail is no good.You can just drop it in front of a customer and it will sell.That's how original and appealing it is. If I don't search for a certain product, I can't function as a trading company employee.
The same goes for Barbour's wax jacket and Mackintosh's rubberized coat. Even if you try to copy it, you can't, right? If a brand doesn't have that kind of character, consumers won't feel truly satisfied with the brand."
Yagi Tsusho also places emphasis on discovering what consumers are looking for that retailers are not yet aware of. Yagi Tsusho has become what it is today as a result of repeated efforts to find unique "diamonds in the rough" that will change lifestyles in the future, polish them with all kinds of marketing support, and grow the brand. That's why.
``The company that originally owned the rights to Moncler was a company with many management deficiencies, but its spirit of ``making the world's best down'' never wavered.The current Moncler is our company. Although we are a different company than when we started, we have always been able to purchase the highest quality down materials, even when the company has changed. It had the power to move."
“Investing in branded companies in Europe and America”
Yagi Tsusho believed in the potential of Moncler's brand and products, and as a result of marketing, Moncler has grown into a very popular brand. In 2009, they established Moncler Japan as a joint venture. We have opened flagship stores in Ginza and Aoyama, highlighting our presence as a luxury brand.
“We continue to invest in various brands other than those that have already been successful, so the investment amount is quite large.People say that we are aiming for high risk and high return (lol), but in reality, we are in the luxury business. If you want to do that, you'll need a huge amount of money."
Focus more on the ability to sell good products
Mr. Yagi places great importance on the idea of ``product-talks-itself,'' but he also warns that if you only focus on making things, you won't be able to sell your products.
“People tend to focus on imports, but at Yagi Tsusho we continue to export textiles, which is our original business.Currently, our fastest growing sales are to famous haute couture houses in Paris.Using technology unique to Japan, We make and supply special fabrics.
However, even if you make a good product, that alone will not lead to success in sales. It is necessary to fully understand both the demands of the maison and the technical capabilities and characteristics of the production side, and to have the ability to produce original products. There is a method to sell something. “How do I sell it? ”. If you don't understand that, no matter how good your product is, it won't sell."
Yagi says that there is a strong desire to market Japanese fashion products overseas.
``I'm interested. One or two talented designers emerge every few years.Also, some fabric manufacturers, such as synthetic fibers and denim, have good products.However, international competitiveness in terms of business is... Yes, I haven't found anything that is original yet. I hope I can do it someday."
Yagi Tsusho has always built a unique position in the industry. What direction do you think the future will take?
“We have found many unique brands and products, and have developed them into brands through marketing and investment.We are planning to group these brand companies together for further growth.We will continue to invest in European and American brands. We will continue to deliver attractive brands to the world.We have a long way to go, but I believe that someday we will become a company that is known all over the world.''
*The contents and information contained in this article are as of the time of publication.
Yuzo Yagi
Born in Hyogo prefecture in 1941.
Earned an MBA from Michigan State University Graduate School of Business, USA. After completing his graduate school, he joined Yagi Tsusho in 1967. In 1986, he became the representative director. He has been a visiting professor in the Department of International Relations at Michigan State University since 1993. He was awarded the Officer of the French National Order of Merit in 2004, the OBE of the Honorable Order of Great Britain in 2011, and the Grandeur of the Order of Merit of the Republic of Italy in 2016.
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