Otakaraya Opens 2nd Hong Kong Branch in Mong Kok, Accelerating Asian Expansion

E-fran Co., Ltd. (Headquarters: Yokohama City, Kanagawa Prefecture; President: Taishi Shikamura; hereinafter referred to as 'the Company') grandly opened the second Hong Kong branch of its purchase specialty store 'Otakaraya' in the Mong Kok area on Sunday, April 26, 2026. This opening comes just about a year after the first Hong Kong branch opened in Tsim Sha Tsui in February 2025. At the first branch, total sales from purchases and retail have nearly doubled since its opening. The driving force behind the second branch's opening was the high appreciation of 'Japanese-style polite customer service' by Hong Kong customers.

In this release, in addition to details about the second branch, we convey the changes occurring on the front lines of overseas expansion and the overall picture of E-fran's global strategy through an interview with Asai, who was appointed head of the Hong Kong base just four years after joining as a new graduate.

Exterior of Otakaraya Hong Kong Branch 2

| 'Harajuku'-like vibrancy and diversity. The aim of opening the second Hong Kong branch in Mong Kok

If Tsim Sha Tsui is 'Shinjuku,' Mong Kok is 'Harajuku'

Mong Kok, the location for the second Hong Kong branch, has different characteristics from Tsim Sha Tsui, where the first branch is located. While Tsim Sha Tsui is a high-end area lined with luxury brand stores, Mong Kok is characterized by a wide lineup mixing niche specialty stores with luxury goods, making it a highly vibrant area with heavy foot traffic.

Along Nathan Road, Mong Kok's main street, luxury watch shops like Rolex and jewelry specialty stores are lined up, while local shopping streets and the tourist spot Ladies' Market (Tung Choi Street) are also nearby, allowing for expected contact with a wide range of customers.

Evolution of the second branch. A single staff member provides consistent service for both purchasing and retail

At the second branch, operations have significantly evolved based on the one-year operating experience at the first branch.

Initially, the first branch assigned separate staff for purchasing and retail. However, in actual operation, there were many cases where retail customers would consult about purchasing, asking, 'Can this item be sold too?', or conversely, purchasing customers would show interest in retail, asking, 'Do you have any good products?'

Based on these experiences, the second branch has built a system where all staff can handle both purchasing and retail. By realizing a customer service style where a single staff member handles the entire process consistently, making customers think 'I want to sell because it's you' or 'I want to buy because it's you,' the branch aims to acquire repeaters and improve the appointment rate.

Store Details

Opening: Sunday, April 26, 2026

Business model: Purchase and retail

Business hours: 11:00-20:00

Address: G/F & G8A, Sun Hing Building, 603-609A Nathan Road, Mong Kok, Kowloon, Hong Kong

Website: https://otakaraya.hk/shop/sell/mongkok/

| Sales doubled in about a year. The demand for 'Japanese-style purchase' proven by the first branch

On February 22, 2025, the Company opened Otakaraya's first overseas branch in Hong Kong in Tsim Sha Tsui. Located in a prime area clustered with luxury brand stores, it began operations with a business format offering both purchasing and retail. Immediately after opening, it attracted the attention of local customers as a 'purchase shop from Japan' and got off to a vibrant start.

Many Hong Kong customers are also considering replacing brand-name goods and luxury watches. Currently, about a year after the opening, total sales from purchases and retail have nearly doubled compared to the opening period, successfully building trust in OTAKARAYA's 'Japanese-style purchase' over this past year.

Three factors behind the growth

Asai, the head of the branch, cites three points as factors supporting this rapid growth.

The first is the strengthening of advertising investment. By expanding digital marketing centered on listing ads, the company sought to improve Otakaraya's brand recognition in Hong Kong.

The second is the introduction of an achievement incentive system for staff. By setting individual target amounts and establishing a mechanism to pay bonuses according to achievement, each staff member's awareness of customer service has significantly improved. Proactive behaviors such as 'let's create my own repeat customers' and 'let's lead to appointments through polite customer service' were born, which directly translates into numbers.

The third is inquiry handling utilizing WhatsApp (a messaging app like the Hong Kong version of LINE). Similar to the 'LINE assessment' implemented at Otakaraya in Japan, assessment inquiries via WhatsApp have become the largest channel for attracting purchase customers, proving that an approach tailored to Hong Kong customers' communication habits is effective.

'More trustworthy than the Chinese style.' The reason for being chosen locally

In Hong Kong, business formats specialized solely in purchasing are not common; shops combining retail and purchasing or consignment sales stores are mainstream. Amidst this, Otakaraya's 'Japanese-style