Koukan Dekiru-kun Expands with Acquisition of Kitchen Works for Plumbing Renovations

Koukan Dekiru-kun Expands Its Services with Acquisition of Kitchen Works

Koukan Dekiru-kun, based in Shibuya, Tokyo, recently announced the acquisition of 100% of the shares of Kitchen Works, a renovation company based in Sapporo, Hokkaido. This strategic move is aimed at enhancing Koukan Dekiru-kun’s offerings in the plumbing and kitchen renovation sector.

Building a Synergy Model for Renovation

As a company that specializes in the EC sales of home equipment exchanges, Koukan Dekiru-kun has grown significantly, completing over 60,000 projects annually. However, many of its customers have expressed the desire for remodeling services that are currently not offered, such as system kitchens and unit baths. By acquiring Kitchen Works, Koukan Dekiru-kun aims to cater to these customer demands and broaden its service portfolio.

The acquisition is seen as a way to leverage Koukan Dekiru-kun's existing network of satisfied customers. Increasing costs for acquiring new clients in the renovation industry pose a significant challenge, but directing valued customers to Kitchen Works is expected to positively impact both companies’ performance. Furthermore, Koukan Dekiru-kun plans to implement its successful digital transformation (DX) strategies—focused on recruitment, sales volume, and supply chain—into Kitchen Works to lead industry innovation.

Vision for the Future

Koukan Dekiru-kun's ambitions extend beyond mere acquisitions. The company envisions a voluntary chain model where it provides customer referrals and consulting services to reliable renovation businesses across Japan. This model aims to generate royalty-like income, ultimately expanding revenue streams.

The acquisition of Kitchen Works marks a significant step in creating a model case for future initiatives. With 22 years of experience, Kitchen Works has established itself in Sapporo, focusing predominantly on kitchen remodeling. Their expertise in navigating a seasonal business environment—marked by fluctuating demand—has stabilized their performance through meticulous project and operational management.

Kitchen Works boasts a complete system that relies on its own craftsmen and has a competitive edge due to its wood processing factory. Their focus on online marketing aligns perfectly with Koukan Dekiru-kun's vision of a voluntary chain of high-quality renovation providers. The collaboration aims to maximize synergy, taking advantage of Kitchen Works’ expertise and workforce to implement Koukan Dekiru-kun’s strategic objectives.

By expanding the reach of high-quality renovation services that meet Koukan Dekiru-kun's standards across Japan, both companies aspire to broaden their service offerings and enhance profit generation efficiency.