Marketing Applied To A Different Culture, The Case Of Japan

938 views
856 views

Published on

0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
938
On SlideShare
0
From Embeds
0
Number of Embeds
4
Actions
Shares
0
Downloads
45
Comments
0
Likes
2
Embeds 0
No embeds

No notes for slide

Marketing Applied To A Different Culture, The Case Of Japan

  1. 1. Marketing applied to a different culture The Japanese example.
  2. 2. Understand local specificities …
  3. 3. Approaching Japan’s specificities Culture Demographics History Education Geography Language
  4. 4. Geography Population density
  5. 5. Geography : hypercentralization « Greater Tokyo » Area : 35 Mn people, world’s most populous urban area
  6. 6. Geography Lesson #1 : open H.Q in Tokyo ! 25% of national population > 40% population below 40 years old most key companies (advertising, distribution, law) have their H.Q. in Tokyo Advantage : need only 1 office in Japan to address most of market, especially for consumer goods, fashion, hightech, telecoms… Hurdle : highly competitive environment :
  7. 7. Geography #2 High Density Scarce Space Innovation
  8. 8. Geography #2 High Density Innovation : capillary Distribution (CONVENIENCE STORES ‘conbini’)
  9. 9. Geography #2 bis High Density Urban Sprawl Convenience stores @ train stations Avg. 2 hours train /day CAPTIVE MARKET FOR : Mobile phone services
  10. 10. Geography #2 bis The mobile phone’s tiny screen is capturing an increasing part of people’s time. « Economics of attention » Japan- mobile penetration http://asie.atelier.fr/telecom/mobilite/article/chiffres-2006-de-la-telephonie-mobile-au-japon
  11. 11. Mobile phone services : Geography #2 bis Mangas, TV, Social Networking
  12. 12. Geography Lesson #2 : Distribution strategy « Conbini « rather than supermarkets http://www.youtube.com/watch?v=reGN92nSNbQ Location Access Frequ. Of Avg. Surface References visit Purchase Supermarket City Car 1-2/week $100 >1000sqm >10,000 (France, outskirts USA) Conbini <5m. Foot 2-3/day $10 100sqm >1000 (Japan) From subway station
  13. 13. Geography Lesson #2 : Distribution strategy 43,667 convenience stores in Japan [2007] : 7-Eleven, Lawson (Mitsubishi Corp.), FamilyMart... Items offered : -most items found in supermarkets (“100 sq meter, 1000 items”) - And : * Courier, or postal service, photocopying, fax. * ATMs. * Utilities and other bills ; tax payment. * Tickets :concerts, theme parks, airlines etc
  14. 14. Geography Some failed experiences : 4 stand alone stores, too http://www.telegraph.co.uk/finance/2726058/Boots-ends-Japanese- venture.html expensive (partner : Mitsubishi Corp)
  15. 15. Vodafone’s failure & takeover by Softbank (Jp)
  16. 16. Geography Lesson #2 : Distribution strategy DANONE relies on Mitsubishi Corp to distribute Volvic
  17. 17. The key role of Trading houses (GTC) in Distribution sōgō shōsha? 総合商社 >50 % of Japan's foreign trade - Domestic sales of the nine largest = 31% GDP - Mitsubishi Corp. : largest company in Japan
  18. 18. The GTC : a key partner to access Japanese Market? Real Estate Transportation
  19. 19. Geography #3 Expensive urban real estate A large market for Luxury brands … why ? In Tokyo : €400/mois €1100/mois Parking space, NOT covered Studio, 30 sqm Avg Salary (30y university graduate : €2000)
  20. 20. Geography #3 Lesson #3 : a large majority of young urban professionals (especially female) live with their parents until mariage, these ‘parasite single’ have very large purchasing power
  21. 21. Geography #3 Lesson #3 : the main market is young women living in Tokyo !! ‘selfish’ Elegant casual popular http://107gou.seesaa.net/category/5172585-1.html
  22. 22. Geography #3 Louis Vuitton Catering for young urban female employees… Hermès
  23. 23. -The longest life expectancy Demographics -1 Mn people turn 65 every year since 2002 - Population starts declining INNOVATION
  24. 24. Demographics
  25. 25. Language and signs
  26. 26. Language and signs Lesson : Innovating by seeking simplicity Retailing of household & consumer goods Distinguished by design minimalism, recycling, no waste and no-logo or "no-brand" policy. *Mujirushi Ryōhin = No Brand Goods http://www.youtube.com/watch?v=qKVA_aM_Bgs Shop in Paris
  27. 27. History + Culture Centuries of ACCULTURATION: (1)Discover/import a foreign product, concept (ceramics, tea, just in time) (2)Improve and innovate on original product/concept #1 : A relentless curiosity towards whatever is FOREIGN : Fine foods Brands Traveling (‘la route des vins en Bourgogne’…)
  28. 28. History + Culture #2 : seek PERFECTION in Services, Products, wrapping very high standards in the services industry : a challenge to foreign newcomers on the market expectations in products quality. packaging / wrapping .
  29. 29. History + Culture 出る釘は打たれる deru kugi ga utareru « the nail that sticks up gets hammered down »
  30. 30. History + Culture #4 : Gregarious purchasing behavior :
  31. 31. History + Culture #3 : a culture of gift making, celebration of effort and shaming of difference. Sankin kōtai (参勤交代 / "alternate attendance")
  32. 32. History + Culture #5 : Leisure and Tourism bring you shame : In 1999; 56% of trips <5day ; 29% : 6-10days 旅の恥はかきすて (« conceal this shameful journey » ) http://www.chusho.meti.go.jp/pamflet/hakusyo/h13/gif/13213432.gif
  33. 33. History + Culture Lesson #4 -A niche : alibi-seller http://query.nytimes.com/gst/fullpage.html?res=9C02E7D9123CF932A25754C0A96F958260&se c=&spon=&pagewanted=all
  34. 34. -A niche : alibi-seller http://query.nytimes.com/gst/fullpage.html?res=9C02E7D9123CF932A25754C0A96F958260&se c=&spon=&pagewanted=all
  35. 35. Distribution -Types channels japan -Train malls : Yokohama queens square -http://www.qsy.co.jp/english/index.htm - -
  36. 36. Subway station. Problem : how to get pedestrian to come to the new commercial area, ‘Ebisu Garden Place’ ‘Ebisu Garden Place’
  37. 37. Subway Airconditioned, covered Walkway « Garden Place »
  38. 38. Reinventing the city : verticalizing the city’s functions Atago Roppongi Hills Shiodome Shanghai
  39. 39. http://www.foodnavigator.com/Legislation/Snow-Brand-Milk-scandal-spirals-downwards Marketing applied to a different culture The Japanese example. Dr Luc BEAL IDRAC-ICAR January 2009

×