“UsanekoMemory” provides over 20,000 high-quality materials aimed at VTubers. The mastermind behind it is Kiyoshi Sakai, the CEO of Memorynator Inc., who has been a behind-the-scenes supporter of VTuber culture.
This time, we spoke with Sakai about the insights behind the business launch, the passion behind the materials, and the future of the VTuber industry.

Profile

Why UsanekoMemory Specializes in VTuber Materials

── Could you tell us about how your career began and led to your entrepreneurship?

After graduating from university, I worked as a web marketer for an IT company and started my own web production company at the age of 24. For about four years, my focus was on web production and web marketing business, which had nothing to do with VTubers.
“UsanekoMemory” was originally the name of my YouTube channel.

── Really, how so?

At that time, I was into a YouTube animation channel featuring animal characters, and the staff and I got excited discussing how we wanted to create something like that ourselves.
So, we began an animation channel as a hobby featuring characters based on a rabbit and a cat along with our official character, Memory-chan, which led to “UsanekoMemory.”

── How did that connect to the related VTuber business?

We started the channel in 2020, but the subscriber count didn’t grow at all (laughs). To gather viewers, we tried various strategies on X (formerly Twitter) and Instagram to direct them to our YouTube channel, but they all failed.
During that time, I happened to learn about VTubers on X. Among the team, we discussed, “If we create materials aimed at VTubers and get them to go viral on social media, subsequently, viewers might come to our YouTube channel too.” We decided to distribute simple materials for free. We were met with an overwhelming response, leading us to expand into VTuber-targeted materials.

── And in just 4 to 5 years, “UsanekoMemory” has become synonymous with VTuber materials.

Back then, there were hardly any material providers. Most people preferred to illustrate main characters rather than backgrounds. Therefore, there was still demand, and when considering competitive advantages, I believed we could excel in providing materials.

── What was the turning point for you to gain wide recognition as a material provider?

A major catalyst was the microphone. Up until then, VTubers only had standard dynamic or condenser microphones to place on their desks.
So, we launched a campaign offering a microphone material decorated in a very cute style, and it caught the eye of Hololive’s Lammy Yuki, who then requested the creation of an original microphone.

Since then, the response expanded rapidly, with requests coming in close to 100 a month at times, as outlined below.

── Quite the impressive lineup! Were you able to handle suddenly receiving 100 requests?

It was overwhelming! (laughs). We had only 1 or 2 illustrators, so I quickly increased our manpower.

── It must have been difficult to gather enough manpower to handle all those requests immediately.

Actually, there aren’t many jobs for drawing illustrations related to the so-called two-dimensional content. In Fukui Prefecture, where our company is located, I believe there were none. So while there were team members who wanted to draw character illustrations, they were eager to join because they also wanted to work with art. I think they were drawn to the opportunity to gain practical experience by drawing for a living rather than continuing to create art while working in unrelated jobs.

── I see; you had a competitive edge even in hiring.

That’s right. Generally, most illustrators are freelancers who are assigned on a project basis, and once it’s over, they disband.
Ideally, employment would be with major gaming companies or publishers, but it’s difficult without a history of awards, drawing covers for well-known light novels, or recommendations from school teachers. I believe many people find it challenging to seize that first opportunity.

The Team’s Commitment to being “the Cutest in the World”

── Earlier, we discussed competitive advantages, but with the emergence of digital content sale platforms, the number of material providers has increased dramatically.

It has indeed increased significantly.

── In such a situation, what do you think is the reason “UsanekoMemory” continues to be chosen, aside from being a pioneer?

I think about 80-90% of material providers are individuals. We operate as a company and can exchange ideas as a team, which is our strength.
Moreover, we produce a high volume of ideas. For 2D materials alone, we generate about 10-20 items a week; when adding 3D assets and short video materials, it goes up to 20-30 items a week. In our weekly meetings, we review these ideas with the directors and planning heads, determining which ones to approve or deny. Even if we generate 30 ideas, typically only about 4 get through.

── You’re maintaining strict quality control through rigorous review processes. Is there a benchmark for approval that reflects the “UsanekoMemory style”?

Yes, there is. As a prerequisite, each idea must meet at least one of the following criteria: “the cutest in the world,” “the most unique in the world,” or “something that doesn’t exist yet.” Ideally, it should meet all three, but we may focus on one aspect more strongly at times.
Additionally, it’s crucial to consider whether it aligns with what “UsanekoMemory” should do. For instance, we don’t engage much in graphic design for streaming frames because that falls into a different domain. However, we do make exceptions for design elements that are based around characters since illustrations are essential for that.
Furthermore, we believe it’s our territory to tackle elements that graphic designers can’t create, such as moving glow sticks or illustrations linked with 3D and Live2D.

── Concepts like “cute” and “unique” can differ greatly among individuals. Have illustrators ever insisted on something that didn’t resonate with you as “cute”?

It happens. One time, an illustrator insisted that a sea creature meant to be placed on the head was “extremely cute and should be released as soon as possible.” I honestly thought, “Is this really cute? It looks like a scene with a shark…” but I understood their enthusiasm and approved it.

── There is indeed a quirky cuteness to it (laughs).
I feel that assets like these differentiate themselves in the VTuber market, which is rapidly expanding with more streamers adopting similar worldviews and performances. What are your thoughts on that?

VTuber Entry Gate（※） is often a topic of discussion, but as the number of VTubers increases, it becomes challenging to differentiate based solely on talk skills or planning abilities. Instead, it becomes crucial to focus on creativity in world-building and presentation. I feel that the VTuber genre is also diversifying.
Concerning materials, for example, I aim to explore niche themes or worlds like this “Korean Cuisine Set.”

（※）An audition show for VTubers where Sakai serves as a judge.

── A VTuber eating tteokbokki is quite a rare sight indeed. How much demand was there for this material?

Given that the “likes” on the sales site reached 59, I assume about 5 to 6 units were sold at best. It’s a matter of how far we can adjust to this ultra-niche demand.

── Are you still making them even if they don’t turn a profit?

Yes. I want people to think, “There might be a chance with UsanekoMemory.”

── Is it similar to “Irasutoya”?

Exactly. When niche materials are needed, I want us to be the go-to place. Ultimately, my hope is for UsanekoMemory to be like Village Vanguard, where people stop by thinking, “There might be something interesting here.”

── By increasing the number of niche materials, you’re expanding the pathways for people to discover your offerings. Does that mean there’s a potential to branch out into “cool” or “subtle” aesthetics while maintaining a cute core?

No, that won’t happen. I think our mindset is similar to that of a gaming company; if Final Fantasy suddenly became like Dragon Quest, it would feel off. The cool factor of battle with a super handsome character using swords and magic is what anchors the Final Fantasy brand. Dragon Quest has its own unique appeal, but it isn’t about showcasing coolness.
We’re the same; if we awkwardly blend in other tastes, it dilutes the brand’s value, so we fully commit to “cute.”

── That is what embodies the “UsanekoMemory style,” isn’t it?

VTubers: The Real Challenge Begins After Character Creation

── Recently, the use of VTubers by businesses and local governments has significantly increased.

That’s correct. We are involved in various projects ourselves.

── I believe the trend of utilizing VTubers for promotion will continue to grow. What position does UsanekoMemory aim for within this trend?

Of course, I want to lead the way. However, the main stars should always be the VTubers. Our role is to think about how to make things interesting, what kind of content will be easy for participation, and what materials will ensure a good time for them. Having been in the background supporting VTubers, I think that shapes my perspective.

Creating a character isn’t the end; it’s essential to consider what activities or streams to conduct and how to engage with fans afterward. That aspect tends to be overlooked, and it’s our role to bridge the gap in the misunderstanding that simply creating a character will lead to trends.

── So, if we leave those aspects to UsanekoMemory, we can rest assured.

Yes, I would love for you to do that.

── The fact that you support them from a marketing and planning perspective is a comforting presence for municipalities and businesses struggling with VTuber utilization. How did you cultivate such a keen sense and planning ability?

Thank you. Regarding my planning skills, my background in web marketing might have played a significant role. In web marketing, analyzing what worked well, where the challenges lie, and other aspects based on numerical data is fundamental.
In today’s world, simply creating a product won’t ensure it sells. It’s essential to think about why we are creating it, who will buy it, and what actions we expect after the purchase. That entire flow aligns with the marketing mindset, and I believe that perspective’s application translates to my planning abilities.

Changing the Norms of 3D Live with “Usaneko Style V Live Stage”

── Recently, you’ve been providing a stage material called “Usaneko Style V Live Stage” for 3D live events. Have you seen an increase in event inquiries?

Yes, we’ve received several inquiries from event companies. Typically, preparing a 3D live stage from scratch costs a fortune, but using this asset significantly reduces costs.

This way, events can increase, expanding the opportunities for VTubers, and event companies can utilize the saved budget elsewhere. We’d be thrilled if the stage materials sell well, creating a triple win for all parties involved.

── Do you plan to expand your range of 3D materials further in the future?

Yes, I want to focus significantly on 3D. Live2D has advantages of being easy to use and relatively cost-effective, but there are expressions that can only be achieved through 3D. I believe we are approaching an era where such expressions will become commonplace, and I feel the entire industry is slowly shifting toward 3D as seen with Nijisanji and Hololive.
However, creating environments and characters in 3D incurs high costs, and that’s where we want to step in.
In truly critical situations, completely original creation is best. However, making everything 100% original is difficult due to cost and time constraints, so I’d be happy if people start to think, “Isn’t it okay to use Usaneko for this?” during event planning meetings (laughs).

── By the way, is it possible to request a fully original stage creation?

Yes, we have received such requests and inquiries. However, the costs for complete custom stage designs are significantly higher compared to standard stage materials.

No Need to Give Up Just Because It’s a Red Ocean

── If you have a vision for what you want to achieve as Usaneko in the future, please share it with us.

It might sound abstract, but I want to spread “Japanese cute (KAWAII)” within the 3D industry. For instance, if you search for rabbit 3D model materials, most results tend to be realistic or rigid. I want Usaneko to be recognized worldwide as the go-to for cute rabbits, so that when you think of cute, it’s Usaneko that comes to mind. I’d also like for the hashtag “#JPKAWAIIUSANEKO” to take off!

── I look forward to that hashtag becoming popular.
As someone at the forefront of the VTuber market, I would love to hear your thoughts on future developments that would make things more exciting.

First of all, I think it’s great that the number of VTubers is increasing. People have often said, “It’s not about appearance,” but in reality, we see many situations where appearance matters.
That’s why VTubers can choose their looks free from the constraints of gender or age, and everyone enjoys that uniqueness. Much like in the metaverse, a culture is emerging where people can compete based on creativity, talk skills, reactions, and performance without being bound by appearances, which I see as a positive trend.

Regarding how the VTuber industry may evolve, I believe it will become even more niche. There are already VTubers who specialize in themes like space rockets and aquariums, and I feel there are still numerous unexplored positions available. I anticipate that more uniquely specialized VTubers will emerge.
We don’t see many VTubers related to comedians, but it wouldn’t be out of the question if they appeared. I think it would be great to have a VTuber agency akin to Yoshimoto Kogyō, where even those with mobility impairments could perform comedic acts. There are expressions that only a virtual space can provide.
If corporate support and a culture that embraces diversity can align, I feel we’ll see another leap in evolution.

── While there are voices claiming the VTuber space is a red ocean and that individuals face tough challenges, it appears the market is still set to expand. As a final thought, do you have a message for those who have just started streaming or are planning to start?

First of all, while people may describe it as a red ocean, I don’t feel that way; and even if it were, it depends on how you approach it. There’s no need to give up. What’s important is not just to admire those that came before but to draw inspiration from successful role models while pursuing your uniqueness.
Each year, we see new individual and corporate VTubers gaining attention. If it were truly a red ocean, we wouldn’t see such a phenomenon.
The streaming world still offers numerous opportunities for individuals, so I encourage both newcomers and those already streaming to reflect on “What is something only I can do?” and continue to challenge themselves.

── Speaking with you, I’ve realized that there are parallels between your perspective as a creator and your marketing lens, both of which resonate with VTubers.

I believe they are very similar. Creativity has various means; we express ourselves through illustrations and materials, while VTubers express themselves through streaming. Ultimately, we are all creators, differing only in the value we provide.
We place value in being cute or exciting so that people will utilize our materials, just as VTubers consider how to provide joy to their fans and create unique experiences. Essentially, it is only the products that differ; in a broader sense, everyone is a creator.

── Indeed, VTubers with a strong axis like “UsanekoMemory style” might be closer to success.
Thank you for sharing such insightful information that will be beneficial not just for VTubers but also for those involved in business and management!

Leverage Your Strengths in Streaming with “Alive Studio”

If you’re focused on creating a captivating world as a VTuber, why not also refine your streaming screen?
With the streaming screen design service “Alive Studio,” you can access high-quality materials from “UsanekoMemory” without limitation! You can start streaming with a personalized touch right away.

• Unlimited access to over 1,400 background and small item materials provided by the VTuber material production team “UsanekoMemory”!
• Access to over 100 BGM tracks provided by the music material site “Maou Dama” without limitation!
• Features such as a prompt roulette and counter!
• Access to all features for just 980 yen/month (tax included)!

“I want to make my streams more unique!” “I want to captivate my audience with a screen that matches my world!”
If you feel this way, please give “Alive Studio” a try.

＼ Start with a free 7-day trial! Elevate your streaming to the next level! ／