Yamato Holdings Co., Ltd. (Head Office: Chuo-ku, Tokyo; President and CEO: Yutaka Nagao) has invested in Best Beer Japan Corporation (Head Office: Asaka, Saitama Prefecture; President: Peter Rothenberg; hereinafter “Best Beer Japan”), a provider of management software and logistics solutions to support craft breweries and a craft beer e-commerce platform for corporate customers such as restaurants, through the KURONEKO Innovation Fund II (hereinafter “KIF II”) (Operator: Global Brain Corporation).
While craft beer is becoming popular in Japan, many breweries are SMEs and has relatively small production and distribution volume. Since there are no specialized intermediary distributors in the craft beer industry, breweries and restaurants must deal with each other directly, which has not only led to distribution inefficiency and higher transportation costs, but also a heavy burden on breweries in terms of back-office operations such as delivery management and liquor tax reporting, and on restaurants with some time and effort for order placement and inventory management. Best Beer Japan is a startup that promotes digital transformation (DX) to solve these problems in the distribution structure of craft beer. While craft beer represents approximately 25% of the US beer market, the share in Japan market remains small, highlighting significant growth potential. The company is leveraging this opportunity to build industry infrastructure by offering a management software that reduces back-office operations for craft breweries by 88%, an e-commerce platform that simplifies the ordering process and allows them to purchase craft beer from over 200 breweries nationwide, and a keg-sharing service called “Rent-Taru” that cuts shipping costs in half. The platform boasts a monthly growth rate of 33%, and is expanding its recognition within the industry.
KIF Ⅱ has made the investment based on the company’s ability to lead DX in the craft beer industry, its commitment to building industry infrastructure and its growth potential to date. By incorporating Best Beer Japan into the KIF II portfolio, Best Beer Japan and Yamato Holdings will mutually contribute their technologies and knowledge to accelerate DX of the craft beer market and make further innovations in craft beer logistics.