“That was the start of it all,” Tsuruoka, 30, said. “We were in a world where people with no internet skills and no money, like my mom, couldn’t imagine creating online businesses.”
The company’s main service allows people to create their own online shop. It also provides payment processing tools and an offering retailers can use to procure financing against their future sales. On top of that, Base runs a shopping app that it says has seven million users. Then, when his mom said she wanted her own online store, the idea sprang from that. He began working on the business and later quit college.
“This year was clearly a special occasion for growth,” said Takahiro Kazahaya, co-head of equity research, Japan, at Credit Suisse Securities Japan Ltd., who has a neutral rating on the stock. “The growth rate will significantly decelerate, but relatively high growth will be achievable.” Snoddy said Base is well-suited for smaller operations, which makes it different from commerce platforms that cater to larger businesses. About 72% of shops using Base are run by individuals while 26% of them are managed by two to four people, according to company data.