Nippon Sushi’s BMC

Nippon Sushi’s BMC: An Analysis of Nippon Sushi’s Business Model Using the Business Model Canvas Framework.  Nippon Sushi is a restaurant specializing in Japanese cuisine, particularly sushi, sashimi, and other Japanese dishes. Established by Ms. Siti Noraini, Nippon Sushi began operations in 2017 and has rapidly grown within the Japanese food industry in Malaysia. Noraini, who initially worked in the corporate sector, decided to transition to the F&B sector by offering sushi to Malaysians.

Nippon Sushi has successfully built a strong reputation by providing high-quality food and offering a comfortable dining experience. The restaurant now has several locations throughout Malaysia, emphasizing the freshness of ingredients and authentic preparation techniques.

History of Nippon Sushi

Noraini, the founder of Nippon Sushi, shifted her career path from the corporate world to the food industry with the aim of introducing authentic Japanese flavors to Malaysians. With a modest initial capital and a vision to offer a unique dining experience, Noraini started her F&B venture by acquiring a franchise business to learn the operational management aspects of the industry.

Within a few years, Nippon Sushi has grown into one of the well-known Japanese restaurants in Malaysia, recognized for the quality of its food and excellent customer service. Her efforts in ensuring the freshness of ingredients and high-quality preparation have helped Nippon Sushi attract a diverse range of customers, from Japanese food lovers to visitors and tourists.

Business Model Canvas (BMC) Nippon Sushi

Let’s review the overall blocks for the Nippon Sushi’s BMC:

1. Customer Segments

Customer segments refer to the groups of individuals or organizations that are the primary target of the business for its products or services:

• Japanese Food Enthusiasts: Individuals seeking an authentic dining experience with high-quality sushi and Japanese dishes.
• Families and Friends: Groups of families and friends who want to enjoy Japanese cuisine in a comfortable restaurant setting.
• Working Professionals: Individuals working in the area around the restaurant looking for quality places to dine for lunch or dinner.
• Visitors and Tourists: Tourists looking to try Japanese food while visiting Malaysia.

2. Value Propositions

Value propositions are the promises a business makes to its customers, which are the main reasons customers choose their products or services over competitors:

• Quality and Freshness of Ingredients: Offering sushi and Japanese dishes made from fresh, high-quality ingredients.
• Authentic Dining Experience: Providing a dining experience close to Japanese tradition through proper food preparation techniques and an appropriate restaurant atmosphere.
• Diverse Menu: Offering a wide selection of sushi, sashimi, ramen, tempura, and other Japanese dishes to cater to different tastes.
• Friendly Customer Service: Delivering professional and friendly customer service, ensuring a satisfying dining experience.

3. Channels

Channels refer to the various ways the business uses to deliver its products or services to customers, including communication and distribution methods:

• Physical Restaurant: Restaurant locations in strategic areas in Malaysia where customers can directly enjoy Japanese food.
• Website and App: Online platforms for browsing menus, making reservations, and ordering food for delivery.
• Social Media and Advertising: Utilizing social media platforms like Facebook, Instagram, and Twitter along with advertising campaigns to promote the menu and special offers.

4. Customer Relationships

Customer relationships refer to the types of relationships that a business establishes with its customers to retain their loyalty and ensure they continue using the offered products or services:

• Excellent Customer Service: Providing friendly and professional customer service in the restaurant and promptly addressing any inquiries or complaints.
• Loyalty Programs and Promotions: Offering loyalty programs, discounts, and special offers to attract and retain customers.
• Customer Feedback: Gathering feedback from customers to improve the quality of food and service, ensuring customer satisfaction.

5. Revenue Streams

Revenue streams refer to the various ways the business generates income, whether through product sales, services, or other sources:

• Sales of Food and Beverages: The main revenue source from selling sushi, sashimi, ramen, tempura, and other Japanese dishes in the restaurant.
• Online Orders and Delivery: Additional revenue from online orders and delivery services for customers who prefer to purchase online.
• Events and Group Reservations: Income from bookings for special events, corporate functions, and celebrations requiring catering or special food preparation.

6. Key Resources

This block refers to the essential assets that the business needs to deliver its value proposition to customers.  It also determine how value propositions reach the market, maintain customer relationships, and generate revenue:

• High-Quality Raw Materials: Raw materials like fresh fish, sushi rice, and other essential ingredients needed for quality Japanese food production.
• Kitchen Equipment: Kitchen equipment like stoves, mixers, and preparation tools necessary for food production.
• Restaurant Locations: Strategic restaurant locations and facilities for daily operations and serving customers.
• Online Platforms: Website and app for managing reservations and deliveries, as well as online marketing.

7. Key Activities

Key activities refer to the most important actions that a business needs to undertake to realize its business model, such as production, marketing, or system maintenance:

• Food Production: The production of sushi, sashimi, ramen, and other Japanese dishes using quality techniques and ingredients.
• Marketing and Promotion: Marketing activities to promote the menu, launch special offers, and attract new customers.
• Restaurant Management: Managing daily restaurant operations including customer service, inventory management, and equipment maintenance.

8. Key Partnerships

Key partnerships, as part of Nippon Sushi’s BMC refer to the parties that the business collaborates with to help realize its business model. It can be through resource provision, activities, or channels:

• Suppliers of Raw Materials: Suppliers of raw materials like fish, sushi rice, and other necessary ingredients for Japanese food production.
• Distributors and Logistics Partners: Partners managing the delivery of raw materials and finished products to restaurants, as well as logistics for daily operations.
• Marketing Experts: Marketing agencies that assist in planning and executing advertising campaigns and promotions to attract customers.

9. Cost Structure

The cost structure refers to the major costs that a business incurs in its daily operations.  This includes both fixed and variable costs.

Main Costs of Nippon Sushi:

• Cost of Raw Materials: The cost of purchasing raw materials like fresh fish, rice, and other ingredients.
• Restaurant Operating Costs: Costs for rent, utilities, and managing daily restaurant operations.
• Marketing and Promotion Costs: Costs for marketing campaigns, advertising, and promotions to attract customers.
• Management and Maintenance Costs: Costs for kitchen equipment maintenance, inventory management, and labor costs for restaurant staff.

Conclusion

The Nippon Sushi’s BMC illustrates how the restaurant successfully offers a high-quality Japanese dining experience. Nippon Sushi focuses on ingredient freshness, authentic preparation techniques, and excellent customer service. With a strong strategy in customer segments, value propositions, channels, and key resources, it continues to attract customers and expand in the Japanese food industry in Malaysia.

Credit: Image by stockking on Freepik

Disclaimer: The content published on this blog is intended for informational and educational purposes only and represents the personal opinions of the author. It does not constitute official information from the companies involved in this article (if any). The information is based on limited sources, such as websites and related articles. While every effort is made to ensure the accuracy of the information, the author and the blog do not provide any warranty or guarantee regarding its completeness, reliability, or accuracy. Readers are advised to conduct their own research and seek professional advice before making any decisions based on the content provided. The blog and its author are not responsible for any actions taken as a result of reliance on the information presented.