Why Established Manufacturers Are Turning to Their Own E-Commerce in the Age of Malls

In the rapidly evolving landscape of e-commerce, traditional manufacturers are facing challenges unprecedented in the history of retail. With an evident shift towards mall commerce, the question arises: why are companies like Aurora, a long-established manufacturer of fashion accessories, opting to venture into their own e-commerce platforms?

A Move Towards Self-Sustainability

Aurora Co., Ltd., headquartered in Shibuya, Tokyo, has been in business since 1896, specializing in the production and wholesale of umbrellas, scarves, and hats. In recent times, the CEO, Yasuo Wakabayashi, recognized the constraint imposed by relying solely on mall platforms, which often demand high fees and subject brands to stiff price competition. This situation is compounded by the dilution of brand identity in a crowded marketplace.

Recognizing these challenges, Aurora opted to partner with a consultancy specializing in e-commerce, Corekara, to develop its own online shopping platform over the course of three years. This decision was not just about entering the e-commerce space; it was a strategic effort to reclaim brand narrative and consumer connection.

Breaking Down Barriers to E-Commerce

One of the primary reasons many manufacturers hesitate to adopt e-commerce is the perceived complexity of establishing and managing an online presence. Data from Digital Commerce Research Institute highlights the rising trend of dependency on mall e-commerce due to its perceived ease of use. However, many brands fail to transition successfully, often ending up with a merely operational website rather than a profitable business channel.

The lack of expertise in digital marketing, site optimization, and consumer data analysis places a substantial burden on companies venturing into e-commerce. For Aurora, this was evident three years ago when they found themselves overwhelmed, struggling to get beyond merely listing products.

Transformative Collaboration with Corekara

By choosing to work with Corekara, a Company focused on e-commerce consulting, Aurora was able to leverage external expertise as an “extended brain.” This collaboration marked a pivotal transformation for the company. Thanks to a detailed understanding of the digital landscape and strategic input from their consultancy team, Aurora successfully developed its e-commerce presence and turned it into one of their main business pillars.

Within just five months, Aurora managed to achieve sales figures that took them an entire year to reach previously, showcasing an impressive growth trajectory.

Converting Ideas Into Sales

One significant strength Corekara provided was translating the manufacturer’s instincts and vision into actionable online strategies. The collaborative effort led to the creation of compelling web interfaces and systems that accurately reflected Aurora's brand ethos. Furthermore, the consultancy assisted in identifying gaps between physical store demand and online consumer expectations, leading to the successful launch of exclusive items like the Toray Summer Shield®.

Continuous Improvement Through Mutual Feedback

A critical element in this successful partnership was adopting a mutual feedback mechanism, ensuring that improvements were not simply an afterthought but woven into the very fabric of the project. This spirit of ongoing enhancement allowed both Corekara and Aurora to respond dynamically to consumer behavior and market fluctuations, creating an ever-evolving shopping experience.

According to Yamamoto from Aurora, the partnership was revolutionary for their company culture. By fostering direct connections with customers, they transformed not just their sales strategy but the entire ethos of what it means to be a brand in today’s market.

Exploring New Markets

As they anticipate celebrating their 130th anniversary in 2026, recognition of e-commerce's role will continue to expand in importance for Aurora. This venture is more than just a means to increase sales; it's about taking control of their brand narrative and connecting authentically with their customers. With a solid foundation now established, Aurora is gearing up to test the waters in international markets, leveraging the strength of their e-commerce platform.

Conclusion

In conclusion, Aurora's evolution from a traditional wholesaler to a dynamic e-commerce player illustrates the necessity of adapting to modern retail challenges. By harnessing expert knowledge and committing to a culture of continuous improvement, manufacturers can successfully navigate the complexities inherent in current shopping landscape. Through strategic partnerships and a focus on customer engagement, legacy brands can not only survive but thrive in the digital age.
For more insights on their journey and strategies, you can check their complete interview here.