Japan: Market Guide

日本のマーケット案内

Part 1 - Introduction
概論

Part 2 - Product
プロダクト
Part 3 - Marketing
マーケティング
Part 4 -Conclusion
まとめ
1. Overview 概要

Japan has a long history when it comes to both gaming and gambling, with established markets in both sectors. Whist the
Japanese gambling industry has traditionally focused on conventional forms of betting - such as various forms of racing,
Pachinko and lotteries - there has been a growing push in recent years for the introduction of licensing for online casinos
as well as for wider regulation when it comes to other, more globally recognised, forms of sports betting.

Gambling revenue has long comprised a considerable part of Japan’s economy, with recent estimates showing regulated
gambling accounting for up to 5% of the country’s GDP. The prospect of more accommodative regulation and the easing
of established gambling laws naturally make Japan an attractive market when it comes to iGaming.

Japan is, however, a market unlike any other: players are generally cautious and discerning, proper localisation &
marketing partnerships are essential and, as a result, certain protocols must be followed in order to ensure success.
 1. Demographics & Facts 人口統計と統計量

- Population: Approximately 125 million (as of 2021).

- Aging population: Japan faces a significant aging population issue, with a large
proportion of elderly citizens.
- Birth rate: relatively low, leading to concerns about a shrinking workforce and
economic challenges.
- Life expectancy: one of the highest in the world, with the average life expectancy
being around 84 years for women and 80 years for men.
- Ethnicity: predominantly homogeneous, with the vast majority being ethnic
Japanese (over 98%).
- Languages: Japanese is the official language, and it is the primary language
spoken throughout the country. The level of English ability is generally low.
- Gender roles: while some small changes have occurred, traditional gender roles
continue to influence many aspects of Japanese society, especially within the
workplace.
- Entertainment and culture: Japanese culture - including anime, manga, and video
games - has gained global popularity and influences various entertainment
industries worldwide.
- A highly educated population, with PISA figures placing it second in the world.
- The third-highest overall GDP in the world, behind only the USA and China.
- Japan spends a higher percentage of GDP on research than all the other G7
countries.
1. History of Gambling in Japan 日本の賭け事歴史

- Gambling in Japan has a long history, with ancient forms of betting

incorporating dice and cards.
- The Tokugawa Shogunate imposed a ban on gambling in the 17th
century to maintain social order.
- Horse racing became legal in the late 19th century to generate
revenue to improve the country’s ailing economy.
- Pachinko, a pinball-like game, emerged as a popular workaround for
gambling enthusiasts in the 20th century.
- Japan legalized betting on bicycle, motorcycle and boat racing after
WWII.
- A public lottery system was also introduced in 1945.
- In the latter-20th century, concerns about gambling addiction led to
measures to address the issue.
- After years of lobbying from international casino operators and
developers, in the spring of 2023 the Japanese government finally
approved the construction of Japan’s first land-based casino (or
Integrated Resort), now scheduled to open around 2030.
1. Traditional Sports Betting Markets 公営競技

Until very recently, there were only four forms of regulated sports betting markets (‘koueikyougi’/公営競技 ) in Japan:

1
Horse Racing 競馬 3
Bicycle Racing 競輪
2018 revenue: $25.6 billion 2011 revenue: $6 billion
(https://edition.cnn.com/2019/12/27/sport/japan-horse-racing-dettori-winning-post-spt-intl/index.html) (https://apjjf.org/-Tom_-Gill/4012)

Motorcycle Racing オートレース

2
Powerboat Racing 競艇 4
2011 revenue: $810.9 million
2011 revenue: $5.3 billion (https://apjjf.org/-Tom_-Gill/4012)
(https://apjjf.org/-Tom_-Gill/4012)
1. Lottery 宝くじ 2017 revenue: $7.6 billion
(https://www.japantimes.co.jp/news/2018/08/14/national/lottery-sales-japan-second-straight-year/)

“ There are three main types of lotteries: unique number lotteries, selected number lotteries and scratch cards. Each lottery ticket is

sold at 100 to 500 yen, and the top cash prizes are usually 100 million yen or more.

The ‘Takarakuji’ (lottery) law stipulates that the entire prize pool for any given lottery is to be less than 50% of total sales, with the rest
going to local government organizations and charities.

Takarakuji tickets are available at Takarakuji booths and stores in many cities, with some outlets becoming particularly popular.

Tickets for selected number lotteries can be also bought at some ATMs. ”

(https://en.wikipedia.org/wiki/Gambling_in_Japan#:~:text=Most%20forms%20of%20gambling%20in,racing%20and%20certain%20motor%20sports.&text=The%20Japanese%20governm
ent%20established%20the,and%20manage%20Japan's%20resort%20operators.)
 1. Pachinko パチンコ 2017 revenue: $200 billion
(https://www.independent.co.uk/news/world/asia/pachinko-japan-pinball-gambling-revenue-money-las-ve
gas-a8464881.html)

- Pachinko has a history dating back to the early 20th century, but it evolved from an
American game called "Corinthian Bagatelle," which was brought to Japan in the 1920s.
- Pachinko is incredibly popular in Japan, with an estimated 10,600 pachinko parlors
operating across the country.
- The pachinko industry is massive, with annual revenues that have historically surpassed
the GDP of some small countries.
- Players use ball bearings to play various games on pachinko machines, involving physical
interactions like pulling levers and pressing buttons.
- Players seek machines they feel they understand better for a higher chance of winning,
often arriving early to secure their machine of choice.
- Winning cash from pachinko is illegal, but players can exchange their winnings for "special
prizes" or tokens. These prizes or tokens can be legally sold off-premises to vendors for
cash; essentially exploiting a very obvious loophole.
- The Pachinko lobby wields a good deal of influence over the Japanese government and
have actively pushed to slow progress around broader sports betting regulation, iGaming
regulation and the introduction of land-based casinos.

The annual revenue for pachinko in Japan is ‘30 times the annual gambling revenue of Las Vegas,
double Japan’s car export industry, and more than New Zealand’s entire GDP’.
(https://www.independent.co.uk/news/world/asia/pachinko-japan-pinball-gambling-revenue-money-las-vegas-a8464881.html)
1. Integrated Resorts IR 2030 projected revenue: $3.9 billion
(https://www.ttgasia.com/2023/04/27/japan-to-welcome-its-first-integrated-resort/#:~:text=The%20com
plex%2C%20which%20was%20proposed,billion)%20in%20revenue%20per%20year.)

- In 2016, the Japanese government passed a law to legalise Integrated Resorts: large-scale
casino complexes that include hotels, entertainment venues, shopping malls, cinemas,
conference facilities and other forms of commercial space.
- The original proposals for these resorts sparked debates and discussions about potential
economic benefits versus social concerns related to gambling addiction.
- The Japanese government initially planned to authorise up to three IRs in different regions of
Japan to promote regional tourism and boost local economies, but thus far only one has been
approved.
- The COVID-19 pandemic caused delays in the implementation of the IR project as health and
safety concerns took precedence.
- After several years of campaigning, delays and scandals, Japan’s first land-based casino was
finally approved in 2023 and is now scheduled for completion in 2030.
- MGM Resorts International received the green light to develop a resort in Osaka, Japan. The
mega-project is said to cost around $10b USD and, when opened in 2030, is expected to
attract nearly 20 million visitors annually.
- Other cities across Japan are also pushing for approval for their own Integrated Resorts.
- IRs will largely cater for foreign visitors, with subsidies for those visiting from abroad, in a bid
to boost international tourism to some of Japan’s less well-known cities.
- The approval of land-based casinos naturally raises the question of whether legislation for
their online counterparts - and other forms of sports betting - will follow suite.
 1. Online Casino オンラインカジノ 2023 expected revenue: $5.49 billion
(https://www.statista.com/outlook/dmo/eservices/online-gambling/japan)

- Online gambling in Japan has experienced rapid growth in recent years, but still operates in
a legal grey area with weak law enforcement.
- Affiliates play a crucial role in attracting users to foreign-based gambling websites, and are
the most reactive form of marketing in the industry. Expect revenue share to be as high as
60%.
- Despite debate around online casinos violating the Criminal Code, Japanese players are
advised to proceed cautiously with online gambling.
- The market's exponential growth, fueled by the pandemic and sophisticated affiliate
networks, has made Japan a major player in online gambling.
- The industry's remarkable growth rate has caught the attention of regulators and
lawmakers.
- Between December 2018 and September 2021, the volume of online gaming in Japan
increased by 11,800%, making it the third-largest market worldwide.
- Online gamblers largely go unnoticed by law enforcement as long as they exercise
discretion, despite warnings about the illegality of gambling on foreign websites.
- Enforcement against online gambling is the exception rather than the rule.
- Recent cases focused on fraudulently soliciting investment in online casino operations and
not on private gambling activity.
- Recently, some larger foreign operators - such as MGM - have closed down their grey
market online casino operations in Japan in order to preserve their image and reputation
for their IR proposal.
1. Sports Betting スポーツベット 2023 expected revenue: $3.58 billion
(https://www.statista.com/outlook/dmo/eservices/online-gambling/japan)

- As discussed, legal sports betting in Japan centres around four regulated industries:
horse racing, dog racing, boat racing and motorcycle racing.
- Increasingly, however, these more traditional forms of sports betting have gained
the image of being old-fashioned and outdated, with younger generations looking
for alternatives online.
- Traditional sports - particularly soccer, basketball, baseball and volleyball - enjoy
enormous popularity within Japan. Japanese leagues also attract a lot of foreign
talent and, being in the Asian timezone, there is naturally a lot of interest in live
betting on Japanese leagues from elsewhere in the continent.
- The fact that ‘legal’ forms of sports betting in Japan exist, leads most Japanese
people to naturally conclude that other forms of sports betting are therefore ilegal.
However the reality is they fall into the same legal grey area as online casino.
- Many see the approval of land-based casinos as a precursor for wider sports betting
regulation which will accommodate for the country’s most popular sports.
- Online casinos operating within Japan will generally offer a sportsbook product,
however due to public perceptions about the legality of sports betting, operators
should be considerate about their placement of these offerings.
- Some of the larger online casino operators in Japan have used loopholes in order to
be able to sponsor Japanese sports stars as their ambassadors.
2. Largest Operators 最大のライバル会社

Vera & John (https://casino.verajohn.com/ja)

- Vera & John Casino was founded in 2011 and operated under Dumarca Gaming Ltd.
- They are owned by Bally’s Group, and hold the largest share of the Japanese market by a wide margin.
- They endorse celebrity sports players, and have monopolised much of the affiliate marketing sphere.
- They have exclusive partnerships with some of the largest game providers in the market.

Casino Secret (https://www.casinosecret.com/ja/)

- Casino Secret are now also owned by Bally’s Group.

- Casino Secret are based in Cyprus and have a large team of Japanese staff working under them.
- They carved out a niche for themselves with their automated and attractive cashback offers.

Other notable operators

- Yuugado (https://www.yuugado.com): owned by Bally’s, well localised, bright theme

- Intercasino (https://www.intercasino.com/): owned by Bally’s, more of an adult theme
- CasinoLeo (https://www.casinoleo.com/ja): appeared after LeoVegas closed down in Japan
- BeeBet (https://beebet.com/ja/home): relatively new site, doing well with SNS campaigns
- Casino Trip (https://www.casitabi.com/ja): very well localised, heavy focus on gamification/RPG element
- Sportsbet.io (https://sportsbet.io/ja/): known for seamless crypto deposits & withdrawals
- Stake (https://stake-casino.jp/): very successful with localised marketing & VIP programme
 2. Slots スロット

Slot games do very well in Japan. Below is a list of the most popular providers:

- Golden Hero
Golden Hero’s slot games are essential for the Japanese market. Games such as
Hawaiian Dream & Dreams of Gold are extremely popular amongst Japanese players due
to their emulation of Pachinko games (they’re referred to as Pachislot games: a
portmanteau of Pachinko + slots) and their distinctive, well-localised visuals.
- Winfast
Winfast have created a very successful competitor to Golden Hero’s pachislot titles in
the form of the Oiran Dream game. This title is extremely popular and well-localised..
- Play’n’Go
Play’n’Go’s Moon Princess is arguably the most popular Japan-facing slot game out
there. The game itself is now exclusive to Vera & John, however Moon Princess 100 is
still available to other providers and also does extremely well.
- Others
Less market-specific games also do well in Japan. Pragmatic Play’s Olympus titles and
Sweet Bonanza are usually featured on most casinos’ top games. Play’n’Go’s Rich Wilde
games also do well in Japan.
Other, smaller game providers have shown commitment in recent years to creating
more Japan-friendly titles, however due to the idiosyncratic nature of what makes
games popular in Japan their successes have been somewhat limited.
 2. Live Games ライブゲーム

When it comes to live games, Evolution is by far and away the most popular provider operating within the market. They are the only significant
live game provider who produces Japanese-language titles which, given that Japanese players generally have a very low level of English, gives
this provider’s titles a significant advantage.

The two most popular titles offered by Evolution for Japan are their Japanese Speed Baccarat and Japanese Roulette titles. Other games such as
Crazy Time and Evolution’s English-speaking tables do get some interest, but it is significantly less than their Japanese-language counterparts.
Live casino games do extremely well in Japan, and attract the largest spenders. It is therefore strongly recommended to have a dedicated live
section (not just a section within your slots area) in order to immediately let players know that these titles are provided on site.

These live games are known for their volatility, which can result in sharp losses or gains in NGR; particularly for a brand just starting out in the
region. It is therefore recommended to encourage big winners to continue playing back any winnings, and to keep a close eye on the users of
these titles as they can attract potential bonus abusers.
2. Sportsbook スポーツブック
- The fact that four regulated - and in many Japanese people’s perspective, legal - types of sports
betting exist, naturally leads to the conclusion amongst many that other forms of sports betting
are therefore ilegal. Other forms of sports betting are, in fact, unregulated and fall into the same
grey area as online casinos.
- This nuance does, however, necessitate formative decisions having to be made about the extent
to which sports betting is promoted; especially when it comes to Japanese leagues (betting on
foreign leagues can be a more palatable compromise in the minds of those undecided).
- Vera & John, for instance, do not offer sports betting on their site anymore; they have decided
to have their sister site, Yuugado, focus on sports instead.
- Generally, perhaps due to the distinction outlined above, sports titles will do less well than slots
and live titles in Japan; they tend to get less interest than in other regions (with the exception of
international events).
- Since sportsbook products themselves are generally outsourced, it is important to choose a
well-localised and reliable solution. Kambi are the chosen provider for Bally’s Group, who
operate the largest Japan-facing brands.
- The most popular sports for betting in Japan are Soccer, Basketball, Volleyball & Horse Racing.
- It is important to promote these sports, as well as domestic Japanese tournaments & leagues
where possible.
- Esports are not as popular as one might expect in Japan, but Japanese leagues have been
gaining popularity in recent years.
 2. CRM CRM

- CRM is also an aspect of casino management that cannot be overlooked.

- Japanese players are, on the whole, very loyal. Therefore, once a player has registered to a site, additional efforts
must be made in order to retain that user.
- A dedicated, native Japanese CRM Executive should be hired.
- It is strongly recommended to build a promotion calendar that incorporates Japanese national holidays &
festivals.
- National holidays & festivals are a significant part of daily life in the country, and a large part of localising one’s
product should focus around these traditional events.
- For instance, cherry blossom season in Japan - which takes place around April - is a very significant event in the
national calendar. Some sites will add appropriate imagery to their homepages for this, and will also run
promotions which tie into the event’s themes.
- Western holidays such as Halloween, Christmas and New Year are also celebrated in Japan and these should be
incorporated into any promotional calendar too.
- If a sports offering is in place, it is important to follow Japanese sports seasons and to incorporate domestic
tournaments such as the Emperor’s & Empress’ Cup.
- It is also important to note that, if a site is also incorporating global CRM promotions, that these should be closely
vetted: some ‘international’ tournaments or promotions can come across as irrelevant to Japanese players and
can even scare them off.
- Extensive QA testing on promotions should be undertaken, and it is essential to include well-translated terms &
conditions for each promotion as Japanese players will often read through these.
- Players should be segmented by activity, and dormant players should be actively monitored and targeted with
exclusive reactivation offers.
 2. VIP VIP

- Again, the importance of an easily understandable and attractive VIP programme for a
Japan-facing casino cannot be understated.
- The topic will be addressed later on in this presentation, however informative content is very
important for any site wishing to succeed in Japan: a well-translated VIP area must be created,
which explains exactly how the programme works.
- The VIP programme itself should be simple, and should provide players with the motivation to
move up the ranks.
- As discussed previously, a dedicated native Japanese VIP Manager should be hired. The level
of service expected by Japanese VIPs will be higher than may be the case elsewhere, so it is
important that this VIP Manager is well-versed in the deferential treatment these users will
expect.
- The VIP Manager should stay in close contact with all VIPs, especially after large wins & losses,
and should endeavour to find out what the specific communication preference of each VIP is.
- A degree of flexibility should also be offered to VIPs. For instance, if a valuable VIP suffers a
large loss, the VIP Manager should have the ability to provide them with bespoke offers on an
ad-hoc basis so as to mitigate the risk of losing these users.
- Physical gifts, giftcards, merchandise and even invitations to physical events do very well
amongst Japanese VIPs; they like to feel they are receiving exclusive treatment as a reward for
their dedication to a particular brand.
- The VIP programme itself should be well-structured so that players do not advance with either
too much difficulty or too much ease, and the specific rewards for reaching particular levels
should be clearly communicated from the beginning.
2. Payments 入金と出金

- Efforts must taken to have as streamlined a deposit and withdrawal process as possible.
- Bonus abusers are commonplace in Japan, so withdrawal requests should be monitored
daily and KYC & fraud checks should be undertaken where warranted.
- E-wallets such as Vega Wallet and EcoPayz are generally the most popular deposit method in
Japan. This is primarily due to their speed and the fact that they are well localised and
translated.
- Deposit & withdrawal flows should ideally be tested by somebody based in Japan, as it is
important to understand and identify any potential problems in the payment flow as well as
making sure that the whole process is entirely in Japanese from start to finish.
- Bank transfers are used by Japanese players, but are generally slow and unintuitive.
- JCB is a popular type of card in Japan, and this should also be incorporated.
- Efforts should be made to expedite withdrawals wherever possible; players generally expect
prompt withdrawals as this is what they would receive with the larger Japan-facing brands.
- Crypto payment methods are popular in Japan, with USDT generally being the preferred
option. Sportsbook.io probably have the best offering at the moment when it comes to
crypto deposits & withdrawals.
- It is important to closely monitor the status of all deposits & withdrawals, and VIP
transactions should always be prioritised where possible.
- Deposit & withdrawal limits should be clearly communicated to players, and these limits
should increase as players advance through the VIP programme.
 2. Bonuses & Welcome Offer ボーナスとウェルカムオファー

- An easy-to-understand and competitive welcome offer is a good way of attracting new players.
- A dedicated promotions/bonuses page should also be created which clearly outlines each offer in well-translated Japanese, alongside T&Cs for each.
- Popular Japanese titles should be promoted, as it’s important to let prospective new players know that your site has these games.
- Some Japan-facing sites, such as Casino Secret offer attractive, automated cash back welcome offers and bonuses. Cash back offers tend to do well with
Japanese players, but if they are not automated they can be difficult to regulate.
- Welcome offers incorporating play money bonuses are popular amongst Japan-facing brands, and these are often staggered across several deposits. For
example, having a 100% bonus up to $500 on a first deposit, a 50% bonus up to $250 for a second deposit and a 100% deposit on a third deposit up to $200.
- Free spins are probably the most popular form of bonus in Japan - largely due to their simplicity - and these are often also incorporated into welcome offers.
- Non-deposit bonuses carry risks and have the potential to bring bad traffic. If these are in use, then make sure they are distributed to trusted affiliates only and
that a close eye is kept on their performance by one’s Affiliate Manager & risk department.
- A high wagering requirement is not necessary (around 20-25x is the norm); lowering the amount a player can wager with is generally a more effective way of
preventing big losses and discouraging bonus abusers.
- Another way to mitigate large losses from bonuses is to limit offers to low-volatility slot titles that are popular in Japan, such as Moon Princess 100.
- Some casinos opt not to have welcome offers at all; it could be argued that a well localised & designed site is more important than an attractive welcome offer.
2. Content 内容

Instructional & Educational Content

- Japanese customers are, generally speaking, accustomed to having more instructional and
educational content than users from other regions. This is not only the case with online casinos,
but is true across all B2C business in the country and speaks to the high standards of customer
support expected in the country.
- It is advised to include well written, professionally translated guides on subjects such as the
legality of online casino & sports betting in Japan, what is beneficial about your site,
instructional content on how to play online casino games, how wagering requirements work,
etc.
- It is also recommended to have a dedicated Japanese SEO copywriter produce this content so
that it can serve to enhance organic traffic. Such services can be readily outsourced.

Landing Pages

- A strong landing page is also highly recommended. Japanese players will read through all of
your site’s landing page’s content, and it is recommended to use your landing page to summarise
all of the content and USPs of your site.
- The content of this landing page should be well-localised and, as with other content, the
creation of a bespoke landing page can be readily outsourced to Japan-based agencies.
 2. Content 内容

Video Content

- Japanese players react well to video media. If you are able to create tailor-made
educational video content for your site, for instance, this will go a long way
toward appealing to a Japanese audience.
- This content must, however, be well-localised and translated. Casino Trip are a
good example of an online casino that have properly localised their video
content and used it to good effect (it’s utilised on their landing page, etc).

Blogs

- Blogs are an excellent way of improving organic traffic for SEO purposes.
- Japanese SEO is notoriously difficult, so it is common to outsource copywriting
services initially.
- A well-localised and regularly maintained blog can generate a lot of interest,
and the addition of such a blog compliments the loyalty of Japanese players who
often like to immerse themselves in a particular brand.
- Blog posts should focus on sports, game reviews, casino regulation, crypto
news, etc.
2. Content 内容

Quality & Line-breaks

- It is important to reiterate that Japanese players are very discerning when it comes to the quality
of Japanese language. All Japanese content must be well written, well localised and should not
include any English.
- Finally, it is important to have line breaks in the correct places for Japanese text. Many online
casinos still neglect this, and having line breaks in incorrect places is often an immediate red flag
for potential Japanese users.

Help Centre & FAQ

- A help centre should have its own dedicated section on a site and should be immediately
accessible from all areas of the site.
- This area should enable the user to access customer support live chat, a dedicated customer
support email address for Japanese users and should also incorporate a thorough FAQ section.
- FAQs are again something that Japanese users would expect as they are a common feature of
Japanese sites generally.
- FAQs should cover as many common questions as possible and it is recommended to stay in close
communications with a head of customer support who can update the content department on the
most commonly asked questions, so that these can in turn be added to the FAQ.
- A customer support icon should ideally always be available on a site’s UI.
2. Customer Support カスタマーサポート

- A high standard of customer support is absolutely essential for the Japanese

market, and cannot be overlooked.
- Japan generally has a much higher standard of customer support than other
countries are used to, and whatever is being offered must emulate this.
- Customer support must be offered 24/7 if possible, and the agents
themselves should be native Japanese speakers. Politeness levels are a huge
facet of the Japanese language, and Japanese customers themselves will
judge a brand by the quality of language its customer service operatives are
using. Anything ‘non-native’ can scare players off.
- Response times should be kept to a minimum, and all customer service
agents should have a Japanese name displayed in Japanese characters.
- Having a Japanese agent on the other end of the line will indicate to your
users that Japan is a market that is being taken seriously, and will go a long
way toward reassuring your player base.
- A dedicated Japanese customer service email address should be provided on
your contact and/or help page.
- VIPs should also be allocated a dedicated native Japanese VIP manager who
should be available at all hours, and should understand the communication
preferences of their respective VIPs.
2. QA Testing, Demographics & KPIs QAテスト・人口統計とKPI

- It is important to remember to QA test on relevant devices and software.

- Japanese content is often very visual and can incorporate a lot of text and imagery,
therefore additional time should be allocated for QA testing a site’s content.
- As previously discussed, line breaks should be correct on all screen resolutions and visual
imagery should not cause devices to slow down; slow loading times are never worth
sacrificing for elaborate or complex visual content.
- The majority of Japanese online casino players will be male, between the ages of around
20-45 years of age and up to 90% of them will be accessing the internet from their mobile
devices (which are usually iPhones followed by Android devices). It is therefore important to
do all QA testing with these facts in mind.
- It is advised to use software such as Google Analytics for checking the composition of a site’s
users (and, importantly, screen resolutions for QA testing) as well Power BI or Sisense to
monitor the key KPIs for the market.
- KPIs such as GGR, NGR, FTDs, registrations, conversion, etc, will all help to better
understand a site’s respective users and can be of great assistance in assessing the success
of promotions, offers & tournaments.
- Understanding a site’s user demographics can also help to better adapt the brand’s visual
content for their customers. For example, Google Analytics could show that the site is
popular within a particular prefecture; the CRM Executive could therefore decide to
promote tournaments or offers including popular sports teams in that region.
3. Affiliates アフィリエイトマーケティング

- As with many other markets, the vast majority of player traffic is directed to Japan-facing online
casinos through local affiliates.
- As previously covered, Japanese players are very discerning and will do their homework prior to
registering with any brand. This naturally leads them to affiliate sites with good SEO standings.
- Samurai Click are the best known mega affiliate operating within Japan, and they direct a good deal of
traffic in the market coming through their own in-house affiliates.
- Other operators, such as Game Lounge, have a large presence in the market and it is important to
reach out to these larger providers to see what is expected for a partnership.
- Revenue share for affiliates can be as high as 60% in the Japanese market.
- CPA deals can favoured early on by affiliates who may be new to working with a particular brand or
who do not have a great deal in confidence in the potential of a site as of yet.
- It is important to be able to provide CPA deals, revenue share deals and also hybrid deals which cater
toward the specific needs of the affiliates themselves.
- It is also important to understand that Japanese affiliates highly value the trust of their users and, as
such, will often refuse to work with sites that they feel are not of a sufficiently high quality as they do
not wish to jeopardize their reputations.
- Having your own high-quality & easy-to-understand affiliate programme is strongly advised, as
affiliates themselves will want to keep an eye on their own statistics & players information.
- Naturally, it is also fundamental to hire a Japanese Affiliate Manager. This Affiliate Manager should
ideally be Japanese themself, as this will signify to the affiliates themselves that your brand is taking
the market seriously.
- Japanese affiliates are known to be quite ‘high maintenance’, and it’s important to be aware of this.
 3. SEO SEO

- Search Engine Optimisation is notoriously complex for Japan, as Japanese characters,

syntax and grammar all play an integral part.
- It is recommended to use software such as SEM Rush and SimilarWeb to further investigate
competitors’ SEO standings and the keywords that they focus on.
- It is recommended to hire or outsource someone with experience of Japanese SEO to fully
take advantage of the country’s organic traffic opportunities.
- Keep in mind that Yahoo search engine is just as popular as Google in Japan.
- By and large, keywords that are being searched by Japanese players tend to be those you
might expect, however prospective players will also often be searching about the legal
status of online casinos and sports betting so it is prudent to incorporate these subjects too.
Here are some useful keywords for getting started:

オンラインカジノ - ‘online casino’

オンカジ - ‘online casino’ (abbreviated/casual form)
スポーツ - ‘sports’
スポーツベット - ‘sportsbetting’
合法 - ‘legal’
違法 - ‘ilegal’
ギャンブル - ‘gambling’
オンラインギャンブル - ‘online gambling’
 3. Media Buying メディアバイイング

- As with SEO, media buying requires a good level of cultural understanding and, again,
there should be somebody on your Japan-facing team who has an understanding of this
aspect of acquisition.
- Most Japanese media buying agencies tend to focus on adult sites and anime/manga
sites, as these are generally the two most popular genres for the demographics using
online casinos & sports betting sites.
- Pop-unders, pop-overs, banners, etc, can generally be purchased for a low price on such
Japanese sites, however do expect the conversion from this form of acquisition to be
relatively low.
- It is also important to consider the reputation and image of one’s brand, and to keep this
in mind when choosing what types of sites to purchase media on.
- When selecting media buying services, it is recommended to use the more reputable
ones available and also, where possible, to partner with Japanese agencies as often the
foreign media buyers targeting Japan are not entirely familiar with the nuances of the
market and so can be less effective.
- As a general point, it is usually best to incorporate Japanese models into one’s
advertising (be careful to avoid anything looking Chinese, as Japanese users generally
avoid anything Chinese in appearance), and if using animated imagery then ensure that it
is in the 2D ‘manga-style’ which is the norm in Japan. The simplest and most common
solution is to use the imagery from popular Japan-facing game titles.
3. Traditional Media 旧世代メディア

- Traditional media - such as billboards, sports partnerships, television & radio advertising, etc -
are an extremely effective way of targeting Japanese players.
- Japanese consumers, compared to other regions, still intake a lot of their media through
traditional sources: billboards are seen everywhere in cities and televisions & radios are often
left on in the background in Japanese households.
- It is important to cultivate local partnerships with advertisers in order to take advantage of
these opportunities, and it is crucial to understand the legal implications of using these forms of
advertising.
- Some of the larger operators facing Japan, such as Vera & John, have taken advantage of
loopholes that exist within current Japanese regulation in order to advertise on Japanese
national television, for instance.
- Such loopholes have also been exploited in order to sponsor sports players, and there are now
several larger Japan-facing operators who have enlisted Japanese sports players & teams as
ambassadors for their products.
- One such loophole requires the creation of a free-to-play site, which does not host any games
where money can be used to bet; it simply hosts free games. These sites, since they do not
involve gambling per se, can be advertised legally through traditional forms of Japanese media.
- The creation of such free-to-play sites, as well as the targeting of other forms of traditional
media, can be readily outsourced to Japanese ad agencies with comprehensive local knowledge.
 3. Social Media & SMS ソーシャルメディアとSMS

- Having an understanding of the popular social media options available within Japan can be a very advantageous way of both acquiring and retaining users.
- Facebook, whilst less popular than in other regions, is still used by many within Japan. Operators must be aware, however, that Facebook recently changed
their rules for Japan so that online casino operators must contact Meta directly for permission to advertise, so expect pages without such permission to run the
risk of being closed.
- Instagram is popular in Japan, and online casino sites generally use it to promote their offers and products.
- Youtube is a very reactive form of engaging players. The streaming service Twitch recently made the decision to prevent gambling-related streamers from
broadcasting on their site, so recently there has been an increase in streamers using Youtube to provide this service. Youtube is also a good platform on which
to host the educational & instructional content discussed in previous sections.
- LINE is the most popular form of messaging in Japan, and it is important to set up a LINE account which can be used to interact with players. A dedicated LINE
channel should also be used to communicate directly with VIP players, should this be their preference.
- LINE Voom is an increasingly popular form of SNS in Japan, and can be used to advertise promotions, tournaments, etc, directly to one’s followers.. CRM
Executives should take full advantage of this, and exclusive promotions for LINE Voom contacts should be promoted on-site in order to attract more contacts.
- Finally, SMS messaging is somewhat more difficult than in other regions. The delivery rate is often very low due to Japanese cellular network providers
generally blocking SMS messages incoming from abroad. To circumvent this, SMS messages must be sent from within Japan (using a local service provider is the
simplest solution), and it is also recommended to test whether SMS messages are indeed being received using a contact based on the ground in Japan.
4. Outlook & Conclusion 前途

- After a substantial increase of interest from grey market operators in the Japanese market
during the Coronavirus pandemic of 2020-21, this interest has somewhat subsided during the
last couple of years with several larger operators pulling out of the market entirely.
- This is down to several factors, however it is likely that many were not prepared for (or, indeed,
aware of) the specific criteria required to succeed in this idiosyncratic market.
- That said, the potential of the market is undeniable and there are enormous rewards for those
willing to take the region seriously and allocate the resources necessary to succeed there.
- Whilst the market is somewhat monopolised by several large & established operators, there is
still plenty of room for smaller brands to carve out a successful image for themselves. For
instance, Sportsbet.io have done a very good job recently of focusing on crypto-based payment
solutions and Stake have had a lot of success with their promotions, tournaments & VIP
programme focusing specifically on local Japanese sports tournaments.
- Reputation is hugely important in the Japanese market as prospective players will do extensive
research before registering on any site; it is therefore important to ensure affiliates - the most
effective form of acquisition - are promoting one’s brand in a positive light.
- Japanese players are naturally cautious of foreign products, so localising one’s site
appropriately and having native Japanese members on one’s team are both essential.
- With the recent approval of land-based casinos in Japan, regulation of the sector - for both
sports & iGaming - looks increasingly likely, making the Japanese market potentially one of the
most lucrative markets, not only in Asia, but globally.
 Thank you
ありがとうございます

Thank you.