Panasonic Corp. will tap into the private home rental business to advertise its appliances to the increasing number of foreign tourists in Japan, sources close to the matter said Monday.
Japan recently introduced regulations pertaining to "minpaku" accommodations in private houses and apartments, in an effort to address a shortage of hotel rooms ahead of the 2020 Tokyo Olympics and Paralympics.
The electronics maker will expand its housing technology business, offering to design or build lodging facilities for landowners interested in entering the minpaku business. It aims to log 5 billion yen ($46 million) in sales from the new segment in the fiscal year through next March.
(A salesman promotes a Panasonic TV at an electronics store in Osaka)
Panasonic will first construct around 10 lodgings in Tokyo and Osaka on rented land and entrust their operations to Hyakusenrenma Inc. and Squeeze Inc., according to the sources. The accommodation is expected to cost 5,000 yen per person a night.
To capitalize on the tourism boom, Osaka-based Panasonic plans to showcase its home appliances at the accommodations, including dryers and other beauty products that have proven popular among Asian customers.
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