One of the largest Amazon marketplaces in the world, Amazon Japan draws vendors from all around.
It makes sense that Japanese consumers adore eCommerce! Out of 128 million Japanese citizens, or around 91 million Japanese eCommerce customers, 71 percent shop online! Thus, it is almost impossible to pass up this chance.
Expanding to Japan is the best option if you already sell on one of Amazon’s other marketplaces and are searching for a fresh approach to extend your clientele. Japan is the ideal market for you, particularly if you wish to enter the first Asian market.
But what must be taken into account before beginning? This comprehensive guide to Amazon FBA Japan contains all the information you require.
Should I learn Japanese?
The answer to the most crucial query is no, you are not required to speak Japanese in order to sell on Amazon Japan! Although it may be useful, it is in no way required.
Let’s examine this subject in more detail:
On Amazon.jp, there is a toggle for the dashboard that allows you to switch between an English and a Japanese interface. It resembles Seller Central almost exactly as it does in the US and the EU.
You can contact the seller support in both English and Japanese, and both are acceptable. However, you might receive more accurate solutions from Japanese cases for more complex issues. Simply employ a local virtual assistant who can help you if necessary.
Product Listings: Please be aware that Japanese translations of your product listings are required. Although you can employ a listing translation service, don’t worry about it. You should definitely go check out our guide on how to locate the finest Amazon listing translation service.
Customer support – It is also necessary to provide support in Japanese. When you choose Amazon FBA, Amazon will handle the majority of the work for you. However, it makes sense to work with an Account Manager who will handle your customer service needs.
What Are the Advantages of Amazon Japan Selling, and Why Should You Sell There, Too?
For eCommerce business owners wishing to expand, Amazon Japan is starting to gain popularity.
This is why:
More clients
Amazon Japan has a huge audience and a market that is expanding steadily. So you have the chance to boost your sales by entering Japan. You may satisfy the expectations of Japanese clients who are accustomed to quick and convenient delivery by using Amazon FBA.
Significant Market
Japan has the third-largest economy in the world. Despite the fact that 71 percent of Japanese people shop online, Amazon FBA presents a fantastic opportunity.
Japanese online shopping
Amazon Japan is unquestionably the best place to start if you are unfamiliar with the Asian market. Despite the language barrier, the consumer culture in other nations, such as the U.S. or the EU, isn’t all that different, so you can mostly use the same methods there. And that’s fantastic!
More money
Your Amazon business will become much stronger overall if you diversify your revenue source by selling on other marketplaces. You can relieve some of the pressure by not relying solely on one market.
Additionally, Japanese consumers are willing to spend more for goods of superior quality. Therefore, if you can provide the proper products, you have a strong possibility of selling with good profits. Here, with high-quality products, you’ll discover your ideal market!
Fewer competitors
On Amazon Japan, there is a lot less competition and less hijacking of private label listings than in other countries like Amazon U.S. This gives you more time to concentrate on the crucial matters.
Selling on Amazon Japan: How to? How Do You Begin?
Selling on Amazon Japan can be a tremendous opportunity, I think that much is obvious. Getting started could be a little difficult because of the red tape, local laws, and other regulations.
That being said, you can’t just get started right away. You’ll need to conduct some preliminary research or rely on the knowledge of an Amazon consultant.
But rest assured—we’ve got your back! Here are some factors to take into account:
Analyzing your objectives and current situation
There must be a unique solution for each growth. So, before you begin, you need to assess your objectives and existing condition.
So, in whatever place are you now and which place do you desire to be? Before continuing, be sure you are able to respond to this question.
Can I Currently Afford to Grow?
Can I even afford to grow my business? is a crucial question to ask oneself at the very beginning.
Selling overseas presents many difficulties and may even need for outside assistance. Your company must therefore be in good shape if you want to benefit fully from the expansion. If that’s not the case, your business will suffer.
We advise not expanding straight away if you’re just starting off as an Amazon vendor. Take your time learning about the entire company model, including all of its highs and lows, then return to this subject later. Additionally, it could be wiser to focus first on English-speaking nations before expanding into other international markets.
Legal and Tax Obligations: Follow the Law and Comply with The rules to Prevent Issues
Make sure the item you’re seeking to sell conforms with all safety and compliance requirements in Japan.
Be warned that some products may have restrictions and may not even be featured on Amazon.jp, while other products may need Amazon’s prior clearance. On Amazon, you may see a list of permitted categories.
You must take care of the tax obligations as you are the seller. According to Japan’s Tariff and Duty Rates System, the Import Consumption Tax is applied to all imported items. Additionally, there may be customs charges on some items. You might also have to deal with the Japanese consumption tax, depending on where you are.
Other Fulfillment Requirements for Your Success: Amazon FBA Japan
You must transport your goods to Japan in order for Amazon Japan to display them. Shipping your own goods involves considerable planning and is very different from receiving goods from other countries. The following are the most crucial details you should be aware of regarding fulfillment in Japan:
You must have an Importer of Record (IOR). An IOR is a person who is in charge of filing the necessary paperwork and paying import taxes and charges. The Japanese government can also request audits from the IOR. Keep in mind that Amazon won’t handle this for you.
You must use delivery duty paid (DDP), which is another requirement. In a delivery arrangement like that, the seller guarantees to cover all costs associated with carrying the items until they arrive at the specified location.
As you can see, you will require assistance from a local organization that must be reputable and trustworthy to manage the fulfillment.
After finishing that, you must choose how to deliver your products to your final customers.
You have a choice between two fulfillment options on Amazon Japan (just like on most other marketplaces)
- When you select the Fulfillment by Merchant (FBM) option, you are in charge of the customer experience, including shipping and returns.
- Fulfillment by Amazon (FBA) – With Amazon FBA, you simply ship your goods to one of their fulfillment facilities, and Amazon handles the rest. Learn more about the FBA costs charged by Amazon Japan here.
As a foreign seller, we strongly advise using FBA because Amazon will handle customer care in the store’s native tongue for you, allowing you to concentrate on other crucial tasks—of which you have many more.
Product Research: Japanese Customers Differ from What You Are Used To
Even though, for instance, Amazon functions similarly in Japan and other places, you must keep in mind that Japanese customers differ from what you are accustomed to. Therefore, conducting thorough product research before entering the Japanese market is essential for success.
Why? Due to the fact that goods that are currently doing well on other markets may have little to no chance in Japan.
Japanese Amazon shoppers, unlike, say, American customers, are interested in different things. They are more concerned about trust than brand. They also give high-quality goods a lot of consideration.
When determining if a product is suitable for the Japanese market, keep it in mind.
It’s possible that you can only sell a different selection of goods there than you can on another marketplace.
It is extremely dangerous and could result in failure to just assume that what works on one market would work on another in Japan. Make sure to investigate a new product before you begin.
We strongly advise hiring an Amazon specialist to confirm that you have identified a product you wish to sell in Japan once you have completed your product study. As a result, there may be less chance of failure overall.
How to Create a Japanese Account to Sell
With Seller Central, you can manage every EU marketplace you want to sell on when you’re selling in Europe.
You may easily connect your current marketplace account to your Japan account if you already have a Professional Seller account. When this happens, selling on different marketplaces will be easier for you because you’ll be able to see all of your international sales on one page and even sync your listings.
You have two selling plans to choose from when creating your Japanese account.
- Amazon Basic Plan – If you select this option, you will only be charged when you sell something. Small sellers that sell fewer than 35 products each month are the only ones who can use it.
- Everyone else requires the Amazon Professional plan, for which you must pay a set monthly charge.
To create an account on Amazon Japan, all you need to do is
- translations into Japanese for your product listings
- your company’s information (name, address, contact information)
- your bank account information, an email address
Do I Need a Japanese Bank Account?
Amazon accepts both American and Japanese bank accounts. Therefore, if you’re a U.S. vendor, you may just utilize your current bank account. You can convert to your own currency with the help of the Amazon Currency Conversion Service.
You must go through the Seller Identity Verification process after registering. As a result, before you can begin selling on Amazon Japan, Amazon will want you to provide specific papers (such as your passport and bank account statements) to confirm your credibility as a seller. Be aware that this procedure could require some time.
Promote your goods to increase sales to Japanese consumers.
Gain more exposure with sponsored products
You can easily advertise on Amazon to boost your listings. Ads are prominently displayed in places where customers are likely to see them, such the first page of search results or the product description page. You submit bids for pertinent keywords, and if your bid is successful and your ad corresponds to the search, shoppers will see it. By highlighting your products to a larger audience, these tailored adverts can assist you in growing your business.
There are two efficient advertising options: Headline Search Ads, which assist registered brand owners in promoting their brands and product lines, and Sponsored Products, which promote specific listings. Both approaches are intended to:
- Assist you in boosting revenue
- Assist clients in finding what they seek
- Make your products known.
- Manage your spending. You only pay when someone clicks on one of your advertisements. Campaign reports monitor the effectiveness of your advertising so you can calculate your return on investment and tweak your budget and bids to obtain the best results.
Conclusion
Selling on Amazon Japan might provide Amazon business a fantastic boost. You have the chance to drastically enhance your earnings by gaining access to a sizable new audience.
However, selling globally isn’t always simple, and you’ll encounter a number of fresh difficulties as a result of global expansion. This is why we advise speaking with a specialist and getting personalized guidance in advance. You will be the best equipped and able to take advantage of every chance if you do it this way.
P.S Check out our article about the best Amazon PPC Software.
