1) Rakuten Netsuper is Rakuten's online grocery delivery service that was launched in partnership with supermarket chain Seiyu in 2018. 2) The service has since expanded to include deliveries from warehouses in addition to stores, and developed a mobile app. 3) Looking ahead, Rakuten aims to further integrate online and offline shopping through Rakuten platforms and accelerate the digital transformation of the supermarket industry in Japan.

1. Rakuten Netsuper Development
Mar 16th, 2022
Shinichiro Matsuura
EC First Party Development Department
Rakuten Group, Inc.

2. 2
Self-Introduction
Shinichiro Matsuura
Supermarket OMO / DX Development Section
Vice Senior Manager
2007 ~ 2010:
Rakuten Ichiba
Engineer
2010 ~ 2020:
Global EC Platform
Tech Lead/ Manager/ Vice Senior Manager
2020 ~ Now:
Netsuper

3. 3
To Grow Rakuten More
EC Market
20 Trillion
Rakuten
5 Trillion
Online Offline
Expand our domain
with Rakuten Eco-system

4. 4
Netsuper

5. 5
Overview of Netsuper
1
Evolution of Netsuper
2
Future of Netsuper
3

6. 6
What’s Rakuten SEIYU Netsuper
▼Warehouse for Net Super
Rakuten has started Netsuper service with Seiyu
since 2018-Aug.
Rakuten developed Frontend system mainly at
that time.
▲Grand Opening Press Conference
楽天⻄友ネットスーパー(2019年12⽉13⽇)
https://sm.rakuten.co.jp/
楽天グループ お知らせ(2022年3⽉7⽇)
https://corp.rakuten.co.jp/news/update/2020/0116_01.html
楽天グループ お知らせ(2022年3⽉7⽇)
https://corp.rakuten.co.jp/innovation/rnn/2019/1211/
Overview of Netsuper

7. 7
Weʼre providing the hybrid model which has two types of delivery.
1. Delivery from SEIYU stores
2. Delivery from warehouses
User A
User B
Depot
Delivery
Order
Warehouse
Data
Linkage
Transfer
Stores
Delivery
What’s Rakuten SEIYU Netsuper
Overview of Netsuper
SEIYU

8. 8
Differences b/w E-Commerce and Netsuper
Overview of Netsuper
General E-Commerce Site Net Super
Item lineup / stock Same for all customers
Depend on the place where customer live
(delivery from near store or warehouse)
# of item per order 1 item or few items More than 20 items
Delivery date & time
Next day or later
(in some cases, the customer can choose)
Same day or next day
(customer must choose the date and time in advance)
Frequency of order
changes
no change basically Can change multiple times until order closing
Motivation
Because there is something to want.
(entertainment)
Because it is necessary for living.
(obligation)

9. 9
To achieve Same-day delivery
Overview of Netsuper
PM4:00 PM6:00
DELIVERY
AM11:00
1
Can update / cancel
Order closing
2 2
Picking and Packing
ORDER
Choose Delivery
Date & Time
5
4
Data linkage event Trigger ope. From - To JPN
Initial order data linkage Make order Front - Store OMS/WMS 受注連携
(for OMS/WMS)
Updated order data linkage
(Can be conducted multiple times)
Update order Front - Store OMS/WMS 受注更新連携
Order data linkage
(Fixed data)
Close order Front - TMS 受注連携
(for TMS)
Stock out data linkage Picking Store OMS/WMS - Front ⽋品連携
Fix price of “Catch weight” item Picking Store OMS/WMS - Front 不定貫連携
Delivery results data from Start delivery WMS - Front 出荷実績連携
1
2
4
5
6
6
Basic flow from ORDER to DELIVERY
2 2
3
3
PM9:00
Payment fix

10. 10
To achieve Same-day delivery: Transportation Management System
We have introduced Transportation Management System to achieve optimal delivery routing that does
not rely solely on the intuition and experience of our drivers.
TMS
Driver
Order Data
Front OMS
To optimize delivery based on the address (latitude
and longitude), delivery time and road conditions.
Address
(Latitude & Longitude)
Delivery time Road conditions
Vehicle
allocation list
OUT
IN
Drivers make deliveries in the order in
which they are instructed.
Overview of Netsuper

11. 11
Out of stock: It cannot be delivered due to sold out in actual store or it’s damaged.
To achieve Same-day delivery: Out of stock / Catch wight
Overview of Netsuper
What’s “Catch weight” (不定貫)?
FrontEnd Warehouse
What’s “Out of stock” (⽋品)?
Send back shipped price 168g
¥330
1g more!
2g less!
168g
¥330
171g
¥336
Stock in warehouse
Send initial order data
Resend updated order data
Catch weight: Product whose weight varies individually. For example, selling meat by weight
170g
¥334
168g
¥330
FrontEnd Warehouse
Send back “out of stock” data Out of
stock
Send initial order data
Resend updated order data
Stock in store/warehouse
Broken!

12. 12
History of Rakuten Seiyu Netsuper
Nov
Oct
Sep
8/14
Service Launch
11/27
Start YORIDORI feature
2018
Aug
Jan Oct
10/1
10% Tax increase
20 Projects
2019
4 Projects
# of DEV project / year
※after launch
Start Price Optimization by PIOP
楽天⻄友ネットスーパー(2018年10⽉25⽇)
https://sm.rakuten.co.jp/
楽天⻄友ネットスーパー よりどり割(2022年3⽉7⽇)
https://sm.rakuten.co.jp/choice/890120200100001

13. 13
History of Rakuten Seiyu Netsuper
Jan Nov
May
Apr
2020
TV Broadcasting in Golden Time
11/8
Jan Sep
5/13
Start “Package Drop Service”
May
13 Projects
2021
15 Projects
# of DEV project / year
7/29
Launch Mobile APP
9/16
Jul Aug
Jun
Demand expansion by Covid-19
TBS 坂上 & 指原のつぶれない店(2020年11⽉8⽇放送)
https://www.tbs.co.jp/tsuburenai-mise/

14. 14
Increasing Traffic/ Orders
The traffic/orders was increased significantly. Because the demand incased due to COVID-19 situation.
We improved system against such a huge access.
- page response latency by refactoring business logic/ decreasing DB connection
- order data linkage performance by SQL optimization
Jan-20 Feb-20 Mar-20 Apr-20 May-20 Max
Evolution of Netsuper
Traffic
x4
Page Speed
Data linkage Execution Time

15. 15
Netsuper Mobile APP
2021.09.16
2021.07.29
Launched v1.0
07/29
08/02
08/06
08/10
08/14
08/18
08/22
08/26
08/30
09/03
09/07
09/11
09/15
09/19
09/23
09/27
10/01
10/05
10/09
10/13
10/17
10/21
10/25
10/29
11/2
11/6
11/10
11/14
11/18
11/22
11/26
11/30
12/4
12/8
12/12
12/16
12/20
12/24
12/28
1/1
1/5
1/9
1/13
1/17
1/21
1/25
1/29
2/2
2/6
1/24 v1.2
Evolution of Netsuper
(2022年3⽉7⽇) (2022年3⽉7⽇)

16. 16
Delivery from warehouse
2021 JAN
Kohoku
2022 JAN
Ibaraki
2023 JAN(plan)
Matsudo
2018 OCT
Kashiwa
In addition to deliveries from Seiyu stores, we currently have three warehouses in operation.
The Kohoku warehouse in Yokohama, which began operations in 2021, and the Ibaraki warehouse in Osaka,
which began operations in 2022, are automated warehouses.
楽天グループ お知らせ
https://corp.rakuten.co.jp/news/update/2021/1221_01.h
tml
(2022年3⽉7⽇)
楽天グループ お知らせ
https://corp.rakuten.co.jp/news/update/2
020/0116_01.html
(2022年3⽉7⽇)
楽天グループ お知らせ
https://corp.rakuten.co.jp/news/update/2021/0216_
01.html
(2022年3⽉7⽇)
Evolution of Netsuper

17. 17
Delivery from warehouse: Material Handling -Automation-
Kohoku Warehouse, which opened in 2021, and Ibaraki Warehouse, which opened in 2022, are automated
warehouses with material handling systems.
Evolution of Netsuper
2018 Manual 2022 Full automation!
At Kashiwa Warehouse At Ibaraki Warehouse
(2022年3⽉7⽇)
https://twitter.com/hmikitani/status/1485741876200181760

18. 18
Next

19. 19
Accelerate Online Merges with Offline
RSN APP SEIYU Store APP
Online Offline
2022 Spring
Will update to v2.0
Future of Netsuper
Accelerate supermarket digital transformation and OMO
with Rakuten platform
(2022年3⽉7⽇) (2022年3⽉7⽇) (開発中イメージ)

20. 20
Empower Supermarket Industry
Future of Netsuper
Delivery area is only part of Gunma, Saitama, Chiba
We have started to provide Netsuper Platform.
This is containerized application that packages the functions required to start Netsuper service.
(2022年3⽉7⽇)