A Glimpse into Japan's Growing Market
We recently hosted the Amazon Ads Tech Partner Day in Japan. This event brought together industry leaders, advertising experts, and tech enthusiasts to explore the future of digital advertising in one of the world's most dynamic markets.
Event Summary and Key Takeaways:
Innovative Advertising Solutions: The event showcased the latest advancements from Amazon Ads Partners, including Pacvue's announcement that their tool is now in the local language. Other tech providers present were Perpetua, Quartile, Acorn-i, m19, negocia, and Ubun, all of which showed their dedication to the region.
Expert Panels and Discussions: The discussions highlighted the importance of understanding local market nuances and adapting global strategies to meet regional needs. Speakers included Nate Shurilla, 樽谷啓吾, Yusuke Kashiwagi, Misa Konishi, Isao Hirota, Kaori Iino, Hirotoshi Matoba, Mizuho Koike, tomoaki tanaka, Yiping Cheng, and Yasunori Kaneko.
Success Stories: Several brands shared their success stories, illustrating the potential of Amazon's advertising solutions. These case studies provided concrete examples of how businesses have successfully entered and thrived in the Japanese market by using Amazon's tools and services strategically.
Challenges and Solutions: Common challenges for advertisers include managing time to keep up with updates, analyzing comprehensive data for campaign optimization, and managing costs. Solutions from Tech Partners address these challenges by automating ad operations with AI, simplifying data integration, and providing tools for budget allocation and profitability management. The point of this day was to highlight these solutions.
Japan: A Market of Opportunities
If you are not familiar with Japan, I encourage you to check it out. I had the opportunity to visit last year and connect directly with brands, agencies, and tech providers. Japan presents a unique opportunity for businesses looking to expand internationally.
Did you know that Amazon Japan is the 4th largest Amazon Marketplace? Additionally, Japan boasts the 3rd largest GDP in the world, with an impressive eCommerce penetration rate of 74%, expected to grow at an annual rate of 6%. The B2C e-commerce market in Japan's retail sector is expanding at a CAGR of 10.8%, significantly outpacing the overall B2C retail market growth rate of 6.2%. Internet advertising expenditure has been growing at an average annual rate of 13.6%, far outpacing the overall advertising market growth rate of 2.3%.
Are you selling in JP? What tips would you provide for someone looking to expand into this market?
Here are my 9 tips for Japan expansion:
1) Understand the Culture
2) Localize Your Content
3) Leverage E-commerce Trends
4) Focus on Mobile
5) Utilize Data and Analytics
6) Build Brand Trust
7) Engage with Local Influencers
8) Packaging Matters
9) Understand Regulatory Requirements
Bonus! Patience is Required