While the Japanese market has some of the world’s largest purchasing power, it is known as a difficult market for foreign companies to enter. In fact, a 2025 domestic consumer awareness survey conducted by Deloitte confirmed that consumers are becoming more cautious than ever before in their purchasing behavior due to changes in the environment.

Foreign brands are increasingly looking overseas due to:

Given this background, in today’s Japanese market, trust and confidence in a company or product, in other words, brand, have become important factors in purchasing decisions. Therefore, we will explain in detail how foreign companies can build their brands to succeed in the Japanese market, which is very different from the Western market.

Why Brand Building is Important in the Japanese Market

The reason why brand building is important in the Japanese market is that Japanese users are culturally highly risk-averse, and often base their purchasing decisions on “trust” and “quality” above all else. In order to avoid failure, Japanese users tend to make purchasing decisions only after thoroughly checking a company’s reputation and social credibility.

Foreign brands often scale fast with:

Japan has the opposite environment—where brand is not an accelerator, but the entry ticket.

Therefore, simply competing on product specifications or pursuing low prices will make it difficult for new companies to overcome the barriers to entry into the market. Steadily building a brand through a commitment to honesty, attention to detail, and long-term after-sales support for customers will lead to success.

Differences Between the American and Japanese Markets

The standards by which brands are evaluated differ greatly between the American and Japanese markets. For example, strategies that emphasize a “strong message” or “short-term results” that are effective in the United States often have the opposite effect in Japan.

This is because of differences in cultural values, such as individualism versus collectivism, direct communication versus context-based communication. Here, we will explain the essential differences in brand building in these two markets.

Individualism and Collectivism

One of the fundamental differences between the American and Japanese markets is individualism versus collectivism. In America, emphasis is placed on the benefit of the individual, on how a product can improve an individual’s life and differentiate them from others, whereas in Japan, harmony is prioritized, and building trust with those around you is the standard of behavior, rather than standing out.

• Personal branding
• Creator economy
• DTC “founder-led” storytelling

These approaches often fail in Japan unless reframed around group benefit and shared trust.

Therefore, when building a brand in Japan, it is more effective to emphasize ties to family and community rather than asserting personal superiority, and to demonstrate that you are a “trustworthy presence” that does not disrupt group harmony.

Hard Sell and Soft Sell

The American communication style is “low context.” It is necessary to clearly communicate the product’s features, benefits, and competitive advantages. They prefer the so-called hard sell. On the other hand, the Japanese style is a “high context” culture that emphasizes context and reading between the lines. In Japan, direct sales pitches and comparisons with competitors are often considered “aggressive” or “vulgar.”

• Conversion-optimized landing pages
• Aggressive CTAs (“Buy now,” “Limited offer”)
• Comparative SaaS advertising

These tactics can actively reduce trust in Japan.

In other words, an “indirect” approach (soft sell) through emotional storytelling and creating an atmosphere is more effective than blatant persuasion. In this way, in the Japanese market, it is important to build trust in your brand using implicit messages rather than verbal explanations.

Differences in Purchasing Decision Processes

In the US, efficiency, such as cost performance and convenience, is prioritized. Therefore, if better conditions are available, there is little resistance to switching to a new brand. On the other hand, Japanese users tend to view purchasing behavior as building long-term relationships with companies.

Even in Japanese B2B:

• Decision-making is slower
• Consensus matters
• Long-term vendor trust outweighs short-term ROI

Therefore, while price appeal is important in Japan, it is even more important to promote the company’s honesty and the quality of its after-sales service. In this way, it is important to provide services that give users peace of mind.

Visuals and Information

In the US, simple designs with bold visuals and minimal text are preferred, and clear, direct messages are effective. On the other hand, in the Japanese market, “high information density” that includes detailed product information and company background leads to credibility.

Japanese users want detailed information before purchasing to avoid mistakes, so it is appropriate for websites and advertisements to include a lot of text and photos. Conversely, if there is little information, there is a risk that they will feel distrustful. In this way, in Japan, attention to detail and providing reassurance in design have an impact on conversions.

These cultural and behavioral differences become even more pronounced in B2B and SaaS markets, where trust, continuity, and organizational risk play a decisive role.

Brand Building in the Japanese Market for B2B and SaaS Companies

While many of the principles discussed above apply to both B2C and B2B, brand building in the Japanese market is especially critical for B2B and SaaS companies. This is because purchasing decisions in Japan are not made by individuals alone, but through multi-layered internal consensus involving procurement, management, and end users. As a result, brand trust often outweighs short-term performance metrics or feature superiority.

In the U.S. and other Western markets, B2B and SaaS growth is frequently driven by speed—rapid proof of ROI, aggressive outbound sales, free trials, and frictionless onboarding. However, in Japan, these same tactics can create unease rather than confidence. Japanese companies are highly cautious about adopting systems that may affect internal workflows, security, or long-term operations. As such, they seek reassurance that a vendor will remain stable, responsive, and committed for years to come.

Trust Before ROI in Japanese B2B Purchasing

In U.S. SaaS sales, it is common to lead with measurable outcomes such as cost reduction, productivity gains, or time savings. In contrast, Japanese B2B buyers often prioritize vendor reliability, continuity of support, and risk mitigation before evaluating ROI.

For this reason, it is important to communicate:

Rather than positioning your product as a “disruptive solution,” framing it as a safe, proven, and steadily improving partner will resonate more strongly with Japanese decision-makers.

Consensus-Driven Decision Making and Longer Sales Cycles

Japanese B2B and SaaS purchasing decisions typically involve multiple stakeholders across departments. Even if the end users see clear value, final approval often requires alignment among IT, procurement, compliance, and senior management. This consensus-driven process naturally leads to longer sales cycles compared to the U.S.

As a result, brand building plays a crucial role in maintaining momentum throughout the decision process. Consistent messaging, detailed documentation, and repeated touchpoints help reduce internal friction and uncertainty. Companies that rely solely on short demos or trial conversions may struggle, while those that invest in education, seminars, white papers, and localized case studies are more likely to succeed.

Importance of Domestic Case Studies and References

For B2B and SaaS companies, overseas success—no matter how impressive—has limited persuasive power in Japan. Japanese buyers strongly prefer domestic implementation examples, even at a smaller scale.

Securing just one or two Japanese customers and turning those relationships into detailed case studies can significantly improve brand credibility. Logos, testimonials, and quantifiable results from Japanese companies signal that your product is already accepted within the market, lowering perceived risk for future buyers.

Localization Beyond Language for SaaS Products

In B2B and SaaS branding, localization goes far beyond translating the UI or website into Japanese. Japanese users expect:

Additionally, Japanese enterprise customers often evaluate how well a SaaS product integrates into existing systems and processes. Demonstrating compatibility, security compliance, and long-term support readiness strengthens brand trust far more than emphasizing cutting-edge functionality.

Key Points for Building a Brand in the Japanese Market

To build a brand in the Japanese market, measures that simply aim to increase awareness will not work. This is because Japanese users place more importance on values such as trust, quality, and ongoing relationships than on the product itself. Therefore, simply bringing in methods that have been successful in overseas markets will not produce the results you expect. Here, we will explain the key points to keep in mind to become a brand that is chosen in the Japanese market.

Commitment to Reliability and Quality

One of the key points in building a brand in the Japanese market is to focus on trust and quality. The quality that Japanese users seek is not just high-quality product specifications, but also includes beautiful packaging and customer service based on the spirit of “omotenashi.” Even the slightest defect or dishonest behavior risks leading to fatal distrust.

In this way, companies should be determined to consistently provide high-quality products to the market and strive to present highly transparent information. It will take time, but the trust they build will lead to a strong brand.

Providing Social Proof

Japanese users place importance not only on the information released by companies, but also on third-party evaluations that support that information. Specific examples include user reviews and rankings on sites like Amazon, Rakuten, and @cosme. Other important objective perspectives include a product’s history of receiving prestigious awards, the opinions of influencers, and media endorsements.

Japanese users tend to be afraid of failure, so they don’t want to be the first test subjects. Therefore, the key is to provide a sense of security that “it is socially accepted” and “everyone is choosing it.”

What to do First to Build Your Brand

When it comes to successfully building a brand in the Japanese market, the initial steps you take will have a major impact on the outcome. Here, we will explain the first things that foreign companies should do when entering the Japanese market. Please consider these points when entering the market.

Customer Understanding

Patterns that have been successful in Europe, the United States, and other regions often do not work in the Japanese market as global personas don’t localize well in Japan.. Therefore, it is necessary to reset your current strategy and rebuild it to suit the unique characteristics of Japan. In order to build a strategy, it is important to understand Japanese customers. For example, Japanese customers have strict quality demands, are risk-averse, and have high brand loyalty, even by global standards. This kind of market research and customer understanding is the most important step in building a brand.

Establishment of a Japanese Corporation

Establishing a corporation is extremely important in gaining credibility. Establishing a local corporation is a prerequisite for hiring Japanese staff, and is also important for establishing “payments in Japanese yen” and “contracts in Japanese.” Foreign companies often delay this to “test demand.” In Japan, delay = lack of commitment. While entering the market through an agency or cross-border e-commerce is an option in the early stages, to ensure a stronger brand, you should aim to establish a Japanese corporation as early as possible.

Create a Success Story (Case Study)

Create success stories in Japan as early as possible. Japanese users tend to be risk-averse, so they want to make sure that the points a company is promoting are also effective in Japan. Japanese users place more importance on specific domestic implementation and success stories than on stellar performance overseas. As mentioned above, many Japanese people often base their purchasing decisions on whether other users have purchased the product, so create success stories as early as possible.

Points to Note When Building a Brand in the Japanese Market

With the right strategy, it is possible to build a brand in Japan, but if you get the premise wrong, there is a risk of failure. In particular, simply importing measures that have been successful overseas or rushing to achieve short-term results can damage the “trust” and “security” that Japanese users value. Here we will list common mistakes that overseas companies tend to make in the Japanese market and explain points to be careful of when building a brand.

Hard Sell Development

In the Japanese market, comparative advertising and “hard selling” tactics, which are common in the West, should be avoided as they risk significantly damaging your brand’s reputation. Japanese users have a culture that values “wa” (harmony), so tactics that directly cite competitors to assert your superiority will be seen as “aggressive” and will result in resentment.

Furthermore, “hard sells” that directly appeal to product features and benefits tend to be perceived as “pushy” and put off cautious Japanese consumers. Therefore, your basic approach should be a “soft sell,” which emphasizes emotional connection, storytelling, and atmosphere rather than logical persuasion.

Rush for Short-term Results

Seeking short-term cost-effectiveness or pursuing rapid expansion is a major risk. Japanese business culture is conservative, and customers expect long-term relationships of trust before making a purchase. Therefore, in the early stages of your market entry, focus on building relationships with early adopters and creating success stories rather than focusing on sales figures. Rushing to achieve results by assigning excessive sales staff or selling without sufficient customer relationships will lead to a decline in your brand.

Brand Building FAQs

Here we will answer some frequently asked questions about brand building in the Japanese market. If you are considering entering the Japanese market, these are all important points you should know in advance.

Q. Are Japanese users price sensitive?

Due to factors such as rising prices, people are becoming more price-sensitive. However, rather than simply being “cheap,” it is important that customers are “satisfied with the price.” Even if the price is high, there is a good chance of conversion if the reason for the price is clear. Conversely, even if the price is low, if there is no explanation of the reason or background, it can lead to distrust. Therefore, in the Japanese market, rather than thinking about lowering the price, it is important to carefully explain “why the price is what it is.”

Q. Do I need a local partner?

Localization is not translation—it’s interpretation. To build a brand in the Japanese market, a partner in Japan is important. This is because, more than just the accuracy of the language, the implicit assumptions, expectations, and preferred tone of expression in Japan are significantly different from other countries. Judging things solely based on overseas common sense can easily create a sense of incongruity, and brand building may fail. By doing business with a local partner, you can adjust your message and prevent misunderstandings, leading to the creation of a strong brand.

Q. Are Japanese people conservative about new brands?

Japanese people are cautious about new brands. It’s not that they reject newness in itself, but they take their time to determine whether a product is truly trustworthy and whether they will be able to use it for a long time without any problems. For this reason, they often don’t immediately purchase after their first contact. As a company, you should value consistency in information and third-party evaluations, and aim to first create a sense of security.

Q. Is customer support important?

Customer support is extremely important in Japan. It has as much or even more of an impact on brand reputation as the product or price. When a problem arises after a purchase, whether or not the brand can be trusted is determined by whether or not they respond properly and honestly. The speed and courtesy of the response are perceived as a reflection of the brand’s attitude.

Summary

Building a brand in the Japanese market cannot be achieved through short-term sales or flashy marketing measures. Japan rewards patience. To be chosen by discerning Japanese users, you need to build a sense of security through social proof and long-term after-sales support, based on “trust” and “quality” as trust compounds. Reset the success model that worked in the foreign market and take the time to build relationships by gaining a deep understanding of Japan’s unique culture, values, and purchasing behavior. Brands that adapt win defensible, long-term market positions. While not a fast win—Japan is one of the most durable markets if done right.

Author Profile

International Web Consultant Paveena Suphawet

A trilingual professional in English, Thai, and Japanese, she has numerous achievements in international SEO. She studied the latest IT technologies at Assumption International University, Thailand, and majored in International Business at the University of Greenwich, UK. Following her tenure at ExxonMobil’s Thai branch, she became a key member of Admano from its establishment.

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