Market entry research to the Japanese wellness market Case Terhen Oy

Abstract

The Finnish sauna has become an increasingly popular form of maintaining health and wellbe- ing around the world. Although its historical roots come from Finland, various other countries have their own versions of sauna, among these is Japan. The aim of this research-based bachelors thesis is to complete market research on behalf of the commissioning company Terhen, to provide information to support their market entry process into Japan. The commissioning company has requested information focusing on existing busi- nesses who could be potential B2B clients which Terhen Oy can provide consultancy services for, as well as information regarding the consumer landscape in the target market. The research within this thesis is divided into four investigative questions, focusing on analysis of the current market situation, analysis of potential clients and competitors, marketing methods research, and consumer research. Analysis was done on 12 businesses from which some busi- nesses could be considered potential clients whereas other competitors, or existing businesses that do not align with the brand of the commissioning company. Consumer research was com- pleted through a survey which was distributed through existing networks and social media, to expatriates and locals living in Japan. Through the survey some valuable insights were gained with regards to existing knowledge and interest in traditional Finnish Sauna. The findings from the research conducted indicate that there is a reasonable amount of interest in saunas among the consumers in the target market, and there is a promising amount of B2B clients to whom Terhen could sell their consultancy and education services through and could help in developing the services and products being provided. Culturally in Japan there is already a market for Saunas, and with a pre-existing interest in Nordic culture, products and branding, the commissioning company has many selling points through which they could approach the market. For Terhen, the author recommends conducting some further consumer research across a larger amount of respondents in order to have a more specific and clear approach in the initial market entry process. The B2B clients that were covered in the analyses would be worthwhile to approach, as most have some features which mesh well with the brand and knowledge of Ter- hen, however the author also recommends further looking into existing businesses in other cit- ies around Japan, such as existing and renowned saunas and sauna events around the country at which Terhen could make their presence better known and established in the market.