1. Japan’s Market Insights & Building a Brand Image:
Lessons learned from Kellogg’s and McDonald’s
Ken G Kabira
October 22, 2008
Invest Japan

2. Welcome to Chicago

3. Why are they successful in Japan?

4. The process to create and retain customers
Marketing is:
The process to create and retain customers
It’s about building an enduring relationship with customers which produces profitable revenue 4 4

5. Enduring story always delivers an emotion
What is a global brand?
A brand is a story that travels with a place, product or service which creates and sustains a unique emotional attachment with its users
Enduring story always delivers an emotion
Story that can travel across borders

6. Based on enduring human truths that transcends the culture of origin
Basis of a global brand
Based on enduring human truths that transcends the culture of origin
Aspire to have a simple, uniform brand positioning around the world
Optimism, Family, Nutritious Breakfast
Fun, Fast, Affordable

7. Advantage of a global brand
It helps you be more competitive by having more sources of ideas focused on a single brand idea
Idea
Idea
Idea
Idea
Brand
Idea
Idea
Idea
Idea
Idea

8. Example

9. First thing to know about Japanese consumer:
There is no such person 9 9

10. First thing to know about Japanese consumer:
There is no such person

11. Reasons why Japanese eat (or don’t eat) cereal

12. 12

14. Positioning statement: Global
Kellogg’s Frosted Flakes
TARGET:
BRAND:
FRAME:
DIFFERENCE:
Kids
Kellogg’s Frosted Flakes
Is the ready-eat-to-eat breakfast cereal
That helps you be successful
Execution:
US = overcoming a difficult task, non-competitive
LA = individual success praised by the crowd
Japan = individual success contributing to a team victory; praised by teammates

15. Positioning statement: Local
Kellogg’s All-Bran - US
TARGET:
BRAND:
FRAME:
DIFFERENCE:
Health conscious adults over 50
Kellogg’s All-Bran
Is the ready-eat-to-eat breakfast cereal
That helps you be healthy (e.g., reduces heart disease)
Kellogg’s All-Bran - Japan
TARGET:
BRAND:
FRAME:
DIFFERENCE:
Young Female suffering from constipation
Kellogg’s All-Bran
Is the ready-eat-to-eat breakfast cereal
That helps you be regular

16. Let’s look at some advertising
Happy Meal

17. USA
“Stretch Screamers”

18. Japan
“Ojarumaru”

19. Global brand management
Based on enduring human values that transcends the culture of origin
Aspire to have a simple, uniform brand positioning around the world
Develop a clear system-wide understanding of the brand
Have simple and coherent planning and communication platform for the global system
Foster vigorous and constructive debate on strategic direction of the business within the platform
Let the local team execute and activate in a culturally relevant way

20. Communication planning framework
Business
Case
Communication
Brief
Creative 1 2 3
Why we need to take this business action
Business objectives
Business Issues
Lessons from the past
Budget and financial metrics
Strategy and tactics
Communication Objective
Target
Key Insights
Key Message
Media mix
Why are we advertising
Who are we talking to
What do we know about them that will help us
What is the one thought to communicate
What are some possible ways to achieve this
A “love letter” to inspire the creative team

21. Things to remember about Japan
Rapidly aging population
Implications are not clear nor obvious
Very demanding and unforgiving
Little things you do will matter more than the big things you say
Notion of “health”
Presence of positive more important than absence of negative
Strong halo around the notion of “balance”
Response to low price not always positive
Must carefully manage the price, value, and experience equation
Have a clear and relevant reason for low price
In general, polite service is preferred to friendly
There is a dark side to Japan

22. Q&A