Focus: Asia Franchise Markets April 2016 | Page 14

Do you have to open your franchise in Tokyo?

Japan's Regions

Tokyo and surrounding area

Opening a new franchise in any country takes effort and time. But
location, location, location is always key. Using a Japan franchise
consultant who can advise you on primary and secondary locations to
open your franchise is always a good idea.
Tokyo and the Surrounding Area:
Tokyo is the first choice for many franchisors though due to the high
costs of opening an outlet it should not be assumed to be the only
choice for a company taking its first steps into Japan. Being the capital
however, it is the centre of government, business, fashion and culture.
The region centred around the capital is known as the Kanto region
and produces 40% of Japanese economic strength. It has a population
of 13 million and the main metro area is surrounded by the suburb
prefectures of Kanagawa, Saitama, and Chiba giving a total population
of over 35 million-roughly equivalent to the New York and Los Angeles
metropolitan areas combined.
Tokyo has a well developed transport system and airport links.
With the elderly population in Japan products targeting these
consumers will be a growth market but specific segments within this
market will have different potentials if not fully researched. As an
example, the fastest growth category in 2014 was anti-ageing though
this growth was predominately amongst younger and middle-aged
women.