3 Essential Strategies for Minimally Entering the Japanese Market

Japan offers a substantial market opportunity for businesses of all types. Despite recent economic challenges, the potential for significant sales in Japan remains a compelling prospect that should not be overlooked.

Many companies, understandably, are hesitant to take on the substantial risk associated with their Japanese business endeavors failing. It's a common strategy for business owners to seek entry into the Japanese market with as minimal a risk and investment as possible.

In my experience, a successful SaaS service geared towards the Japanese market often becomes popular among its main customers before these customers are even fully aware of its existence. This means that many such companies don't have a clear plan for expanding their services from the outset.

Our company has successfully navigated this landscape, and I believe these strategies are applicable not only to B2B SaaS services but across other sectors as well.

So, here are three strategies for foreign SaaS companies considering a minimalistic approach to the Japanese market

 1.Employ Bilingual Staff Fluent in Japanese and English

The first and most crucial step is to hire staff fluent in both Japanese and English. Ideally, this person should be versatile enough to work with the global team across various roles. Initially, it's prudent for the company to allocate a fraction of this individual's time – perhaps half or a quarter – specifically to Japanese market initiatives.

A typical day for this employee might include conducting market research and making cold calls to potential Japanese clients in the morning. By the afternoon and evening, their focus could shift to global business tasks. This approach has a dual benefit: it allows for a focused effort on the Japanese market while maintaining a strong presence in global operations. For instance, one of our first bilingual employees played a pivotal role in identifying key Japanese clients and establishing initial contact, significantly boosting our market entry efforts.

2.Efficiently Utilize Part-Time Workers

After establishing a foothold with a full-time bilingual employee, the next step is to efficiently integrate part-time workers. This approach can significantly expand your market presence without overextending your full-time resources.

Part-time workers can be particularly effective in roles such as cold call staff, local market research, and even in assisting with localized marketing efforts. For example, we once employed part-time workers to conduct a targeted Lead quarification staff through online, which resulted in a good amout of Leads.

3.Partner with a Competent Sales or Marketing Agency

If your bilingual staff lacks specific expertise in marketing or sales, partnering with a specialized agency can be an effective solution. This can provide the necessary skills and local market knowledge to enhance your market entry strategy.

Such agencies can offer valuable insights into Japanese consumer behavior, assist in tailoring your marketing strategies to the local context, and even manage key aspects of your sales processes. Our partnership with a Tokyo-based marketing agency, for example, led to a more nuanced understanding of regional differences within Japan, enabling us to tailor our strategies more effectively to different segments of the market.

Wrap-up

While these strategies may not be unique to Japanese business operations, they are particularly relevant for foreign companies unfamiliar with the nuances of the Japanese market. Japan, from my perspective, is somewhat behind in areas like digital transformation, software, and globalization.

I encourage more foreign companies and professionals to enter the Japanese market and engage with local businesses and consumers. If you're interested in exploring opportunities in Japan, please feel free to reach out. I'm always happy to share insights and facilitate connections in this dynamic market.

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