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/ Japanese Market Overview
Japanese Market Overview

Japan is the world’s third-largest economy, with a GDP of approximately $4.9 trillion in 2021. The country has a highly developed and sophisticated economy, with a focus on technology, manufacturing, and innovation.

Market share between Google and Yahoo

Google has a dominant market share in Japan’s search engine market, with a share of over 90%. Yahoo Japan, which is a joint venture between Yahoo and Softbank, is the second-largest search engine in Japan with a market share of around 3%.

While Yahoo Japan uses Yahoo’s search technology, it has been customized to cater to the Japanese market, including providing local content and services. Yahoo Japan is also known for its wide range of services, including e-commerce, news, and finance, which can help drive traffic to its search engine.

However, despite its efforts, Yahoo Japan has struggled to compete with Google in the Japanese search engine market. Google’s dominant market share can be attributed to its strong brand recognition, reliable search results, and focus on user experience. Additionally, Google has been able to adapt to the local market by providing local content and services, including Google Maps and Google Translate in Japanese. Even though Yahoo Japan remains a popular search engine and a significant player in the Japanese market, it has been unable to challenge Google’s dominance.

Search Engine Market Share in Japan
Popular SNS in Japan

The most popular social media platforms in Japan are LINE, Twitter, Instagram, TikTok, and Facebook.


LINE is a messaging app that is widely used in Japan, with over 90 million users. In addition to messaging, LINE offers a variety of features, including free voice and video calls, group chats, and stickers.


Twitter is a popular social networking site in Japan, with over 48 million users. Many Japanese use Twitter to share news and information, as well as to follow celebrities and public figures.

Instagram: Instagram is a photo and video-sharing app that is popular in Japan, with over 28 million users. Many Japanese use Instagram to share photos of food, fashion, and travel.


TikTok is a short-form video app that has gained popularity in Japan, with over 20 million users. Many Japanese use TikTok to share funny and creative videos, as well as to follow popular influencers.


While Facebook has a smaller user base in Japan compared to other platforms, it remains a popular social networking site, with over 18 million users. Many Japanese use Facebook to connect with friends and family, as well as to join groups and communities.

Overall, social media platforms play an important role in Japanese culture and offer businesses an opportunity to reach and engage with Japanese audiences. However, it is important to understand the cultural nuances of each platform and to tailor marketing efforts accordingly.

Social Media Market Share in Japan
Opportunities in entering the market as well as challenges a company may face without proper guidance

Japanese digital marketing agencies play a crucial role in helping businesses expand their reach and visibility in the Japanese market. Here are some reasons why:

  1. Understanding of the Japanese Market: Japanese digital marketing agencies have an in-depth understanding of the local market, including consumer behavior, cultural norms, and regulatory environment. This knowledge is essential for creating effective marketing campaigns that resonate with Japanese audiences.
  2. Localization: Japanese digital marketing agencies can help businesses localize their marketing efforts, including website content, social media messaging, and advertising. This ensures that the marketing materials are culturally appropriate and easily understandable for Japanese audiences.
  3. Multichannel Marketing: Japanese digital marketing agencies are skilled in multichannel marketing, which involves reaching consumers through a variety of platforms and channels. This can include search engine optimization, social media marketing, email marketing, and more.
  4. Data-Driven Approach: Japanese digital marketing agencies use data to inform their marketing strategies, including consumer demographics, behavior, and preferences. This approach ensures that marketing efforts are targeted and effective.
  5. Language Support: Japanese digital marketing agencies can provide language support for businesses that do not have Japanese-speaking staff. This is particularly important for creating marketing materials that are accurate and culturally appropriate.

Overall, working with a Japanese digital marketing agency can provide businesses with a competitive edge in the Japanese market by leveraging their expertise in local market knowledge, cultural sensitivity, and multichannel marketing strategies.