One way for latecomers to turn things around in Japan
November 28, 2022 at 8:00 PM
This time, I will tell you how even companies that have been late to the Japanese market can reverse the situation.
This article is mainly for companies with tangible products such as gadget companies and cosmetics companies.
If you are one of them, please read on.
Most overseas companies sell through only shopping sites in Japan.
In the case of gadget companies, it is common to start selling on platforms such as Amazon and Rakuten, and cosmetics companies sell it on Qoo10.
Of course, this is not a bad thing. First of all, it is important to secure a place where consumers can buy it in Japan.
However, there have been many competitors and price competition.
In other words, there is a situation of low margin and high turnover, and the company that sells at as lower a price as possible can win.
It doesn't think this is a very good thing for economic activity, but the reality is that when consumers buy products online, they try to buy the same product at a lower price.
There is no problem if the company applies the strategy of low margin and high turnover.
However, some companies are involved in price competition the moment they enter the Japanese market, despite their efforts to increase their brand value in their own country.
Therefore, in order not to be involved in price competition in the Japanese market, we propose to sell products at retail stores. The point to be careful at this time is not to sell the selling price at a bargain price.
It's all about keeping a balance between store prices and online prices.
Since this also greatly affects the relationship value with retailers and wholesalers, it is necessary to decide the price carefully.
As I mentioned in a previous article, Japan has a wholesale culture.
This culture is very distinctive even from a global perspective, so it is necessary to understand the system firmly.
Simply saying that it would be nice to be able to sell at stores does not mean that.
However, by realizing over-the-counter sales, it is possible to win a large amount of trust from companies, and there is no doubt that this will be leading sales expansion.
We also provide consulting for developing sales channels for retail and wholesale businesses. If you are interested, please feel free to contact us.