The fierce battle for even “Ohagi” (rice balls)… “Popularity” even with price hikes. | FRIDAY DIGITAL

The fierce battle for even “Ohagi” (rice balls)… “Popularity” even with price hikes.

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Major food supermarkets based in Saitama Prefecture: “Yaoko” (right) and “Belc” (left).

The largest number in the Kanto area (Tokyo and 6 prefectures)

With the new cabinet in place, will the 0% consumption tax on groceries actually be realized──?

Repeated price hikes and the consumption tax are a headache for housewives managing the household. For such families, the go-to solution is major supermarkets that offer affordable products.

A recent trend is that their areas of influence are often limited and do not overlap, making direct confrontations like those among convenience stores unlikely. However, in one region, there are supermarkets that have been engaged in a fierce long-term rivalry: “Yaoko” and “Belc.” Both of these supermarkets originated in Saitama Prefecture, and their headquarters remain there today.

“Yaoko” was founded in 1890 (Meiji 23) as a greengrocer called “Yaoko Shoten” in Ogawa Town, Hiki District, Saitama Prefecture. It is a long-established store with a history spanning 135 years.

On the other hand, “Belc” was founded in 1959 (Showa 34) in Chichibu City, Saitama Prefecture. Its predecessor was a local supermarket called “Shufu no Mise Chichibu-ten,” and with expansion beyond the Chichibu area, it changed its name to “Shufu no Mise Belc.” In 1992, it adopted its current name, “Belc Co., Ltd.”

According to their official websites, “Yaoko” currently operates 201 stores across the Kanto region’s one metropolis and six prefectures. “Belc” also operates in the exact same area, with 148 stores.

The rivalry between the two supermarkets’ areas of influence has long been a topic of discussion, but recently, the battle for expansion into Tokyo has become more pronounced. At present, Yaoko leads with 17 stores compared to Belc’s 9.

The two supermarkets not only compete in the number of stores but also maintain a competitive stance in the products they carry.

“For example, bento boxes. Both companies offer a wider selection than other supermarkets, priced around 400 to 700 yen. Among them, Yaoko has an astonishing variety, with many saying it rivals department store basements. The taste matches that variety, and the cost performance is excellent, about half the price of department store offerings, making it very popular. For fresh meats, the selection is not drastically different between the two, but Belc tends to be slightly cheaper. As for fish, Yaoko offers more variety.

For housewives who think, ‘I want one more dish, but it’s a hassle to make it myself,’ or those who want a small portion of simmered dishes for just one person, supermarket prepared foods are invaluable. For Japanese-style side dishes such as simmered or dressed items, Belc is overwhelmingly strong and seems to cater well to single-person households and the elderly,” said an economic magazine writer.

Both supermarkets have strengths like those mentioned above, but they are competing for a limited customer base in the same regional markets, even engaging in price wars. While this may have been possible during the deflation era, now is an era of hyperinflation. Not just supermarkets, but the restaurant industry as a whole is being forced to raise prices. They also justify it as a way to improve product quality.

In this ongoing rivalry, one item currently attracting attention among housewives is ohagi.

What is the military’s take on ohagi?

Both supermarkets sell their original ohagi, which have become very popular items. Each has its own characteristics: Belc’s ohagi features smooth-textured red bean paste that isn’t very sweet, with glutinous rice retaining a firm, grainy texture. In contrast, Yaoko’s ohagi is the opposite: the red bean paste retains the bean grains, while the glutinous rice inside is closer to mochi. It has a slightly saltier taste and less sweetness.

Both are delicious, making it hard to choose between them. However, while both had previously been priced at 99 yen per piece, Yaoko raised its ohagi to 130 yen last April. The Yaoko version may be slightly larger, possibly containing more red bean paste. Even so, compared to ohagi sold at other supermarkets or specialty stores, they remain superior in quality and volume—and still inexpensive. When shoppers reaching for ohagi at Yaoko were asked about the price increase, they responded:

“I’d rather they raise the price than lower the quality. It’s still really cheap!”

To understand the secret behind these supermarkets’ strengths, we spoke with Akihito Nakai, a distribution analyst and certified small and medium-sized enterprise consultant.

“From a strategic perspective, both companies’ operations are based on the ‘chain store theory’ introduced from the United States. In a chain store system, there is a headquarters from which stores spread like spokes of a wheel. This is similar to a military unit trained so that all soldiers can act uniformly under orders. Standardized manuals are implemented so that anyone can execute headquarters’ initiatives. The necessary infrastructure is established as a rear base, and logistics are organized so that following orders ensures success.

Belc is a company that has thoroughly implemented this. All stores are built nearly the same, and there’s little variation in product placement from store to store. This system allows customers to shop easily even when transferred to a different location, which is very convenient.”

Moreover, it provides a well-organized system that makes it easier for employees to work.

Chain Store Authority

“The manuals are organized so that headquarters’ instructions can be executed immediately. This may seem obvious, but it’s not easy. It is extremely difficult to enforce this in supermarkets where many part-time staff rotate in and out. Naturally, all Japanese supermarkets aim for this, but the degree of thoroughness differs. Belc is often associated with low prices, but because it is run in the most efficient way with no waste, it can achieve this while maintaining high profitability.

Because their scale is large, even a fixed allocation can provide more value back to customers. In terms of profitability, they rank very high even compared to major corporations. We call Belc the ‘embodiment of a chain store.’”

So what is Yaoko’s strength?

“The basics are the same. The biggest difference between the two is in taste versus price. Belc’s stance is ‘we’re definitely cheaper!’ whereas Yaoko says, ‘it’s a little more expensive, but ours is definitely more delicious!’ They also target different customer groups. Yaoko focuses on seniors with a bit more disposable income, such as couples whose children have moved out and who think, ‘If it’s just the two of us, let’s enjoy something a bit nicer.’ The ohagi price increase is part of that strategy. Belc, on the other hand, targets younger people and families. Yaoko’s lead in the number of stores in Tokyo likely reflects this approach.”

“Expanding their influence while aiming for the capital,” Yaoko and Belc resemble feudal warlords of the Sengoku period. In those times, civilians were the main victims of war, but in the case of Yaoko vs. Belc, it is the consumers who benefit. We hope they continue to fiercely compete.

Currently, “Yaoko” operates 201 stores across the Kanto region’s one metropolis and six prefectures.

“Belc” operates 148 stores in the same one metropolis and six prefectures.
The top one is Belc’s ohagi, 99 yen. Below: Yaoko’s ohagi, 130 yen.
  • Interview, text, PHOTO Hiroyuki Sasaki

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