The Negotiation

Topics Discussed and Key Points:

●      The type of advertising that resonates with Japanese consumers

●      Marketing lessons learned after working at Grey Group from 1988-1991

●      Ecommerce in mid-1990s Japan

●      Brands that did in-store marketing well in the 1990s

●      Producing media for Coca-Cola in Japan

●      Working with the teams at the 2008 and 2012 Olympics, and the 2010 FIFA World Cup

Episode Summary:

Today on The Negotiation, we speak with Chuk Besher, Executive Producer at 3Minute, the digital media arm of GREE, a Japanese internet media company that provides mobile social networking and mobile technology services.

A content marketing specialist, Chuk’s clients range from the luxury, hospitality, fashion, and pharmaceutical industries. He leads the production of a variety of branded content for these companies, from events to video storytelling to advertising.

Chuk speaks on the type of advertising which resonates with Japanese consumers, which he calls “advertising that is not advertising”. He says that consumers are sophisticated enough to turn away from traditional, in-your-face messaging. Good marketers craft stories around their products and services which not only inspire, entertain, or educate, but also allow consumers to relate to the brand itself.

He shares lessons learned about brand localization after being recruited into Grey Group as a fresh grad in 1988. Chuk explains that if you have a local brand which you are bringing into a market like Japan, it is not simply a matter of translating the copy. Grey taught him that having local knowledge and insight was even more important in bringing success to a brand in a new market.

Speaking on his 8+ years of experience as Director of Branded Media for Coca-Cola, Chuk explains that the brand’s immense success can be traced back to Coca-Cola’s commitment to omnipresence. In today’s market, however, it has now become important not just to be everywhere, but to be meaningful everywhere. This means having a symbiotic relationship between marketing and creative, and having the message, as well as the delivery of the message, be specific to the target audience.

Finally, Chuk shares how he continued to use the approach of “advertising that is not advertising” during his involvement in the 2008 and 2012 Olympics, along with the 2010 FIFA World Cup.

Key Quotes:

“The type of advertising that resonates with Japanese consumers—and it’s not unique to Japanese consumers, per se—is advertising that is not advertising.”

“Maintain brand integrity—do not lose sight of what the brand stands for. At the same time, make sure that it is meaningful and resonates with the local consumer.”

Topics Discussed and Key Points:

●      Leading Disney in Japan

●      Growing Baroque Japan Limited

●      Common branding mistakes made in Japan by foreign companies

●      How COVID-19 impacted the Japanese retail market

●      Technology-related trends that will shape commerce in Japan over the next decade

●      About Jeff’s olive oil manufacturer Green Valley Olive

Episode Summary:

Today on The Negotiation, we continue our conversation with Jeff Daggett, Founder and CEO of Aisonne, a brand and retail development & management company offering brand, retail, hospitality, and licensing management services and representation in Japan and the United States.

Since 2002, Aisonne has assisted a number of big-name retail brands such as Apple, Columbia Sportswear, Nordstrom, Shinjuku Takano, and NBC Universal.

Jeff’s background includes over three decades of experience at leading global companies in the Asia-Pacific, specifically in investment banking, real estate, retail operations, merchandising, marketing, and general management.

This time, we focus much of our discussion on Jeff’s time as Disney Japan’s Vice President of Consumer Products from 2004 to 2011, followed by two years at Baroque Japan Limited from 2011 to 2013.

Jeff then talks about the major mistakes that foreign brands make in the Japanese market, pulling lessons from his current role as the visionary behind Aisonne, which he founded two decades prior. To him, while localization is an obvious consideration, the common thread that spells success for any company looking to succeed is a focus on effectively telling the story of the brand.

In fact, despite the aging population, Jeff believes that there is a lot of opportunity for foreign brands to establish a strong base in Japan as long as “you have a compelling product that’s attractively displayed and appropriately priced with a good story.”

Key Quotes:

“There is no ‘right’ or ‘wrong’ corporate culture. Every corporate culture has evolved to be ‘right’ for that entity.”

“Japan is a different place, but what Japan is really looking for is your authenticity.”

Topics Discussed and Key Points:

●      Launching Gap in Japan in 1994

●      Growing a retail brand in the pre-eCommerce economy of Japan

●      Recruiting the first management team for Gap in Japan

●      How Levis became an iconic global brand

●      Building loyalty around an athletic brand in Japan

●      Why Jeff’s involvement in Nike’s first campaign in Japan went global

●      How Nike does retail differently from the rest

●      Restructuring Sephora in Japan and reversing declining year-on-year comp store sales in under six months

Episode Summary:

Today on The Negotiation, we speak with Jeff Daggett, Founder and CEO of Aisonne, a brand and retail development & management company offering brand, retail, hospitality, and licensing management services and representation in Japan and the United States.

Since 2002, Aisonne has assisted a number of big-name retail brands such as Apple, Columbia Sportswear, Nordstrom, Shinjuku Takano, and NBC Universal.

Jeff’s background includes over three decades of experience at leading global companies in the Asia-Pacific, specifically in investment banking, real estate, retail operations, merchandising, marketing, and general management.

Listen in as Jeff reflects on his 30-year career in the retail business development world in Japan, beginning with an opportunity to launch Gap in Tokyo in the Summer of 1994. He speaks specifically about the challenges of localizing and growing an established foreign brand decades before the dramatic rise of eCommerce.

Asked how differently such an experience would be if he were to launch in today’s market, Jeff refers to the quote: “There are no overstored markets, only under-merchandised ones.” In other words, successfully establishing a brand in any foreign market largely comes down to telling a compelling story⁠, particularly via visual merchandising, ⁠around one’s product.

Jeff gives a few examples from his career to illustrate the power of “compelling merchandise, attractively presented”. He highlights his work on Nike’s first-ever campaign in Japan, which was so successful that elements of the campaign were adapted by other brands on a global scale.

Key Quotes:

“For anyone who works in retail, the store is company headquarters, and company headquarters is the back office.”

“A lot of folks will tell you that you have to change what you do to succeed in Japan, and this is true. But you can’t lose the essence of what you are.”

“There are no overstored markets, only under-merchandised ones.”

Topics Discussed and Key Points:

●      How Tod's Japan developed from 2001 to 2007

●      The importance of brick and mortar retail in the early-to-mid-2000s

●      The Japanese perception of European luxury brands in the late 1990s

●      The footwear and leather goods market in Japan

●      How the Japanese outdoor industry evolved throughout the 2010s

●      How COVID influenced the move toward more online sales

●      Building professional relationships in the Asia-Pacific

●      Upcoming trends in Japan

Episode Summary:

Today on The Negotiation, we speak with Massimo Lazzari, President and Representative Director at Columbia Sportswear Japan, where he has lived and worked for over 30 years.

Massimo discusses the changes he has seen firsthand in the Japanese retail clothing market since his time as a sales manager for Ferragamo in 1995. Following his time there, he served as the Managing Director for Tod’s from 2001 to 2007, when the brand was only a startup.

Massimo explains that foreign brands need to embrace consistency when establishing their companies in Japan. He talks about developing “the ability to build a tangible aura around the product”.

He then speaks about his almost 12-year career at Columbia. He shares how he has seen the outdoor industry develop over that time, as well as how the pandemic accelerated the already ongoing trend of consumers moving away from offline and toward online commerce.

Finally, Massimo explains why fighting for market share is considerably more vital in Japan relative to other countries, and what foreign companies need to keep in mind when establishing their brand among an aging population.

Key Quotes:

“The importance of the craftsmen who add value to their work is something that you can’t see in the product that you have in front of you in the store.”

“The nature of the Japanese consumer when they go shopping is less transactional and more about the value that they get, not only from the product but what’s around it.”

“COVID was more of a short-term trend that built upon an already existing long-term move from offline to online.”

Topics Discussed and Key Points:

·       Ricky’s experience working with the Japanese market.

·       Adapting to the new normal.

·       The benefits of working with local distributors.

·       What it takes to have a successful omnichannel approach.

·       How the approach to being successful in the Indonesian market has changed.

·       How consumer behaviour has changed.

Episode Summary:

Today on The Negotiation, we continue our conversation with Ricky Samuel, E-Commerce Lead at Mindshare, a global media agency, where he helps clients in understanding their e-commerce-related challenges to drive success.

Over the past 10 years, Ricky has served in roles at large corporations, including Bose, ASUS, and HP. In 2019, Ricky moved to Schneider Electric, and in 2021, he joined Mindshare Indonesia as E-Commerce Lead.

Regarding his move to Schneider Electric, Ricky says “I want to understand the regional point of view.”

Ricky also talks about Schneider’s E-Commerce partners, lessons from the Japanese market, adapting to the new normal of Covid, what it takes to have a successful omnichannel approach, changing consumer behaviour, and Ricky looks at the next 5 years.

Key Quotes:

“Price has now become less important.”

“You don’t need to have the same product in each marketplace.”

“Engagement to your customer is the key.”

Topics Discussed and Key Points:

●      How Bose approached omnichannel sales in Southeast Asia in the early 2010s

●      Bose’s commitment to consistency across resellers

●      How much control Microsoft had over ASUS’s local marketing strategy and pricing

●      Localizing messaging and marketing for Indonesian consumers

●      Driving preferential product placement on search platforms

●      How customer feedback impacts HP’s product roadmap in Indonesia

Episode Summary:

Today on The Negotiation, we speak with Ricky Samuel, E-Commerce Lead at Mindshare, a global media agency, where he helps clients in understanding their e-commerce-related challenges to drive success.

Ricky speaks on the digital landscape in Southeast Asia as well as the development of broader digital transformation strategies for the region since his entry into the marketing world in the early 2010s.

Ricky worked as Bose Indonesia’s Brand Marketing Manager from 2013 to 2015. Looking back at this experience, he offers some insight into the evolution of the company's omnichannel sales strategies during a time when digital commerce was rapidly gaining prominence. He talks about Bose’s focus on “customer excitement” to maximize the in-store experience, as well as Bose’s commitment to consistency in quality, service, and experience across their resellers.

As the Product Marketing Lead for ASUS from 2015 to 2016, Ricky discusses the unique challenges of localizing the brand in Indonesia. He then does a deep dive into HP’s omnichannel operations during his time with the company from 2018 to 2019, emphasizing the importance of partnering with Key Opinion Leaders and top e-commerce platforms to drive brand equity.

Key Quotes:

“We need to ensure that experience and engagement is at the same level every time a new customer walks into our store.”

“On the local level, showcasing and using the products is more powerful than communicating to the customer who we are. So, we had better engage with Key Opinion Leaders about our products for more powerful messaging.”

“We need to understand the needs of the population itself. We need to understand their behavior: how they spend their money and how they use our products in their daily lives.

Topics Discussed and Key Points:

·       Covid and its effects on Direct-to-Consumer.

·       Online consumer strategies in APAC versus in North America.

·       How to measure success in retail.

·       How consumer feedback is applied

·       The importance of a good D-to-C strategy.

·       The future of D-to-C in the APAC region.

Episode Summary:

Today, I talk to Bill Tung, Managing Partner at Peaks Consulting, a global brand, retail, and management consultancy.

Since its founding in 2015, Peaks Consulting has built an internationally recognized consultancy based on trust and relationships before business. Peaks currently serves consumers in 20 countries and counting.

Bill has also served as the VP of Europe and Asia-Pacific at Rockport, VP of International Sales a Columbia Sportswear, Executive VP of International Sales at New Balance, Managing Director of Fanatics Inc, and Asia-Pacific General Manager of Clarks.

Regarding Covid’s effect on Direct-to-Consumer, Bill says “brands learned that you could still conduct business without travel.” “Is that the right way to do things? No. That’s for established businesses.”

Bill also talks about online consumer strategies, applying consumer feedback, the importance of having a good D-to-C strategy, and the future of D-to-C.

Key Quotes:

“Brands learned that you could still conduct business without travel.”

“If shopping was an Olympic sport, Asians would win Gold, Silver, and Bronze year after year.”

“It’s not good enough just to be on the site. It’s not good enough just to have inventory nearby. You need to do the proper marketing.” 

Topics Discussed and Key Points:

●      Helping Rockport and The Body Shop grow across the APAC region in the 1990s and early 2000s

●      Marketing to a demographic that you are not a part of

●      Marketing outdoor apparel and equipment in APAC

●      Localizing well-known Western brands in different APAC countries

●      Common mistakes brands make when expanding in APAC

●      Optimizing your organizational structure to thrive in foreign markets

●      Preparing for complaints and returns in overseas markets

Episode Summary:

Today on The Negotiation, we speak with Bill Tung, Managing Director at Peaks Consulting. Bill reflects on his time establishing Rockport and The Body Shop’s sales operations across the APAC region.

It was from those experiences that Bill learned the value of knowing thy customer, becoming aware of your home country's biases, and ignoring consumer differences at your peril—especially important considerations for Western brands looking to successfully expand into Asian markets.

Bill also discusses the unique challenges of growing Columbia—a sports and outdoor apparel brand—in China while he served as VP of International Sales from 2003 to 2016.

Finally, Bill talks about the common mistakes that brands make when attempting to expand into foreign markets, and why it is so important to optimize a company’s organizational structure, which includes everything from operations, customer service, and marketing, to merchandising, HR, and finance.

“These really need to be part and parcel of a global mindset,” says Bill. “Otherwise you’re just exporting.”

Key Quotes:

“When you fail to understand the consumers that you’re trying to sell to, that gets a lot of companies into trouble.”

“Retail is detail.”

Topics Discussed and Key Points:

●      All about the highest-rated nationally syndicated show, Laowai Kandian

●      What is Peking Opera

●      The world of philanthropy in China

●      Being a board member of the China Pacific Construction Group
●      The eating and drinking culture of doing business in China

Episode Summary:

Today on The Negotiation, we continue our conversation with Elyse Ribbons, CEO and Founder at GeiLi Giving, which has built a WeChat app connecting charities to Chinese netizens through engaging challenges to encourage giving.

She is also the Founder of Cheeky Monkey Theater and host of the nationally syndicated news-talk show Laowai Kandian, the success of which she goes into in today’s conversation.

The show invites people of different nationalities to come together and speak candidly about difficult topics—a practice that Elyse notes may just be that elusive key to achieving world peace.

“At the end of those conversations,” she says, “you can always find that human element. Even if you agree to disagree about little details, you can always agree on the important basics.”

Elyse then describes her experience in the Peking opera scene, describing the art form as “the crystallization of so many Chinese values: aesthetic, artistic, moral”. She also speaks on an interesting connection between the classic 14th century historical novel Romance of the Three Kingdoms by Luo Guanzhong, and the culture of business in China.

Finally, Elyse describes the world of philanthropy in China as well as the nature of business unique to the country, drawing from her own experience as a former board member of the China Pacific Construction Group.

Key Quotes:

“[Peking Opera] is the crystallization of so many Chinese values: aesthetic, artistic, moral.”

“When you have a passion for something, you study it, you learn it, and you hold it much more dearly than people who just sort of passively have to accept it. They didn’t choose to learn Chinese; they had to. I choose, on a daily basis, to continue learning Chinese.”

Topics Discussed and Key Points:

●      What it takes to become truly fluent in another language

●      All about Cheeky Monkey Theater and Star Theatre

●      Chinese versus Western cinema

●      The speed of Chinese business as both a blessing and a curse

Episode Summary:

Today on The Negotiation, we talk with Elyse Ribbons, a startup founder, radio show host, actor, and writer in China, who is also incredibly fluent in Mandarin. She is the Founder of Cheeky Monkey Theater and host of the nationally syndicated news-talk show Laowai Kandian. She kicks off the conversation by talking about what drew her to China all the way back in 2001 and how she was able to achieve an impressive level of fluency in Mandarin. Aside from her work in theatre, Elyse has also been cast in a number of Chinese films. All of this gives her a unique perspective on the local entertainment industry that most foreigners never get a chance to see.

She speaks on her various opportunities to work in the Chinese movie industry and along the way touches on how the culture of speed in China’s business world influences even the entertainment sphere.

Key Quotes:

“There are so few people, especially in China, who do business and art—especially theatre art. Broadway is a business. Broadway is not pure art; so, you have to be able to understand business to do good shows.”

“This culture of going by the seat of your pants is a benefit and a curse. It’s one of the reasons Chinese startups actually can do so well with the changing environment around them—because there are no plans. So, you’re pivoting constantly, because you’re dealing with whatever is directly in front of you.”