We are going to have our 20th anniversary on 10/1! It's been a long way here, and we could not have made it without you. Here is a special article of a Japanese motorcycle magazine, Big Machine, interviewing the CEO of Webike, Mr. Shinano. In this article, he talks about how Webike started and the future plans.
The goal is to become the world's No.1 motorcycle-related business. Even though we are facing new era, We stick with "We love riders and motorcycles."
The Start of the Great Journey, with the IT Explosion in Year 2000
▲Starting up in a corner of a motorcycle shop in 2000, Rivercrane's first month sales were ￥510,000. However, walking on the right path with great staff, the company reached 100 million yen in monthly sales in 2005. The company held a party on board to celebrate.
BigMachine(here after BM):
Nowadays, the motorcycle e-commerce site "Webike" has become a well-known presence in the motorcycle industry. However, just like many other big names, there must have been many twists and turns on the way to its current place. We interviewed Mr. Koki Shinano, the president of Webike and its management company, Rivercrane, about the path of past 20 years and his future plans. Let's start by talking about how he came to establish Rivercrane.
Mr. Shinano:
I spent my university days in Tsukuba City, Ibaraki Prefecture. I was immersed in the world of motorcycles after I got my motorcycle license. I also worked part-time at a tire service station at the track, and I remember that it was the '90s and the track was even more vibrant than it is today, and I still miss living in that atmosphere everyday. There is no doubt that my experiences in those days assured me of what I want to do: to start a business related to motorcycle. On the other hand, the internet was also growing rapidly at that time. I was very impressed when I connected my university's computer to the Internet and visited the White House website on the other side of the world. After graduation, I got a job as a systems engineer. However, I didn't stray far from motorcycles, using a Kawasaki Ninja that I bought used to compete in Taste of Freelance and other races. I got even more into it.
▲In 2005, Shinano participated in the Taste of Freelance (now Taste of Tsukuba). He himself enjoying riding motorcycles and so do his employees.
Then in 2000, when I was 28 years old, I launched Rivercrane. At that time, Amazon Japan was established and Rakuten was listed on the stock market, which was in the midst of the so-called IT bubble. It was around the time when the Internet was becoming more commonly used. So I decided to combine my love of motorcycles with the internet and started an e-commerce venture for motorcycle products.
BM:
Representative Shinano's own backbone of enjoying motorcycles is what led to the creation of Webike, and that's what I felt was important to understand how users felt. When Rivercrane started in 2000, I think it was at a time when big scooters, the Yamaha TW series and Yamaha dragsters were popular. At that time, the Japan domestic motorcycle market was around 760,000 units per year, but today it's shrinked down to about 380,000 units. We are interested in the fact that the Webike brand has been able to continue to grow in the midst of all of this.
The day Japan's largest motorcycle e-commerce site becomes the world's largest brand
Mr. Shinano:
That's right. At the time, the majority of bikes still used carburetors, and there was a lot of room for customization of mufflers and wheels. However, we rented a corner of a motorcycle shop and started the company with 30,000 yen with our friends, so the first thing we had to do was to gain the trust of our suppliers. We had to work and sleep at the company all the time, and I think that's how I was able to bond with my friends and grow the company simultaneously. In addition to e-commerce, we were able to develop various services such as community sites and SNS by coming up with ideas. Looking back, it was a very venture-like time.
In 2006, we joined the JMCA (Japan Motorcycle Accessories Association), and by then, we had gained the support of many riders. On the other hand, we were also actively involved in sponsoring racing activities and supporting staff members in their races. I always want to make sure that they are enjoying riding motorcycles and enjoying work here, they are equally important. As a result, we were able to build a solid foundation in our first 10 years.
▲Leading the industry as a sponsor at EWC endurance races. Webike not only supports the national championships, but also races abroad. The photo shows the banner that sponsors the EWC (Endurance World Championship). The company has been gaining recognition as a global brand of motorcycle products.
Mr. Shinano:
After I had started the company for 10 years, what I had done in the next 10 years was globalizing Webike. I always had this feeling that whenever I traveled overseas for work or other purposes, doesn't matter where I go, I see Japanese motorcycles running on the street. In the world of consumer electronics, Japan has given up its place to China and South Korea. Even though Toyota is still domanating the car industry, but when you look around, it's not necessarily the best in the world. However, Japan still is the best for motorcycles.
We expanded our operations to Vietnam in 2012 and to Taiwan in 2013, and now we are expanding to a total of seven foreign markets. We have been able to expand our employees to 300 in Japan and 200 overseas. The elimination of tariff, like FTAAP, will allow us to grow as a global supply chain. Our overseas expansion was a venture, just as it was for the first 10 years of our business here in Japan, recently we got on the right track. We believe that "Webike in Japan" will become "Webike in Asia" and then "Webike in the World".
▲Team Norick was founded by Norick (Norifumi Abe), one of Japan's top racers, and Webike is the main sponsor of the team. Norick's eldest son, Maiki Abe, is currently competing in the ST600 class.
Next 10 year plan with global situation and motorcycle culture
BM:
Twenty years after the company's launch, Webike have grown steadily because of the passion for motorcycles by Shinano and his staff, and that passion has spread not just in Japan, but to the world. 20 years is quite long time and everything have changed. Throughout this time of 20 years, I believe free thinking and quick action are what made Webike successful. So, what do you have to say for the next 10 years?
Mr. Shinano:
This year, due to the affect of COVID-19, many people take their time thinking about their lives and future plans. For Webike, although we are unable to travel to and from overseas for work, our logistic is still moving without big problem. We also have been communicating with our overseas staff online for some time now, so in reality, we are not hurt as badly as some other industries. Although not directly related to this pandemic, I would like to revitalize the Japan domestic motorcycle industry in the next 10 years to get it back on track like old days. Specifically, I want to use digital transformation (DX) as a basis for connecting the motorcycle industry with the motorcyclists in any aspect of their life as a rider. For example, just like Pokémon Go has allowed people to go outside with a smartphone in hand and connect with other people, we want to create a game-like system that allows people to enjoy riding and meet with other riders.
▲Once a year, Webike holds a motorcycle sports day for the entire company. Of course, Shinano also participates to the event which strengthens the bonds between the staffs.
▲Mr. Shinano himself enjoys sports day very much with his CB1000R.
The other thing is to connect bike shops and motorcyclists across the country, which will benefit both parties. Currently, Webike has 850,000 registered members. We want to build a system that allows all of them to enjoy a comfortable and enjoyable motorcycle life. The age group of motorcyclists is getting older every year. Soon enough, we are facing a Japan with more and more people that having life of 100 years old. At Webike, we want to build a society where people can still enjoy riding motorcycles even when they are 100 years old.
