Everyone is thinking everyday about the state of the economy and where the business opportunities lay. The Tokyo Olympics is coming to Japan in 2020 and that means there’s a massive opportunity for Japanese businesses, large and small, to capitalize of the media focus on Japan as well as the large influx of foreigners who will be heading here over the next 5 years.
On that note, I came upon a small news article buried in the very back of a publication. It dropped my jaw. Read on.
Robot55 has been doing video production in Tokyo for Japanese companies that want to target the domestic market, as well as the influx of foreigners heading to Japan’s shores. Long ago, I did promotion, marketing and PR for mostly airlines and travel related industries. I have worked with Delta Airlines, Austrian Air, ANA, Lufthansa, helicopter companies as well as many major hotels and restaurants. Heck I have even made many videos for companies like Domino Pizza and did the voice over narrations on national TV commercials for Smirnoff Vodka, Success, Roomba Vacuum cleaners and many others so I think we at Robot55, have a pretty good grasp of the state of that business.
Excel Air Service offers helicopter rides around Tokyo for a very reasonable price. Highly recommended!
When it comes to airlines, many airlines are cutting routes, services and amenities to passengers. The so-called “premium carriers” seem to be the hardest hit and the mid-class carriers want to change their image to “premium carrier.”
I think there is a big difference between wanting to be a premium class carrier and actually being one. Changing a middle class carrier into a premium one takes much more than a note handed down from corporate; it takes a fundamental shift in corporate culture. Some, of which, by the way, will be impossible for most carriers to accomplish.
On that note, I also am puzzled at how people perceive the term “Kakuyasu” in Japan. “Kakuyasu” means “super discount.” Most people seem to have a bad image in their head about this word, but I think this is nonsense and I also think that perceptions are quickly changing.
While many may gruff and snort at the term Kakuyasu, the public is eating it up. One good example is the discount liquor store that even put the term “Kakuyasu” in its name: Kakuyasu. Kakuyasu is a discount liquor store that originally started out as a family shop in 1921 and was derided as low class when it first incorporated as a chain discount liquor store in 1982. Now they have 140 stores all over Japan and are #1 in liquor store sales… Kakuyasu even outsells 7-11 in liquor sales in Japan!
So, while, still to this day, some people will hold their noses at the term “Kakuyasu,” the public loves it and has turned this particular store into a smash success that has over $860 million dollars (USD) in annual sales.
We at Robot55 are targeting companies that want to make videos for the domestic audience as well as the flood of foreigners coming to Japan in the next 5 years and we aim to do that at a price that blows away the competition. The internet search engines give more weight to webpages that are updated often and that includes videos. Why spend ¥300,000 for one video when we can make your entire annual video campaign, including 3 videos for that price? This video below was made for the incredibly reasonable price of ¥80,000. That includes the entire video production team, editing, music and 100% customer satisfaction.
NOTE:So, while the economy tanks and the old school belittles discount services and products, those services continue to make serious in-roads into to public consciousness and then increase their profitability.
This brings me back to the point of this article and what I set out to write about in the first place. It is an interesting little topic that seems to have slipped between the cracks of the major news outlets. Now, a Chinese Low Cost carrier (LCC) is offering flights from Japan to Chinese for ¥4000. That’s less than the taxi fare is from my home to downtown Tokyo (and that is only about 20 minutes!)
Chinese discount carrierSpring Airlineswill offer a 4,000 yen one-way ticket betweenShanghaiandIbaraki Airport,about 80 kilometers northeast of Tokyo,from September 15 to 29 on a total of 14 flights, it said Wednesday. The discount fare will apply to around 10 percent of the total 180 seats per flight, while fares for other seats are set at between 8,000 yen and 26,000 yen.
Spring Airlines launched chartered flights between the two destinations in July, and has recently received approval from the Ministry of Land, Infrastructure, Transport and Tourism to offer the 4,000 yen ticket.
So, like I said, while some will look down upon and thumb their noses at discount services and products, the public seems to want all it can get…. It reminds me of the old quote about giving the public what they want;
When massive crowds attended the 1957 funeral of L.B. Mayer, the head of MGM, a writer was quoted as saying: “Well, it only proves what they always say, ‘Give the people what they want, and they’ll come out for it.'”
The smart businessman will recognize this for what it is.