Japan Market Research: The Untapped Potential
For many international companies, doing business in Japan or expanding into the Japanese market requires conducting thorough market research to enable them to build profitable alliances within this unique and rewarding landscape.
To ensure businesses can navigate the multifaceted dimensions of conducting business in Japan, having a market analysis service as a guide gives insight into the top sectors and industries but also helps you to understand consumer behaviour, cultural nuances, and the ever-evolving opportunities that lay hidden and untapped in this rich landscape.
Top sectors and industries in Japan
Japan’s business sphere is vast, diverse, and confusing, especially for first-time investors. However, the following are the top 5 industries/sectors if you intend to do business in Japan:
Precision Equipment
This caters to companies or businesses related to manufacturing, engineers and scientific research that deal with accuracy. It ranges from optical and measuring instruments, semiconductors to medical devices.
Manufacturing sector
Japan is one of the most diverse manufacturing powerhouses, using innovation and collaboration to enhance product quality and performance. This sector also consists of automobiles, consumer electronics, chemical equipment, and heavy machinery.
Technology
Japan’s ability to use technological advancements to respond to the changing market while catering to diverse industries and brands has set them apart. With companies like Nintendo, Sony, and Rakuten at the forefront, it is also leading in other sectors like robotics, biotechnology, and nanotechnology.
Renewable Energy
Despite policy uncertainties, Japan’s renewable energy sector continues to attract investors as it positions itself as a global powerhouse in transitioning into a sustainable energy future. The country’s shift to renewable energy sources leverages its ability to combine various sources, including solar, offshore wind power, and water, while gradually reducing its dependency on nuclear power since the Fukushima Daiichi nuclear disaster in 2011.
Electronics
As the global leader in electronics for ages, this sector is particularly significant for investors with a target audience. With the array of products, conducting target audience market research is necessary to maximise brand positioning and awareness and build customer loyalty.
Understanding Japan’s Consumers
Like every potentially new business sphere, conducting Japanese consumer research is crucial to understanding Japan’s marketing intricacies and overcome the challenges.
From lost in translation to market success – the power of localised market research
Japan’s unique marketplace breaks the norms of one-size-fits-all. In addition to simply navigating the possibilities hidden in plain sight, localised market research is fundamental. This is crucial in understanding the culture, gestures, language, and communication patterns to help you design tailored marketing campaigns that resonate with your demographic. After all, the more you know your customers, the more you can drive campaigns according to their behaviour.
Beyond Words: Understand the cues of unspoken gestures
While a survey into Japan’s market will unveil fascinating insights about a location and its possibilities, the best business advice is left unsaid and usually embedded in unspoken gestures and cues at each meeting, dinner, or social gathering. In these moments, one will notice how Japanese people enjoy personalised experiences, value nature and harmony, and the quiet impact of online influencers. So, to break into this market, one must learn to embrace the silent cues and ethnography of unspoken desires to help your business connect to the consumer on a deeper, emotional level.
Beyond Innovation: Unveiling Hidden Opportunities
Just like its culinary scene that caters to different preferences and taste buds, Japan is a crucible of innovation, thriving creative industries, and an ever-evolving consumer culture, which also boasts of the world-leading technology space. Its in-depth research into the next-generation solutions, cutting-edge robotics, and ground-breaking opportunities in sectors healthcare, artificial intelligence/machine learning, and more cannot be overlooked. This marketing space is your leverage point to deliver global innovation that will propel your brand to the forefront of current and emerging markets.
Japan’s Market – A stepping stone for tomorrow’s business success
Despite the challenges associated with breaking into Japan’s market, international trade contributes to the growth of the economy. While the rewards are enormous, the opportunities and possibilities are endless:
- It is the second-largest consumer market with a high purchasing power to match the world
- A population of 122 million potential customers with a diverse but unique preference for any market
- Gain access to a market where high quality, durability, and consumer loyalty matter the most
- Establish your brand’s persona in a competitive market as a leader with diverse possibilities
- Access to cutting-edge tools and partners to help build a sustainable business
FAQs
What factors contribute to Japan’s untapped market potential?
There are quite a couple of reasons, but its robust infrastructure, support from the government, a rich loyal consumer base, technology and innovation, and its culture all play a vital role in businesses succeeding in Japan.
How sustainable are Japan’s emerging markets for potential businesses?
Even though there are plenty of opportunities for businesses, it requires certain factors and commitment to meet the needs of the consumers and society. Additionally, a surge in sustainable practices and thorough market research make it seamless for many investors looking to conduct business in Japan.
What common challenges do companies encounter during marketing research in Japan, and how can they be overcome?
Like many other global markets, problems like understanding their culture, consumer behaviour, and complex business regulations and legal framework are common stumbling blocks. However, with GLOBAL ANGLE, any business person can get an in-depth insight into any market, including Japan’s extensive market dynamics.
How can decision makers identify specific industries with promising opportunities for growth in Japan?
The entire industries in Japan offer promising opportunities for investors. However, with the current trend, the healthcare sector, renewable energy, technology, manufacturing, and e-commerce are worth looking into. Furthermore, to get accurate insight into what each industry offers and the hidden potential for profits, conducting market research in Japan by GLOBAL ANGLE will help you identify the right market for your business or brand.
How does GLOBAL ANGLE conduct market research to uncover hidden potentials in Japan’s market?
We employ innovative and strategic methods such as local market intelligence, business matchmaking, and SNS analysis. We also provide consulting services for local talent management, digital marketing, and business expansion support. Our insights ensure that decision makers are ready to dive headfirst into the market with a competitive advantage over their rest.
What can GLOBAL ANGLE do for Japan’s market research?
It is paramount that business people know that understanding the Japanese business market is beyond punching numbers and taking surveys. While both play a crucial role, cultural differences, connections, and consumer loyalty can make your business great. At GLOBAL ANGLE, our comprehensive market research ensures you avoid all common mistakes and successfully enter the Japanese market hitch-free.
Additionally, with our expertise, we can:
- To conduct localised research tailored to your brand and demographic
- To provide all deliverables in your preferred language
- To support you from start to success as you blossom in the Japanese market
Are you looking to know more about the Japanese business market? Use our market Research Calculator today for proper insight into the Japanese market.
