6 Bridges to Selling on Amazon Japan

Author

Gary Huang
March 31, 2025

6 Bridges to Selling on Amazon Japan

Amazon Japan is the second biggest Amazon marketplace in the world, with the 4th largest GDP globally and a massive population of 126 million. What's even better? There's far less and weaker competition there compared to marketplaces like the US.

Today I’m walking through the 6 Bridges to Selling into Amazon Japan plus a crucial step to determine if your product is the right fit.

Why Sell on Amazon Japan?

Let's quickly recap why Japan is a marketplace you should seriously consider:

  • Massive Market: Japan is the 2nd biggest Amazon marketplace globally. (Source Smartscout)

  • Strong Economy: It boasts the 4th largest GDP in the world.

  • E-commerce Adoption: A high e-commerce penetration rate of 74% means 93 million online shoppers.

  • Growth Potential: E-commerce in Japan is forecast to grow at a yearly rate of 6%.

  • Less Competition: Competition is less sophisticated compared to the US and EU. Chinese sellers often have crude, non-localized translations. Japan ranks number eight in terms of competition level, despite being the fourth biggest Amazon market.

  • Lower PPC Costs: Overall, PPC costs are lower compared to the US. We've seen average CPC as low as $0.29 per click.

  • Logistical Advantages: Faster shipping from China to Japan (7-10 days) compared to the US (30-45 days).

  • Favorable Trade: No US-China tariff issues. Japan has free trade agreements with numerous countries like India, Vietnam, and Thailand, potentially leading to lower or even zero duties.

The 6 Bridges to Amazon Japan

Let's break down the steps to successfully enter the Japanese marketplace:

Bridge 1: Product Market Fit

This is the key to getting started. You need to determine if your product will sell in Japan.

  • Research Japan market size for your product category. Use Amazon's Product Opportunity Explorer to gauge market size based on Japanese keywords. This data is direct from Amazon.

  • Analyze competition levels in Amazon Japan.

  • Compare bestsellers between the US and Japan.

  • Identify product modifications needed for the Japanese market.

  • Determine if your price point works in Japan.

  • Utilize tools like Jungle Scout, Helium 10, and Data Dive, all of which support Amazon Japan for keyword and competitor analysis.

  • Browse amazon.co.jp and change the language to English to understand the competitive landscape.

  • Use YouTube to see how Japanese people use products similar to yours. Search for terms like "Japanese Kitchen tour" to observe real-life usage and identify potential issues like size constraints (small kitchens, no ovens or dishwashers are common). Consider if your product SIZE is compatible with Japan. Very LARGE or Oversized products may not have product market fit.

  • Be aware of cultural differences. For example, taco holders are unlikely to succeed due to low demand for tacos in Japan.

Bridge 2: Import and Compliance

Navigating regulations is crucial.

  • Check if your product falls into regulated categories: Pay close attention to Supplements, Cosmetics, Medical devices, and Plastic products that touch food or drink. These categories face more scrutiny.

  • Identify compliance testing requirements. Costs depend on the size and complexity of the product.

  • Find and engage a Japanese ACP (Attorney for Customs Procedures). You don't need to register a company in Japan or be based there to sell.

  • Determine duties and import taxes. Remember, Japan has free trade agreements that can significantly reduce these costs.

  • Confirm product labeling requirements.

Bridge 3: Localization ("Japanification")

Going beyond simple translation is key to connecting with Japanese customers.

  • Get professional Japanese translation of listings, ideally from someone with Amazon SEO and translation experience.

  • Adapt product images for Japanese market preferences, sometimes using Asian models.

  • Localize product features to highlight what matters to Japanese customers.

  • Research Japanese keywords for your product.

  • Create culturally appropriate A+ content.

  • Consider the example of KFC being a popular Christmas dinner in Japan, illustrating the importance of cultural adaptation.

  • While English branding can have a "cool factor," ensure instructions are in Japanese.

Bridge 4: Shipping, Logistics, and 3PLs

Efficient logistics will impact your profitability.

  • Select a shipping route to Japan. Benefit from faster shipping from China (7-10 days).

  • Find a reliable 3PL partner in Japan.

  • Set up Amazon FBA Japan account. FBA works similarly to other marketplaces.

  • Plan initial inventory quantity. Shorter lead times allow for smaller, more frequent orders.

  • Understand FBA requirements and fees in Japan. FBA fees are generally lower than in the US.

  • Japan has super efficient logistics.

  • Leverage Japan's trade agreements to potentially benefit from lower duties or even duty-free entry, especially if sourcing from countries like India, Vietnam, or Thailand. Using a Japanese ACP can help you take advantage of these agreements.

Bridge 5: Launch Strategy

A strong launch gets you visibility.

  • Transfer US/EU marketplace reviews to Japan for the same ASIN. If you have at least 300 reviews, this provides a significant advantage.

  • Set competitive pricing strategy.

  • Prepare launch promotions specific to the Japanese market.

  • Create initial PPC campaign structure.

  • Set timeline for market entry phases.

  • You need fewer reviews to compete in Japan due to less competition.

Continuous optimization drives growth.

  • Launch Amazon PPC campaigns specific to Japan. Costs are generally lower than in the US/EU.

  • Identify potential Japanese influencers in your niche, especially on YouTube and TikTok. Twitter (X) is also significant.

  • Establish presence on relevant Japanese social platforms. The #1 app in Japan is LINE, with high market penetration. Building an audience on LINE is crucial for promotions. Facebook has lower penetration in Japan.

  • Create a Japan-specific promotional calendar.

  • Monitor and adjust based on initial performance.

Will Your Product Sell in Japan? Take the Amazon Japan SCORECARD!

Before diving into the 6 Bridges, the most critical step is to assess your product's potential in the Japanese market. You can do this by using the Amazon Japan SCORECARD. This scorecard features 12 yes or no questions to give you a quick gauge of whether Amazon Japan is a great opportunity for your business in 2024.

This Amazon Japan SCORECARD can provide valuable insights and help you minimize risks as you consider expanding into this exciting and promising marketplace.