Sunday, February 15, 2009

Ever wondered what you would look like in a mini skirt and long wavey hair..?

So-net, the company which offers makeovers via photos taken by users’ mobile cameras, have recently introduced an application for cosmetic and fashion makeovers. So now you can see what you could look like.......or what you would like to look like.....??!!

Koakuma Henshin (or “little devil metamorphosis” in English) is the site that takes your ordinary portrait and sexes it up and makes you look like ichi oku yen. Koakuma Henshin is marketed as harmless fun for those woman who are curious about what they might look like wearing a low cut skirt and wavey hair.....

If I was a woman I would be curious.....wouldn't you?

Australian Chris

Wednesday, February 11, 2009

Gree follow-up

As you know, we have had a couple of articles relating to Gree--the SNS based site--here in Japan which has been making significant headway in the market despite what is happening all around us economically speaking. I came across an excellant piece written by Terrie Lloyd covering Gree and the reasons for its success. Below is a short snippet of this article but for a full analysis please follow the link. A great read for those following the online industry here in Japan.

"Several weeks ago we spoke about Internet Social NetworkService (SNS) company GREE as being a value leader forconsumers. We should have added that since their IPO inDecember, GREE has also become a significant profit leader,announcing mid-January that their parent-only net profitwill probably hit JPY3.5bn on sales of JPY11.2bn for thefinancial year ending June 30th. If their forecast iscorrect, then this will represent a profit increase of amassive 500% over the previous year -- a spectacular jump.
So spectacular, in fact, that GREE currently has a highermarket cap than the biggest social media player in Japan,Mixi. This is somewhat surprising because Mixi has far more"assets" at work, such as 15m users, versus GREE's 8m; bothPC and Mobile coverage, versus GREE being almost 99%Mobile; and a long-term proven profit/growth model.Nonetheless, on Friday GREE was worth JPY126bn in marketcapitalization while Mixi was worth about half that, atJPY73.6bn."

Sunday, February 8, 2009

Mobile TV in Japan

Christopher Billich of Infinita Inc. recently presented a sound power point presentation on the current status and future potential of the mobile TV market in Japan.....Check it out!

Saturday, January 31, 2009

Deco mail....anyone?

The feature from Docomo, 'Deco Mail', the ability to create elaborate flash animated text messages, has been a big hit with keitai consumers and especially the female market in Japan. And this big hit is only going to continue as new deco mail services evolve and further meet the specific wants and needs of deco users.

In order to meet these ever growing specific needs a new deco mail service called "Day Deco, Night Deco", has evolved to meet the on-going demands specific to the time of day. The new mobile deco-mail service from Gigno System makes sense as the mobile website changes its available content depending on the time of day, or night. So, the day version tends to be light-hearted and cutesy while the night version has a more elegant and glamorous vibe.



And while one could easily just select a day or night option, mobile users are increasingly enjoying having the mobile phone make those selections automatically.....its just like the times when you thought it was neat when your mobile phone clock first adjusted itself for a new time zone.

Australian Chris

For those warm and fuzzy feelings...

Ah, family ties and those moments of closeness we all feel towards loved ones from time to time. Recently, I have come across a new device which aims to capitalize on this feeling with a unique mobile twist. This leisure appliance is a digital LCD photo frame which displays photos along with audio and video output capabilities. Appearance wise, it sounds as though it will be much like we have already seen in terms of digital photo frames—postcard size--however the twist comes in with this device being equipped with its own email address. Essentially what this means is that you can send mom, dad, grandma, grandpa or whoever photos or videos whenever you like. This nifty gadget will automatically receive the content and display them for your loved ones. Sounds like a clever idea eh?!

Apparently this e-photo frame was developed in house by DoCoMo and has the memory to hold up to 1000 photos while also having the ability to run your standard slideshow. According to DoCoMo it will retail for around 20,000 yen and offers to fill that ‘guilt gap’ for those who may be too busy, yet still feel the need to create that feeling of connection. It is still unclear whether it will accept non DoCoMo messages, however time will tell and I am sure that if it doesn’t, it will be doing so very soon providing consumers bite at this.

The wireless revolution continues my friends. A day doesn’t seem to pass in which some intuitive device come out which capitalizes on this world of mobile and wireless transmissions here in Japan! Thanks to Wireless Watch Japan for this informative piece.

Canadian Chris

Tuesday, January 27, 2009

GREE's Rise to Fame and Fortune...

Well, to follow on with a topic posted by my colleague Chris Delcourt relating to GREE and its rise to fortune and new found stature amongst the SNS community, I thought I would introduce our readers to some insight as to why this company has skyrocketed and why many anticipate this to continue despite the worsening economic conditions.

Like all successful companies, it all starts with a solid business model. GREE has set out to deliver true value to consumers in such a way that subscription fees, although minimal contribute to approximately 70% of revenues versus that of 30% deriving from online advertising revenues. This model is much different than Japanese SNS mainstay and current leader MIXI which is wholly ad driven, yet offering a free service. As one longtime, Japanese based entrepreneur Terrie Lloyd points out, aligning value in terms of content and quality with a monetary sum is not a concept that has been completely displaced. The recent trend within the mobile/web based world has been all about ad supported content which has allowed users to find their SNS fill without paying anything. This free model has been used a good number of times across many types of web based businesses.

However, this could all be changing according to Mr. Lloyd who foresees the rise of companies which return to a model more aligned with true content value and subscription based revenues over ads. This concept becomes very important in poor economic times like these in which consumers will certainly pull back on the purse strings and seek out the cheaper modes of entertainment such as online gaming/SNS communities which offer value but at a much lower cost than say travel, dining out etc. Also, the ad supported firms are undoubtedly feeling the pinch now as their B2B ad based deals are put on hold or cancelled due to the present downturn.


They say recessions bring about business change in so many ways, whether it’s saying goodbye to old mainstays, greeting new players or witnessing the rise of others. GREE certainly has been skyrocketing and I am sure this is in no small thanks to their well thought out positioning strategy. It will be interesting to see how other mobile/web based companies react and how this potential return to an old business model plays out.

Canadian Chris

Thursday, January 22, 2009

Who said SNS sites weren't BIG business...$$$

As people have seen the coming and going of different SNS internet and mobile phone communities across the globe, one particular SNS site with its origins in Japan definitely rebuffs those who believe that mobile phone SNS companies dont have a strong business model leg to stand on....

Japan's second largest social network GREE, launched in 2004, recently listed its IPO shares on the Tokyo Stock Exchange's Mothers market for start-ups. GREE caused a stir on the IPO market with shares rising from $37 to $56 on the first trading day and instantly made GREE the No. 4 player among Japan's listed web companies, only trailing Yahoo Japan, Rakuten and DeNA (Mobage-town creator)....not bad for a day's work!

GREE began operations on the fixed Internet before Japanese users started to move over to competitor Mixi. Today, GREE Mobile has 7 million registered users. And 99% of its 8 billion monthly page views are generated through mobile phones. These 8 billion monthly page views are essentially generated by a mix of social networking and a gaming platform where users are represented through avatars and can buy virtual items on the site, such as food used in GREE's virtual pet games and clothes for avatars.

Well, the team at GREE are definitely onto something.....and the market of keitai consumers and investors certainly agree with them.

Australian Chris


Tuesday, January 6, 2009

Goodbye to 2008 and Hello to 2009 in Telcom Japan!

Happy New Year to everyone and best wishes for the year ahead! I might add that considering the economic climate, we may be needing to a little dash of hope and faith to see us through a surely tumultuous year in which a lot of stabilizing will be going on not only in telecom but across all industries. However, as mentioned in previous posts there will always be opportunities for those firms which seek them out and have positioned themselves smartly to succeed in both up and down markets. I expect we’ll see a real separation between those types of organizations who adeptly maneuver through these trying times versus those which stumble or even wither and die. This will apply to varying degrees to mobile operators, manufacturers and lastly both big and small application/software development firms. Today, I would like to take a look at 2009 and what many feel may be in the cards.

To start, most don’t expect a lot of change from the major operators—Docomo, Softbank, AU—here in Japan as the big three might see profits fall somewhat through the obvious tightening of purse strings of Japanese consumers. However it must be recalled that in any downturn, people generally turn toward entertainment options in scaled down versions. To clarify this further and give a more succinct example, a consumer may forgo the purchasing a 30 to 40,000YEN gaming system and may just decide to subscribe to a much cheaper and simpler options such as the online gaming communities including the mobile versions. This type of mindset along with the big providers all being seasoned and skilled at both reading and successfully navigating the Japanese market ought to offset the potential for huge losses in 2009.

In terms of mobile manufacturers this area will be interesting to follow in 2009. In 2008 we witnessed the oncoming onslaught of the ‘smart phone’ not only here in Japan but worldwide. From the iPhone to the Blackberry Series to countless others we have seen a dramatic increase in demand for these types of devices. We have also seen a major price drop for this type of technology led by Apple. However, once again considering how things may be in Japan and the rest of the world for 2009 and beyond, we may see a lot of manufacturers struggle with declining revenues as consumers opt for cheaper models and/or decide to hold onto their current mobiles just a bit longer before their next upgrade. We actually witnessed this in the last half of 2008 with Japanese consumers leaning more towards highly discounted models which were 6-8 months old versus that of the latest and certainly higher priced options.

Lastly, regarding the software and application providers we at mobile CRM Japan expect Google to continue to make headways into the Japanese mobile market with their launch of an Android based OS through Docomo. In addition, I am sure the iPhone will continue to localize as much as possible to attract more Japanese buyers. I have heard rumblings that the addition of emoticons—the little smiley faces and other graphics inserted into to mobile text messaging—has lifted both sales and views towards the iPhone here in Japan dramatically. I am sure that more apps for the iPhone will also be developed and as this ‘app phenomenon’ gains in popularity look for other developers both big and small to jump on this bandwagon and add more options for these soon to be cost conscience Japanese users.

I do hope that this tiny offering of what could be in 2009 sheds a bit of insight and provokes some thought. For a deeper look at what 2008 was and what 2009 potentialy offers from a more global and holistic point of view and from one of the most respected analysts within the telcom industry, I recommend Chetan Sharma’s blog and survey.

To close, one thing is certain for 2009 and that is I am sure it will hold its share of buzz, surprise and excitement. Once again, all the best for 2009 from Mobile CRM Japan!

Canadian Chris

* The 2009 'Buzz Awards' *

It often seems that new gadgets in the western techno-sphere create a lot of buzz and excitement. However, when entering the Japanese market this often over-exaggerated buzz tends to fall off as consumers turn to pre-established brands and proven systems....So let's see what's in-line to break into the Japanese market for 2009.

Here are the five top 'Buzz Awards' technologies the coming year will offer;

1. Apple netbook
An Apple Mac netbook – a small, cheap, basic laptop for essential web, media, and work applications – is the biggest rumoured announcement expected this week at Apple's final Macworld expo.

2. Google phones
Think the iPhone owns the licence on mobile internet surfing? What about a phone with software from Google? The internet search giant has created its very own mobile phone operating system, called Android, and this year handset makers will put it to work in several new phones with touchscreens and keyboards. Google-based phones are designed to be internet-friendly, especially for online tools including Gmail, Google Docs, Calendar and Maps on the go.

3. Digital radio
After years of planning and replanning, digital radio promises to offer clearer sound, better reception in crowded, urban areas, and some services more commonly associated with TV: the ability to rewind broadcasts (to hear the name of a song, for example), to download tracks, or to transmit text or basic pictures, be they a scrolling news ticker or an album cover. Digital radio technology will also let stations broadcast more than one channel simultaneously, offering regular programming on one channel, for example, and a live concert on another.

4. Windows 7
While making important strides in many areas, Windows Vista failed to inspire mass adoption among PC users. Windows 7, formerly known as Blackcomb and Vienna, promises to have none of the compatibility issues of Vista that saw some programs, printers and other peripherals fail. Extra features will also come with the software suite, including a new task bar called the Superbar with shortcuts to commonly used programs. New features will be added to the Control Panel, including Gadgets, and the software will support speech, touch and handwriting input for a future generation of computers.

5. Nokia's touchscreen hero
Nokia has taken a long time to catch up to the touchscreen trend. The Nokia N97 sports a 3.5in (8.89cm) touchscreen surrounded by three buttons, with a full QWERTY keyboard underneath the sliding screen. It also sports a 5-mega pixel camera, 32GB of built-in memory, built-in GPS, longer battery life, as well as Bluetooth, Wi-Fi and 3.5G connections.

So that's the round up for the 2009 'Buzz Awards'.... now let's wait and see what the Japanese consumer thinks of them...

Australian Chris