Founded in 2014, Tokachi City Design Inc. has been dedicated to community development in Obihiro and the Tokachi region. The company has launched various projects to revitalize the area, including operating the community-based HOTEL NUPKA and the "Basha BAR," a horse-drawn bar that offers a unique way to enjoy downtown Obihiro. Currently, under the theme of "new consumption" that connects large cities with regional areas, they are exploring new lifestyles and ways of working suitable for the 100-year lifespan era.

We spoke with Tetsuya Kashiwao, the founder of Tokachi City Design Inc., about their initiatives to build a new relationship between the region and the rest of the country.

The Vision of "New Consumption" from Tokachi and Obihiro

――Thank you for your time today. First, could you tell us about the initiatives of Tokachi City Design Inc. so far?

Tetsuya Kashiwao, founder of Tokachi City Design Inc. and HOTEL NUPKA

Tetsuya Kashiwao (hereafter, Kashiwao): We founded the company in Obihiro in 2014. It all started in 2013 with the production of a short film called "my little guidebook" to promote the charms of our local Tokachi. This led to the launch of the community-based HOTEL NUPKA in 2016, and we've since rolled out a series of projects connecting the region and its people, such as our "Beer for the Start of a Journey," which uses malted barley from Tokachi. Our goal has been to create a hub at the hotel where people can gather and information about the region can be shared.

"my little guidebook," released in 2013

HOTEL NUPKA

Beer for the Start of a Journey

Since fiscal year 2021, we have been focusing on creating and expanding the "relationship population," and our project was selected for a subsidy program by the Cabinet Office. This year, we've taken it a step further with the theme of "new consumption," launching an initiative we call a "relationship population-based regional trading company."

――Could you explain in more detail what you mean by "new consumption"?

Kashiwao: Until now, "consumption" has primarily been seen as the act of paying money to buy a product. However, many people are involved behind the scenes. Farmers grow the raw materials, processors turn them into products, logistics companies transport them, and retailers deliver them to consumers. The essence of "new consumption" is for consumers to understand the efforts, passion, and even the challenges of the people involved in this entire process, and to consume in a way that supports them. It's a form of consumption that has a broader scope, not just ending with the purchase of a product. For example, it could involve meeting and talking with producers directly or supporting their activities.

The concept of "new consumption"

――I see, so that's "new consumption." What specific initiatives are you undertaking?

Kashiwao: Specifically, we are advancing a project called the "relationship population-based regional trading company." This is a system where urban consumers support rural producers and receive rewards based on the results of those activities. Consumers continue to engage with the region as part of the "relationship population," helping with producers' marketing activities. This allows producers to expand their sales channels into urban areas, while consumers also earn rewards from the success of their support. In this way, we aim to create a mutually beneficial and sustainable initiative.

The concept of a "relationship population-based regional trading company"

Leveraging Regional Resources to Expand Hokkaido's Potential

――What does this initiative mean for the people living in Hokkaido?

Kashiwao: Hokkaido is a region with strong primary industries like agriculture, dairy farming, and fishing. There's also great potential to create further economic value by processing these products and turning them into services. However, we face various challenges, such as a shortage of workers, succession problems, and the distance from the Tokyo metropolitan area. Since Sapporo is the only large city in Hokkaido, I believe it's crucial to promote "new consumption" from this hub. By leveraging regional resources and building a win-win relationship between producers and consumers, I think we can further expand Hokkaido's potential.

――So it means more than just revitalizing the local economy.

Kashiwao: That's right. New consumption doesn't just support local producers; it also shows urban consumers the potential for new lifestyles and ways of working. In today's society, where issues like the pension system, a declining birthrate and aging population, and economic stagnation can lead to a negative view of a 100-year lifespan, collaborating with regions can present new ways of living. I believe this is an initiative with great potential, one that could even restructure Japan's entire economic framework.

――What specific changes can consumers in large metropolitan areas expect?

Kashiwao: In our "relationship population-based regional trading company" model, members of the relationship population from large cities act as agents for local producers, introducing their products in urban areas. By getting to know regional products, empathy for the region and its people will grow, leading more people to engage with the region as part of the relationship population. Some might even consider moving there. In fact, we often hear people say, "Someday, I'd like to live in the countryside..." However, the biggest hurdle to relocating to a rural area is the issue of income.

In rural areas, it's often said that while the quality of life improves, income decreases as a trade-off. While this is a realistic challenge, I don't believe this situation will continue indefinitely. If we can leverage regional resources to create high-value-added products and services and export them to national and international markets, there's a possibility of earning higher incomes than at present. If high incomes can be earned in the region, I believe we'll see an increase in relocations where both quality of life and income are achieved.

However, what makes this difficult at the moment is the "long-distance challenge." Especially in regions like Hokkaido, which are over 1,000 kilometers from the city, logistics are tough, and personal interaction tends to be infrequent. Even with the internet, it's crucial to meet in person to build trust. But traveling long distances takes time and money, making frequent visits difficult. We need to overcome both the "money challenge" and the "long-distance challenge."