On February 1, 2024, Smarprise, Inc. (hereafter, Smarprise) became a member of Brave group Inc. (hereafter, Brave group) through a business integration. Since the merger, Smarprise has achieved significant growth, nearly doubling its sales year-over-year, and its official merchandise and licensed product site “colleize” has surpassed 350,000 members. Furthermore, in July of the same year, Smarprise collaborated with Brave group to launch the overseas merchandise sales business “Brave stores”, actively pursuing global expansion. What kind of passion fueled this rapid growth?

Today, we bring you a dialogue between Keito Noguchi, CEO of Brave group, and Takeshi Igarashi, CEO of Smarprise.

First Meeting in 2020: Never Expecting to Join Forces

Noguchi: Mr. Igarashi, the first time we met was around 2020, just before our company name changed from “Unlimited Inc” to “Brave group Inc” wasn’t it?

Igarashi: That was five years ago now, how nostalgic. Smarprise had been managing the VSingers Fuji Aoi and Kanade Mimi since 2017, so I had known of your presence in the VTuber industry for a while. However, we didn’t have a chance to meet directly, and it was finally in 2020 that we had dinner together through a mutual acquaintance. That said, by July of that year, Smarprise had withdrawn from the VTuber business following the announcement of the two talents’ independence, so I never imagined back then that we would connect in this way.

Noguchi: Although Brave group now actively pursues M&A and business collaborations with companies in related fields, centering on our VTuber business, back in 2020, the idea of “expanding our portfolio beyond the VTuber business” wasn’t really there. It’s truly a development neither of us anticipated, right?

Igarashi: After that first dinner, we continued to stay in touch, and around the beginning of 2023, you contacted me saying, “We’re considering expanding our cross-border e-commerce business and would like to borrow your expertise”. That was a major catalyst leading to the business integration, wasn’t it?

Noguchi: In March 2023, Brave group established its first overseas bases in the US and UK and was actively trying to promote overseas expansion. Around that time, a company involved in cross-border e-commerce approached us about a potential partnership. At the time, we didn’t have any members with e-commerce expertise in-house, so I contacted you, Mr. Igarashi, hoping for your cooperation, as you were already developing a merchandise business.

Igarashi: Alongside its VTuber business, Smarprise had launched “SURPRISE BOX” (*1) in December 2019 and “colleize” (*2) in June 2020, so we had knowledge and know-how not only in the VTuber business but also in e-commerce. I thought I could be of some help, so I replied, “If I can be of assistance, by all means!” As we discussed various things from there, it unexpectedly led to an offer for Smarprise to join the group.

(*1) “SURPRISE BOX” is a subscription service where users can regularly receive limited-edition items from their favorite content and artists. ( https://surprisebox.jp/) 

(*2) “colleize” is a specialized site that handles official merchandise and licensed products for anime, manga, etc. (https://colleize.com/)

Considering a Partnership with a Cross-Border E-commerce Company Sparked the Business Integration

Noguchi: Ultimately, the discussions with the company we were considering for a partnership didn’t pan out, but I believed there was significant potential in the merchandise sector of the VTuber business. At the same time, I was thinking of actively investing in launching new businesses to create Brave group’s “second pillar”. Mr. Igarashi, you are a rare talent capable of creating something from scratch (0-to-1) and then growing it further. Also, you have expertise in the merchandise business and a strong desire for global expansion, so I approached you about joining our group, hoping we could work together. After that, various timings aligned perfectly, and it all came together before we knew it.

Igarashi: That’s right. I had always wanted to challenge the overseas market, and the timing of Mr. Noguchi’s invitation was neither too early nor too late; it was perfect. Around that time, “colleize” was thankfully growing steadily, but I myself was thinking, “With this potential, it can grow much bigger. I want to step in further and expand significantly!” Amidst that, if Brave group understood that vision and would work with us, I thought it would be a good option for the growth of Smarprise’s business and the company as a whole.

What’s Important is “Whether You Can Do What You Want to Do”

Igarashi: Besides, Smarprise had experienced multiple transfers – from Trenders Inc. to United Inc., then to Game8 Inc. – so I had no particular anxiety about “When in Rome, do as the Romans do”. So, it was more a matter of assessing “whether it’s an environment where I can do what I want to do” and then making the decision. However, a situation like Smarprise, where an entire company moves repeatedly, is something I haven’t personally encountered, so it might not be a very useful reference for deciding on a business integration (laughs)!

Noguchi: “Transferring as a whole company”, especially multiple times, is indeed very rare. Generally, when one’s company joins another group, I feel that the manager often leaves the company to pursue their next challenge. But you, Mr. Igarashi, have consistently continued your business with “Smarprise”. Is there any special reason behind that?

Igarashi: For me, it’s probably because I feel that using the “Smarprise” framework is more conducive to doing what I want to do when it comes to utilizing resources, including “people”, “goods”, and “money”. Besides, I’ve been doing this for over 10 years now, so I have no small amount of affection for the company. People around me often ask, “How long are you going to keep doing Smarprise?” But for me, it’s just a matter of “Pushing forward according to what I want to do and my beliefs!” Of course, there are successes and failures along the way, but I think the most important thing is “whether you can do what you want to do”.

Achieving New Business Launch and Overseas Expansion Approximately 3 Months After an Inspection Visit to Shanghai, China

Noguchi: Currently, the “growth of colleize” and the “launch & growth of the overseas merchandise sales business ‘Brave stores'”, which you, Mr. Igarashi, are spearheading, are extremely important initiatives that will significantly impact the company’s future. However, initially, there was an opinion that “perhaps Mr. Igarashi should focus on the growth of colleize”. Growing an existing business while simultaneously launching a new one, especially with overseas expansion, is a considerable challenge, and we wanted to avoid a situation where you couldn’t truly do what you wanted to do. Nevertheless, ultimately, while there were concerns about “what level of backup system we could provide”, it was decided that both would proceed in parallel, based on the premise that “Brave group would provide full support”.

Igarashi: That was the case. However, to be honest, I don’t really recall being explicitly told, “We’re doing Brave stores too, so Igarashi, please take care of it!” (laughs). I myself had wanted to challenge the overseas market for some time, so I was always keeping an eye out. Amidst that, I caught information that “Japanese otaku culture is booming in a building called ZX in Shanghai, China”. After that, when I told Mr. Funabashi (EVP, COO of Brave group) and Mr. Takeda (EVP, VP of IP Platform and Solution of Brave group) about it, they said, “Let’s go for an inspection visit immediately!” and the three of us headed there in April 2024. Things moved really fast from there.

Noguchi: When the three of them returned from the inspection and spoke with such enthusiasm, saying, “Mr. Noguchi, you should go see it right away too!” I had no choice but to believe them. So, I was thinking, “Why not give it a try there?” but I never imagined that after an inspection visit in April, “Brave stores” would be launched and a pop-up store held there just three months later… It was almost insane (laughs).

Igarashi: Of course, we could have meticulously planned the business and aimed for a release a year or two later. But if you ask whether that would increase the probability of success, honestly, I didn’t really think so. Rather, I thought it would be better for the future to just go ahead and do it. In reality, it was incredibly tough, but at that time, I think the important thing was “just doing it”. Besides, everyone at Brave group supported us wholeheartedly, and the decision-making was surprisingly smooth, which is why I think we were able to achieve it.

Noguchi: That’s the true startup spirit, isn’t it! Well, even so, the decision to launch an overseas business in about three months and the team that can make it happen – I think that’s pretty tough.

Igarashi: I agree. The speed and excitement at Brave group are truly one-of-a-kind. Well, launching an overseas business and then growing it further has high hurdles and is quite difficult. It’s not just about challenging; to ensure we connect it to success, I feel I need to lead from the front and give it my all.

What’s Crucial in the 0-to-1 Phase is “Ultimately, the President’s Resolve and Commitment”

Noguchi: Truly, Mr. Igarashi, you are an entrepreneur. Previously, at a gathering of young business leaders, you said, “Ultimately, it’s the president’s resolve and commitment”, didn’t you? Of course, while there are technical aspects to building a business, in the 0-to-1 phase, that’s indeed the most important thing.

Igarashi: After all, I believe that the various businesses starting up within Brave group, as well as the businesses of companies that have joined the group, all begin with the “passion” of their respective business leaders or company presidents. So, I think that part is really important. I myself am right in the middle of a 0-to-1 challenge, and I don’t have any “winning formulas” yet, but I believe it’s crucial to continue committing with resolve and my whole being.

Noguchi: Including myself, many of Brave group’s management members are, if anything, more suited to supporting people who have such passion and dreams, rather than launching businesses from 0-to-1 themselves. I think such people are naturally gathering here now, so in the future, if Mr. Igarashi wants to “try something new”, having an organization that can immediately make that happen is a significant strength of Brave group, I believe.

Igarashi: I’m truly grateful. The very existence of an environment where one can continue to take on challenges, including successes and failures, is something I feel is genuinely fortunate.

Passionate Colleagues Gather at Brave group, and Everyone Grows Stronger Together

Noguchi: Lastly, please give a message to our readers.

Igarashi: Brave group, including its group companies, has a positive culture of “Alright, let’s do it! Let’s all give it our best together!” I believe this culture will continue to strengthen and contribute to our corporate competitiveness. So, I hope that passionate colleagues will continue to gather at Brave group, and I hope we can all grow stronger together.

The content of this article is as of the interview in November 2024.

Keito Noguchi’s first book, “Team Brave: Courageous Management”, was released.

▼ Word from the Author
As our organization grows, many of our newer members are unaware of our tumultuous past. I felt it was esssential for everyone, especially our new and future teammates to understand how Brave group came to be what it is today, with complete transparency. That’s why I chose to write this book.
Our journey has been far from a smooth sail and this book reflects our resolve to never repeat the same mistakes and also serves as a reminder to always stay grounded as we move forward. I believe that it really captures the spirit and vision at the core of Brave group.
I sincerely hope that those considering joining Brave group will take the time to read this book.

Learn more about Team Brave

Brave global capital

In September 2024, with the desire to support businesses and companies that, like Brave group, are challenging the world from Japan and creating excitement, we established “Brave global capital”.
Please feel free to consult with us regarding business integration or capital and business alliances.
https://bravegroup.co.jp/bgc/