What Arai does

Arai Electric Industry Inc. (アライ電機産業株式会社) is a privately held Japanese diversified automotive-electrical and telecommunications enterprise founded in 1962 in Nerima, Tokyo, with 306 employees solo and 415 across the group. The company operates three business segments: (1) automotive electrical parts and services, including rebuilt (remanufactured) alternators, starters, compressors, and injection pumps, plus new batteries, car electronics (navigation, dashcams, ETC), and a Denso-certified Diag Station diagnostic facility operated by Diag Master technicians; (2) mobile telecommunications, comprising seven NTT docomo retail shops across Tokyo wards plus four corporate sales centers offering Cloud PBX, expense and invoice management, alcohol check, call recording, cybersecurity, and device reuse services; and (3) car accessories retail through the James Hikarigaoka store for tires, batteries, oil, navigation, and installation services.

The company's revenue model blends automotive parts wholesale and route sales (one-time), docomo shop retail commissions and device sales (transaction fees), enterprise mobile solutions (recurring SaaS/service fees), and car accessory hardware sales. Go-to-market is sales-led with nationwide route-sales representatives delivering to dealers, maintenance factories, and parts retailers; a physical retail footprint of seven docomo shops plus one James accessories shop; and dedicated B2B corporate sales teams for enterprise mobile solutions. The company serves automotive OEMs (Denso, Toyota, Mitsubishi, Hino, Honda, Nissan, Panasonic), foreign car dealers, auto leasing companies, maintenance workshops, parts trading firms, individual consumers via docomo shops, and corporate clients needing mobile/communication infrastructure.

Group revenue reached ¥21.4 billion (solo ¥13.6 billion) in the FY2024 November term, with the company maintaining no external institutional ownership under president Mitsuharu Arai. Distribution reach spans Tokyo and Saitama for retail and corporate, and nationwide Japan for automotive parts via route sales and wholesale channels. Strategic differentiators include Japan's first commercialized rebuilt auto parts operation (since 1962), Denso Diag Station certification, and a 40-year NTT docomo agency relationship.

Name

Arai

Legal name

アライ電機産業株式会社

Website

https://araidenki.biz

Company type

Private

Founded year

1962

Operating status

Operating

Headcount range

251–500 employees

Short description

Arai Electric Industry (founded 1962, Nerima, Japan) is a private diversified enterprise operating three segments: automotive electrical parts and rebuilt components with a Denso-certified Diag Station, seven NTT docomo retail shops plus corporate mobile solutions (Cloud PBX, expense mgmt, security), and the James car accessories retail store, serving OEMs, dealers, and consumers.

Ownership category

akta.pro rank

Product category

Automotive Electrical Services and Mobile Telecommunications

NAICS

Motor Vehicle Electrical and Electronic Equipment Manufacturing (33632), Electrical Equipment Manufacturing (3353)

SIC

Motors & Generators (3621), Electrical Industrial Apparatus (3620)

akta.pro primary industry

Passenger Vehicle Electrical & Electronics Manufacturing (ICE) (IMACAAAK)

akta.pro secondary industries

Spare Parts & Replacement Components Retail (Batteries, Screens, Chargers) (CRACAJAG), ITAD, Electronics Recycling & Parts Harvesting Retail (CRACAJAF)

Keywords

• Automotive electrical parts
• Rebuilt auto parts
• Mobile telecommunications
• Car accessories retail
• Automotive diagnostic services

Headquarters

HQ city

Nerima

HQ country

Japan

HQ region

Asia

Offices14 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Supply Chain, Marketing or Sales, Infrastructure, Technology or R&D

Revenue model

1. Automotive Electrical Parts Sales & Services: Sales and maintenance of automotive electrical and electronic parts including batteries, navigation systems, ETC devices, and rebuilt parts. Operates service centers and delivers parts nationwide to dealers, maintenance factories, and parts retailers.
2. Rebuilt Auto Parts Manufacturing & Sales: Manufacturing and sale of rebuilt (remanufactured) alternators, starters, compressors, and injection pumps. Revenue from part sales to dealers and maintenance factories.
3. docomo Shop Retail (Mobile Device Sales & Carrier Services): Operates 7 docomo shops in the Tokyo area. Revenue from mobile device sales, service contracts, and commissions from NTT docomo. Also provides after-sales support and service.
4. Enterprise Mobile Solutions: B2B mobile solutions including Cloud PBX, expense management systems, alcohol check management, call recording, cybersecurity, and device reuse services. Revenue from solution sales and service fees to corporate clients.
5. Car Accessories Retail (James): Car accessories retail and installation services including tires, batteries, oil, navigation, dashcams, and maintenance services at James Hikarigaoka store.

Pricing tiers

Go-to-market motion3 records

Distribution channels6 records

Marketing channels5 records

Core offering

Arai Electric Industry is a Japanese automotive electrical and mobile telecommunications company. It sells and remanufactures rebuilt automotive electrical components (alternators, starters, compressors, injection pumps), new batteries, car navigation, dashcams, and ETC devices, and provides advanced diagnostics through a DENSO-certified Diag Station. It operates seven NTT docomo retail shops in the Tokyo metro area for consumer mobile device sales and runs the James car accessories retail store. The company also delivers B2B enterprise mobile solutions including cloud PBX, invoice/expense management, call recording, alcohol check management, cybersecurity, and device reuse/buyback services.

Product overview

Arai Electric Industry operates as a diversified automotive and telecommunications company with three main business segments: (1) Automotive Electric Parts & Services offering rebuilt electrical components (alternators, starters, compressors, injection pumps), new batteries, car electronics (navigation, dashcams, ETC devices), and diagnostic/maintenance services through its Denso-certified Diagstation facility; (2) Mobile Telecommunications operating seven Docomo shops in Tokyo for smartphone/tablet sales and after-sales service, plus corporate mobile solutions including cloud PBX, invoice management, call recording, alcohol checks, and cybersecurity services; and (3) Car Accessories Retail through the James brand shop selling and installing tires, batteries, oil, navigation systems, and car accessories.

Differentiator

Problem solved

Functional benefit

Products and services

• Rebuilt Auto Parts (リビルド品) Remanufactured automotive electrical components including alternators, starters, compressors, and injection pumps. Produced through strict inspection and regeneration processes to deliver performance equivalent to new parts, with environmental and cost advantages. Sold to automotive dealers, maintenance factories, and parts trading companies.
• Automotive Batteries (バッテリー) High-quality automotive batteries for a wide range of vehicle models, featuring long-life design and stable power supply for safe and comfortable daily driving. Sold to dealers, maintenance workshops, and retail consumers.
• Car Electronics (カーナビ・ドラレコ・ETC) Car electronics including high-performance dashcams, car navigation systems, and ETC devices, offering safety features and route guidance. Distributed to dealers, maintenance workshops, and consumers.
• Diag Station Diagnostic Service (ダイアグステーション) Advanced automotive diagnostic service using cutting-edge DENSO diagnostic equipment. Provides precise diagnosis of engines, electronic control systems, and brakes, performed by DENSO-certified Diag Master technicians who have completed Denso's special training program. Available to vehicle owners and partner dealers.
• docomo Shop Retail Service (ドコモショップ) Operates seven NTT docomo retail shops in Tokyo (Otsuka, Ogikubo, Asagaya, Nishiogikubo, Kugayama, Tachikawa South, Tachikawa North) providing smartphone and tablet sales, carrier service contracts, after-sales support, and personalized plan consultation for individual consumers.
• James Car Accessories Shop (ジェームス光が丘店) Car accessories retail and installation service at the James Hikarigaoka store in Wako, Saitama. Offers tires, batteries, oil, navigation systems, dashcams, and other car accessories, with on-site installation and maintenance services for individual car owners.
• Cloud PBX & Internal Telephony (クラウドPBX・内線化) Cloud-based PBX solution (iSmartBiz, INNOVERA) for business continuity (BCP) and operational efficiency. Enables employees to continue work from any location during disasters and supports internal extension dialing. Provided to corporate clients.
• Invoice & Expense Management (楽楽明細 / Rakuraku Meisai) Cloud-based invoice and expense management service using the Rakuraku Meisai platform. Automates invoice handling, expense reimbursement, and reporting for compliance with Japanese invoice regulations. Sold to corporate clients.
• Cloud Call Recording System (クラウド型通話録音システム / Synvoice) Cloud-based automatic call recording for both fixed and mobile phones. Improves customer service quality, supports customer satisfaction, and provides evidence for customer harassment (kasuhara) countermeasures. Provided to corporate clients.
• Alcohol Check Management System (アルコールチェック / Alrepo) Cloud-based alcohol check management service compliant with the December 2023 alcohol check mandatory regulations. Uses smartphone and Bluetooth-enabled detector integration to support safe driving management for corporate clients.
• Security System (セキュリティシステム) Comprehensive cybersecurity solution covering endpoints, networks, and cloud environments with AI-powered threat detection and 24/7 SOC monitoring. Protects corporate clients against cyber threats.
• Device Reuse & Buyback Service (リユース・買い取りサービス) One-stop service for corporate equipment disposal, reuse, and buyback. Reduces waste and supports effective use of resources while enabling environmental sustainability for corporate clients.
• Corporate Mobile Solutions (法人向けモバイルソリューション) Comprehensive mobile solution service for corporations covering mobile device and line procurement, communication cost management, enterprise system integration, and security measures. Delivered by a dedicated corporate sales team.

Quantifiable outcome

• 136億円 (単独), 214億円 (グループ) annual revenue as of November 2024
• +2 more outcomes

Named customers12 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Three partnerships are on record, tiered core.

• デンソー (Denso)coreTechnology or Integration · 1 October 2009Denso Diag Station partnership. Company operates Denso-certified Diag Station facility with Denso-trained Diag Masters. Provides advanced vehicle diagnostics using Denso equipment and methodologies. Special training program for technicians certified by Denso.
• NTTコミュニケーションズ / NTT DOCOMOcoreChannel Partner/ Reseller/ Distributor · 1 May 1985NTT docomo agency partnership since 1985. Operates 7 docomo shops across Tokyo. Provides mobile device sales, service, and after-sales support as authorized docomo retailer. Also handles corporate mobile solutions as authorized agent.
• NTT DOCOMO (法人営業)coreChannel Partner/ Reseller/ DistributorCorporate sales partnership with NTT docomo for enterprise mobile solutions including Cloud PBX, expense management, security, and other business solutions. Provides corporate clients with docomo mobile services and solutions.

Scale indicators7 records

Recent moves5 records

Expansion highlights6 records

Direct peers

• Autobacs Seven: Japan's largest specialty car accessories and aftermarket retail chain; directly comparable to Arai's James Hikarigaoka store business in product mix (tires, batteries, oil, navigation, dashcams) and in-store installation service model.
• Yellow Hat: Major Japanese car accessories and maintenance retailer with nationwide store footprint; comparable to Arai's James retail business and to the route-sales-driven B2B auto parts distribution side of Arai's automotive electrical segment.
• SoftBank Shops (operated by SB C&S and agency partners): SoftBank-branded carrier retail shops across Japan; comparable to Arai's 7 docomo stores as competing carrier retail channel with similar commission-based economics and corporate mobile solution offerings.
• Top Gun (Docomo agency / mobile retailer): Japanese multi-store NTT Docomo agency operator with consumer and corporate mobile sales; directly comparable to Arai's 7-store docomo shop footprint and corporate mobile solutions business.
• JB Service Holdings: Japanese distributor of automotive parts and service chain operator; comparable to Arai's wholesale automotive electrical parts business serving dealers, maintenance factories, and parts retailers across Japan.

Broad incumbents

• Niterra (formerly NGK Spark Plug): Japanese automotive component manufacturer with strong aftermarket presence; comparable as a large established player in the Japanese vehicle electrical and electronic components aftermarket that Arai's rebuilt parts business also serves.
• Denso: Global tier-1 automotive parts manufacturer and parent of the Diag Station certification program; comparable as Arai's OEM partner and as the dominant incumbent in the Japanese automotive electrical and electronic components space.
• Aisin: Large Japanese automotive components manufacturer supplying Toyota group and other OEMs; comparable to Arai's rebuilt parts operations as a broader incumbent in the automotive electrical/mechanical components category.
• Mitsubishi Electric Mobility Business: Major Japanese manufacturer of automotive electrical and electronic equipment including alternators, starters, and EV components; comparable to Arai's rebuilt alternators/starters business as an incumbent supplier of vehicle electrical systems.
• Bridgestone Solutions (Bridgestone Group): Japan's largest tiremaker with extensive nationwide retail/service network for tires and auto maintenance; overlaps with Arai's James store on tires, oil changes, and basic maintenance services.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

• YouTubeyoutube.com/@アライ電機特販部チャンネル

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Subsidiaries2 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Arai