The "download service documents here" (something like サービス資料ダウンロード) call to action part is true. But everything else sounds like a marketing fluff for the company in the article. Like yes, the process is longer, but it's mostly due to risk-aversiveness of most of the companies.
One thing I agree with the Japanese on is that documentation is king! One major reason I decline various software demos or testing opportunities is the lack of proper documentation or screenshots. Maybe it's because I am from SEA; I tend to hesitate to confront people or ask questions, especially during a demo.
Great insights on selling SaaS in Japan! I found the emphasis on documentation being "king" particularly valuable, especially how it helps those who hesitate to ask questions during live demos. It’s a good reminder that GTM strategies must be tailored to specific cultural and regional nuances.
I run a successful SaaS biz in Japan. Its possible, but its waaay hard. The article is right in principle. Unless you are 110% all in on localizing and hiring lots of local staff, to the extent that you will give up priorities in other markets, its not worth trying. Otherwise a local player will eat your lunch.
A consultant like Nihonium or whatever wont be able to help you really. Like any good consultant, they will be there to tell you things you already know. The motivation to do it needs to come fundamentally from your own company.
And even after doing all that, VCs will still undervalue your company vs a similarly sized US company.
This is really interesting! Japan is such a unique market for SaaS.
From what I've heard, the biggest challenges are:
- Preference for local payment methods (not just credit cards)
- Need for Japanese language support (not just UI, but customer service)
- Relationship-based sales culture (can't just do self-serve)
Curious what your experience has been. Did you need a local entity to close enterprise deals? And how important was having Japanese-speaking support staff?
I'm still pre-launch, but I've attended (and presented at) a couple conferences / industry events for my SaaS in Japan. You can get a lot of traction by getting out there and actually talking to people. Networking is important (probably this is the same anywhere?) and talking to other presenters is as important as talking to potential customers, because you can get that relationship going for mutual benefit.
Local payment methods seem to be a really huge thing. For instance, I'm told that in India most people want to use Google Pay, and even street vendors have QR codes at their stalls. If anyone can weigh in on that I'd love to hear about it.
Those QR codes are for a payment method called UPI that is managed by a conglomerate of banks (NPCI), with the blessings of the Reserve bank. Google Pay, PhonePe etc are apps that are interoperable and allow P2P or P2B payments by scanning a code. The payments are instantaneous and free; at least for P2P scenarios. Anyone with a bank account can sign up for any of the UPI apps and generate a QR code using which they can accept payments from anyone and this drastically reduces the effort it takes to join the digital payments economy.
Working in that area in Japan. I think I can provide some answers.
Payment: CC are mostly used for BtoC but if you are a BtoB SaaS you want invoice and a local presence (ie no tax or currency shenanigans for your customer).
Hand on sales: Don't expect customers to sign up for a free plan and convert. Your conversion rate will be close to 0. Mostly scammers. Instead: Contact form, Cold call, go out to events, lots of drinking.
Regarding language: Many people do not speak English. I think that surprises some, but Japan is big and you can live forever happily only speaking Japanese. So if you don't support Japanese it's a complete no go.
As if the european market didn't consist of dozens of languages, legislations, cultures and histories.
> When should a SaaS company consider reaching out to Nihonium?
Aah, that's what the article is about
A consultant like Nihonium or whatever wont be able to help you really. Like any good consultant, they will be there to tell you things you already know. The motivation to do it needs to come fundamentally from your own company.
And even after doing all that, VCs will still undervalue your company vs a similarly sized US company.
From what I've heard, the biggest challenges are: - Preference for local payment methods (not just credit cards) - Need for Japanese language support (not just UI, but customer service) - Relationship-based sales culture (can't just do self-serve)
Curious what your experience has been. Did you need a local entity to close enterprise deals? And how important was having Japanese-speaking support staff?
Local payment methods seem to be a really huge thing. For instance, I'm told that in India most people want to use Google Pay, and even street vendors have QR codes at their stalls. If anyone can weigh in on that I'd love to hear about it.
Payment: CC are mostly used for BtoC but if you are a BtoB SaaS you want invoice and a local presence (ie no tax or currency shenanigans for your customer).
Hand on sales: Don't expect customers to sign up for a free plan and convert. Your conversion rate will be close to 0. Mostly scammers. Instead: Contact form, Cold call, go out to events, lots of drinking.
Regarding language: Many people do not speak English. I think that surprises some, but Japan is big and you can live forever happily only speaking Japanese. So if you don't support Japanese it's a complete no go.
You don't even need a middleman. Your regular bank app also directly supports UPI payments.