The Birth of Japan’s First LCC

In 2008, while I was working as the Director of ANA’s Beijing office, overseeing personnel and labor management for about 600 staff members across 10 offices, I was called back to Tokyo by the former president, Mineo Yamamoto. He ordered me, “Create an LCC. Make it fly within three years.” At that time, I didn’t even know what an LCC was. I thought my career was over. But because of that, I decided to embrace the situation and thought, if I’m going to do it, I’ll throw myself into it like Ryoma Sakamoto (historically influential Samurai) and show my spirit. I wanted to do something that would create innovation.

In March 2008, the world’s first LCC conference was held in Singapore. Patrick Murphy, the founder and chairman of Ryanair, participated in the event. He was a legend in the LCC world, and there was no chance I could just go up to him and say, “I’m from ANA.” So I waited for the moment when he went to the restroom and approached him. I was desperate not to let the opportunity slip by. He graciously said I could come and meet him later, and I did just that. Learning about LCCs, which are built on a completely different mindset from full-service airlines, flipped a switch in me. I realized, “This is worth doing. It’s worth the challenge.”

Later, Murphy became an advisor for Peach Aviation. When asked by the media, “Why did you become an advisor to Peach?” he responded, “Because Inoue was more desperate than anyone else.” I was thrilled when I heard that. When I asked him directly, he said, “I was moved by your desperation, knowing that you had nothing to lose.” I came to realize that when you act with the mindset of “just showing how you live,” especially when there’s no way out, that feeling will always resonate with others.

From Frustration to Curiosity, and Curiosity to the World

I was born in Fujisawa City, Kanagawa Prefecture. Technically, that makes me a “Shonan boy,” but the truth is, it’s a fishing town. As a child, I was physically weak and had restrictions on physical activities. That’s why I joined the table tennis club, thinking it might be something I could manage, even though the logic was completely off. However, once I started playing sports, my body grew stronger, and I even became the captain of the team in junior high school.

In my third year of junior high, an international table tennis team from China came to visit—right to Fujisawa, of all places. Japan and China were both at the top of the world rankings, and there was a lot of excitement over this clash of titans. I was chosen to represent my local junior high team. I had the incredible opportunity to play with Xí Ēntíng, the world champion at the time. Even though it was a fantastic chance, I felt incredibly frustrated because I couldn’t communicate with him due to the language barrier. That’s when I became interested in China and started studying Chinese. I continued playing table tennis throughout high school and university. Looking back, I realize that being physically weak as a child was what opened the first path to where I am today. Without that frustration of “if only I could speak more,” I wouldn’t be who I am now.

China and table tennis have intersected in the course of my life, almost like the tale of the straw millionaire. A moment that truly made me realize this was in the year 2000, an event I’ll never forget. While I was stationed in China with ANA, there was an event at the Great Hall of the People to commemorate the 50th anniversary of Japan-China table tennis exchanges. I was invited, and to my amazement, I was seated at table number five, where I reunited with Xí Ēntíng. By then, I could speak Chinese, so I told him about our past encounter, and he remembered me. That moment was a true reward in my life.

Taking Initiative and Speaking in the First Person

When I was discussing with Murphy why Japan had been slow to enter the LCC market, I mentioned constraints from the airports, issues with landing fees, and the history behind it. But then Murphy asked me, “Let me ask you this—did you personally go to the airports and aviation authorities and explain your difficulties? Did you visit each airport and ask them to lower the landing fees?” I was at a loss for words. He told me plainly, “Don’t talk about things you haven’t done yourself. A person who doesn’t take action themselves will never succeed in business.” It was a real bolt from the blue experience for me. From that moment on, I committed to taking initiative and always speaking in the first person.

Murphy also told me, “To make a business successful, you need to become a beast that defeats its enemies.” It was a reminder to never forget that I’m responsible for the lives of my employees. This lesson is what allowed Peach to become a team that takes immense pride in offering low fares while maintaining the safety standards of Japanese airlines, all without unnecessary services.

In order to continue flying with safety as our top priority, every August, I take our employees to Osutaka Ridge (The crash site of JAL flight). Moving forward, while maintaining a level of tension that keeps us sharp, we will strive to make Peach an even more convenient and user-friendly LCC. We aim to serve more people, like those who want to regularly visit their parents for caregiving, or mothers wanting to deliver home-cooked meals to their university-student children living alone. By increasing the number of planes that are as easy to use as trains and by expanding our network, Peach will continue its journey to be the Asia’s leading LCC.

February 2018, at Peach Aviation Co., Ltd. (Kansai Airport)Translated by ILI Inc.