“If you ask any Japanese about Nitto Tire, probably 99 percent of them will not know about our brand,” speculated Tomo Mizutani, who came to the United States 20 years ago and has become one of those American Japanese success stories admired in the country.
In 1949, Nitto Tire began as an independent company making high quality mainstream tires. From the beginning, Nitto identified the United States as a potential export market, but only established offices in North America in 1966.
While export sales were sat- isfactory, Nitto found it a tough challenge to penetrate the market and establish manufacturing operations in the country.
To boost its financial position, Nitto Tire agreed to be bought by Toyo Tire in 1999, a deal that did not necessarily change the fortunes of the tire maker.
With annual sales reaching only $6 million and only breaking even some years, Toyo Tire con- sidered discontinuing the Nitto brand in the United States.
“Business was not going well. We were in an idle stage, and just waiting to be sent back home,” recalled Mizutani. “I was inspired by the interesting concepts of negative purchases – such as gas and electric bills – and positive purchases – such as jewelry and perfume. Companies were focusing on negative purchases, but we wanted to make a product that delighted people, so they wanted to acquire our product.”
“Our roots are from Japan, but we were reborn in the U.S. We have a very well-known reputation in the American market. The majority of the people understand Nitto Tire and know about their quality and design”
– Nitto Tire President Tomo Mizutani
“By that time, I had nothing to lose, and because of that, I decided to take it as an opportunity, and not a risk,” added Mizutani, who began calling clients to sell his little-known brand of tires. The approach was not working, as none of those clients returned his calls.
Mizutani decided to travel across the country and adopt a very personal approach by asking end users what they specifically wanted in a tire.
“Within two years, I visited all 50 states. I started seeing what Americans wanted. I was visiting companies without making any appointments,” he said.
Finally, Mizutani found a niche he wanted to cater to: the racing and off-road enthusiast.
With the knowledge acquired of this niche market, Mizutani submitted a proposal and worked hard to convince company management, until he got approval to launch the project.
Nitto Tire has since become a sought after brand not only by car enthusiasts, but also by the entire motor sports culture. From a $6-million company, Nitto Tire is now a $500 million operation.
Innovation is an everyday pursuit at Nitto Tire, with products made for drifting, trucks and tat- too-inspired designer tires. Every single detail matters when it comes to satisfying its clients.
“We are very dynamic and we are constantly looking for some- thing exciting,” stressed Mizutani.
Today, Nitto has more than 5 million followers on Facebook, with fans posting pictures of Nitto Tires depicted in their tattoos and hairstyles based on Nitto’s tread designs. This is a clear indication of why Nitto has received a variety of awards in the U.S.
“We don’t call the people who use our products customers. We call them friends,” Mizutani added.
Drifting and off-road events are the most popular sports among motor fans, with the strongest presence found in California and Texas.
Inspired by the deeply rooted love of sports among Americans, Mizutani personally designed and created a Nitto Tire championship ring made out of silver, gold and diamonds for race winners.
Mizutani attributes the company’s success to the combination of the Japanese work ethic and the American business culture.
“Our roots are from Japan, but we were reborn in the U.S. We have a very well-known reputation in the American market. The majority of the people understand Nitto Tire and know about their quality and design,” he said.
In a gesture of appreciation, Mizutani named the meeting rooms of their offices in California after the people from the Japan headquarters who showed him support and guidance during the most challenging years.
“This serves as a reminder to all of us of where we came from and of the people who helped us become who we are today,” said Mizutani, who has been tasked by the head office in Japan to oversee the Toyo Tire brand as well.
With factories in Atlanta, Nitto Tire is planning to expand to Europe, Russia and China.
“My priority is to bring Toyo Tire and Nitto Tire up together,” Mizutani stressed.
Numbers aside, Nitto is in for a future of robust growth, judging by the passion of the fans carefully nurtured by Mizutani and his team.
– Originally prepared by Global Media for The Japan Times Special Report on Los Angeles 2014 (Credit: Philippe Le Saux)
