Catering to Creative Minds in Tokyo

A couple of months ago, we blogged about a really interesting exhibition called “Materializing”, that showcased art made with the help of various innovative devices such as laser cutter and 3D printers.

Fab cafe, Shibuya, DIY, JApan

Many of the devices used to produce the artwork for “Materializing” are machines that you might expect in labs or factories. But fellow hobbyists behold, they have finally been liberated and are now available to the public, though their prices remain rather prohibitive: at approximately 7,000 USD a piece for the desktop version, the laser cutter will not yet decorate our garages, though the slightly more affordable 3D printer from Cubify might.

Cubify, 3D printer, Pen case, Fabcafe, Shibuya, Japan, DIY

This fact has spurred on a new type of business in Japan: Providing space and machines to the creative people out there who won’t or can’t get them for themselves. Here is why:

First, Japan is known for having issues with space. Japanese houses and apartments are quite small compared to their European or American counterparts and more often than not do not have garage space. And if space wasn’t enough of an issue already, the obligation to return any space you rent in the exact condition you got it is another: just setting up an easel in your apartment is not recommended. So providing people with space to make, to create and let them know about it is already a good business idea. Japan is also a rental society much more than other countries (bands jam together in rental studios not home basements).

Maker Base, Meguro, DIY, Ring, Japan

Second, thanks to the effort of the Japan DIY association that was founded in 1977 and incorporated in the METI in 1980, the “Do-It-Yourself” culture in Japan is developing. From the traditional scrap-booking or knitting to more heavy DIY such as ceramics or woodwork, you can make about anything in Japan….as long as you have the space for it.

And now creative people do with no less than four different maker spaces being born in Tokyo alone from 2009 up to today. Ranging from the hipster Fab Cafe in Shibuya, where you can sip a glass of ice-tea as you 3D print or laser cut, to the full blown recently opened, Maker Base in Meguro with wood-work and metal-work machines and several laser cutters and 3D printers, through the techy Hacker Space in were you can learn about and make everything from robots to your very own small computer with a raspberry pie or the Fablab, Tokyo based DIY lovers and hobbyist can create to their hearts content.

Tokyo, Hacker Space, DIY, Tech, Prototype, Japan

Tokyo, Hacker Space, DIY, Technology, Robots, Japan

But the most important part is that not only can they create, but they can also find help and new ideas thanks to a growing community and helpful staff members. It can be courses to get the hang of a machine like in Maker Base or a technology like Hacker Space, or it can be offering a retail platform for your product like Fab Cafe and Maker Base. It can just be a place to connect people that need something and people who can make and help the sparks fly and it can create beautiful stories….like the man that came to Maker Base to train and make an engraved engagement ring for his fiancee or this author who made a personalized 3D printed pen for a friend’s birthday, at Shibuya’s Fab Cafe.

Fab Lab, DIY, Shibuya, Creations, Art, Japan

FabLab, Shibuya, Tokyo, DIY, creation, Tokyo, Japan

And to top it all of, the 22nd of September, the last piece of the puzzle came into existence with the opening in Meguro of Rainbow Soko operated by T-plaster an interior remodeling company, that uses and converted an old under-ground factory space into creative space. It offers up for rent small office like rooms, where people can set up anything they want, from a drawing/ painting space to a music room.

Rainbow, Soko, Factory, DIY, Rental, Tokyo, Japan

Finally it is important to point out that not only these spaces have become very popular, featuring frequently in the Japanese and Foreign press as well as on television and participating in interesting event such as the up coming Maker’s fair, but they also provide a competing presence on the online D.I.Y market places field by not only providing the platform but also a physical outlet to make products in, giving them an advantage over competitors such as Etsy.

Myanmar: Japan’s New Frontier Market

Myanmar has become the new hot destination for countries seeking to diversify their foreign investment, outsourcing and export markets. Exchanges earlier this year by Japanese and Myanmarese leaders indicate that Japan seeks to gain a strong foothold in the country, a move which is warmly welcomed by Myanmar as both nations attempt to curtail the increasing influence of China. Whereas India can serve Japan as a strategic partner, Myanmar is a relatively untouched economic canvass on which to transplant Japanese infrastructure, technology, expertise and products, without the burden of negative political tensions.

Japan’s Burmese Bounty

1. A large supply of low cost labour

survey by JETRO showed that Myanmar’s working age population of 46 million has the lowest wages in Asia, at around USD 1,100 per year for a manufacturing worker compared to USD 1,478 in Bangladesh, USD 2,602 in Vietnam and USD 6,704 in Thailand just across the border. Price conscious Japanese companies can consider outsourcing and relocating manufacturing to Myanmar as a way to counter increasing costs in the rest of Southeast Asia and to ease pressure off Yen fluctuations for goods produced in Japan.

2. Abundant natural resources

Myanmar is richly endowed with natural gas, oil and precious metals which can be used to supply Japanese industries in Myanmar and exported to resource scare Japan. Myanmarese oil and gas could also power Japan’s increasingly energy deficient economy due to the shift away from nuclear power.

3. Warm political ties

Japan never imposed the same sanctions on Myanmar as did many European countries and the USA, and unlike other countries in Asia, Myanmar does not have the same negative historical baggage to influence political relations with Japan.

4. Geopolitical significance

With a land-mass the size of Britain and France combined, nestled between regional superpowers China and India, sharing borders with 40% of the world’s population, Myanmar is a prime strategic location for Japanese companies operating in Asia. Myanmar’s ports in the Indian Ocean also lie above the Malacca Strait; one of the world’s busiest shipping lanes.

5. A New Consumer Market

With a total population of more than 60 million, future economic development offers the prospects of an emerging market ready to buy the latest Japanese consumer goods and technology.

A long way to go still…

Despite these attractions Justin Kent of Forbes Magazine believes that Myanmar is suffering from an “antiquated financial system, poor infrastructure, an unskilled labor force, lack of reliable data and a government bureaucracy that is ranked bottom by Transparency International.” In addition the lack of connectivity, with only an estimated 1 million cellphones in the whole country, unreliable power supplies and negligible consumer spending offers unfavourable circumstances and high set up costs for many Japanese companies. Yet where there are problems, there are opportunities to fix them.

Building Myanmar with Japan Inc. 

Aside from riding off more than USD 6.6 billion in debt from this year, Japan has promised to provide loans and financial aid to Myanmar totalling more than USD 5 billion which dwarfs the USD 76 million promised by the United States and the USD 200 million pledged by the European Union. Most of these loans and investments will go towards constructing major infrastructure projects and Special Economic Zones (SEZs) and contributes to Prime Minister Abe’s current policy of tripling Japan’s infrastructure exports to USD 300 billion by 2020. Japanese corporations are expected to lead the development of the Thilawa Special Economic Zone, located on the edge of Yangon (Myanmar’s largest city). Covering more than 2400-hectares, Thilawa SEZ is planned as the future hub of Myanmar’s manufacturing and textile industries with completion set for 2015.

Image via GlobalAsia

Japan will also provide up to USD 3.2 billion in additional lending to build another SEZ and deep-sea port in Dawei, southern Myanmar (pictured above) which is designed to become Southeast Asia’s largest industrial complex and will allow western bound shipments to bypass the Strait of Malacca.

Aung San Suu Kyi, Myanmar’s pro-democracy opposition leader has called for Japanese investment and economic aid that can create jobs for Myanmar’s citizens in addition to requesting Japanese support in developing the country’s agriculture, sanitation and healthcare systems. Japan’s Ministry of Foreign affairs has also pledged to implement assistance in the development of Myanmar’s “capacity building and socio-economic institutions.”

Sustainable Investment

In other Southeast Asian nations, Japan has often exploited local work forces for their low cost wages and friendly governments without nurturing key local talent and technology which could contribute to that country’s own industries. If the same happens in Myanmar then it will be a long time before local companies can compete with these Japanese corporate giants for both exports and domestic markets. Myanmar will only benefit if Japan is willing to invest in the training, education and promotion of local employees rather than just their low wages.

Yuki Akimoto of the Democratic Voice of Burma argues that Japanese investment in Myanmar should not come at the expense of protecting local environments or the rights of local citizens whose homes and lifestyles may be forcibly uprooted. Instead, Akimoto feels that Japanese companies can take the place of NGOs and implement a sustainable development strategy in Myanmar.

Competition for Asia’s Last frontier

Japan is not the only country excited by the promises of Myanmar’s opening and reform, nor is it the largest investor. In fact, Japan currently falls behind many countries in terms Foreign Direct Investment (FDI) in Myanmar (see chart bellow) whilst China and South Korea are amongst the biggest spenders. Despite its pledges to provide copious amounts of aid and assistance to Myanmar, Japanese companies have lost out on key infrastructure contracts to competitors from Asia and Europe.

Source: Ministry of National Planning and Economic Development via PwC’s Myanmar Business Guide.

China is still Myanmar’s largest patron, controlling more than a third of all FDI, but this investment has been slowing down since rising local opposition and protests has caused the halting of projects such as the Myistone dam and the Sino-Myanmar Monywa copper mining operation. This could prove promising for Japanese companies which have the potential to engage in similar projects with less opposition. Although China’s long presence and relationships with influential leaders in Myanmar ensures that Chinese companies are still granted key contracts, such as the one to update Yangon International Airport, which Japanese companies also bid for. 

South Korean conglomerates on the other hand are looking to increase their investments across various sectors of Myanmar’s economy according the Korea Trade-Investment Promotion Agency. Projects include the building of a bridge linking the city of Yangon to the township of Dala, where another industrial zone will be established for South Korean companies to invest. A consortium led by South Korea’s Incheon Airport has also been awarded the project to construct the brand new Hanthawaddy International Airport, located about 70 km north of Yangon, beating a consortium from Japan that included New Kansai International Airport Corporation. Japanese companies should be concerned about the rising competition and the existing headways made by South Korean conglomerates. 

Conscious Innovations 

McKinsey believes that Myanmar is in a key position as one of the first countries to become digitized before it gets rich, by using digital technology to counter the costs of more brick and mortar approaches to services. As a leader in digital technology Japan can act as the forerunner in Myanmar by providing digital services which rural populations can use to access business opportunities, education and healthcare.

Myanmar also plans to attract more than 7 million tourists by 2020 and considering the number of Japanese tourists visiting Mainland China (3.5 million) Taiwan (1.4 million) Thailand (1.4 million) and Singapore (0.7 million) an improved tourism infrastructure in Myanmar could ensure that a significant percentage of visitors come from Japan. It is up to Japanese hotel, airline, tour and travel agencies to engage with local partners in Myanmar in order to develop a sustainable and effective environment on which to attract more Japanese tourists. 

Creative Train Advertisements in Japan

Taking the train every morning to work, it’s hard to disregard the sheer force and amount of advertisement in Japanese trains. Be it dead bolted to the ceiling , plastered on the doors, windows or walls, or even playing on the small screens announcing station names there is just no escaping them. Japan is known for its very competitive and over-crowded publicity space as well as for using almost any surface as an advertising board (stair cases, toilet paper and obviously trains as shown below), though the latter is not exclusive to Japan.

intrain advertisement, chocolate, meiji

As explained above, trains are no exception.There are currently at least six different publicity spaces available to companies on a regular train in Japan, seven in those with digital information panels installed.

Intrain advertisement, Japan, Railway, advertisement, intrain marketing

An advertiser or a company can either purchase one specific spot or every single one of them, commonly referred to as densha jyakingu (train jacking). Furthermore the available advertising space is not limited to the six spots depicted above but can also include the train’s exterior and even, on some occasion, the entirety of the train.

But what actually make these companies go all out on in-train advertisement? A study shows that over half of the train passengers, when not too tired, take notice of them. However, their interests are very specific, mostly about magazines, trips and hotels and book publications, forcing companies to go the extra “extra-mile” to get, and hold, their attention. With 18.5 million people riding Tokyo trains every day, it’s hard to argue with those numbers.

We compiled, for your enjoyment/amusement, five such attention grabbing train adverts that go the extra-mile:

1) The Necktie Handle (Mobit Loan company, Fall 2006):

advertisement, loan, neckties

At first “encounter” you would expect such a contraption to be advertising a cloth retailer or even an influential tailor, however this advertising item actually is trying to promote a loan company. If it doesn’t make sense at first glance, it becomes more understandable when one tells you that one commonality (of many) in the Japanese business world is men in suits. It is thus easy to associate neckties, the essential component of any proper suit attire, with anything to do with personal finance and loans.

2) The seasonal green tea and Highball Whiskey mix  (Suntory, fall 2006 to spring 2007 and December 2011)

advertissement, intrain marketing, fall, suntory

Suntory went all out with this product’s campaign, making one three dimension advertising banner for three Japanese seasonal events. Fall has pretty orange maple leaves, winter has the traditional New Year decoration made of an orange and straw, and spring has the also very traditional cherry blossom flowers attached to the posters. This type of advertisement is a direct reminder of the traditional “茶道” (sadoo) or tea ceremony that follows the changes of seasons, a core value of Japanese people.

Suntory, Highball, drink, intrain advert, intrain marketing, interactiv

As for the Whiskey mix the advertisement actually encouraged the commuters to interact with it as presented in the following video (here). The motion of lifting the traditional ”暖簾” (Noren) the three piece curtain hanging in front of traditional Japanese bars, Izakaya, creates a sense of familiarity for the user and contributes to the product’s appeal.

 

3)The Starbucks wool “scarf” banner (December 2008):

Starbucks Japan, marketing, intrain marketing, wool,

Contrary to the necktie, this advertisement is quite self-explanatory.  Using  colours and materials traditionally associated with winter and Christmas, even in Japan where Christmas and especially Christmas eve is a popular  commercial event for couples and families,  Starbucks brought some knit seasonal cheer to Japanese trains.

4)The fluffy flat teddy bear banner (Disney Japan, Spring 2012):

Disney duffy bear, intrain marketing, teddy cushion

This one is also quite a surprising use of banner space: Instead of literally hanging a teddy bear to the ceiling, like education company Benesse did, Disney created a rectangular stuffed cushion with the face of the famous Duffy character. Disney enjoys a large client base in Japan, from young children to middle age women. Using Japan’s grand favourite, Duffy the Disney bear, they marketed a new spring attraction. Duffy, the character, has enjoyed a growing popularity in Japan since its introduction as Mickey’s best friend in 2002. This makes it the perfect marketing tool for any new Disney event, and this version is sure to attract the eye.

5) The towel, The flip-flops and The beach mat (Fuji TV, July 2013):

Summer nude, flipflops, Fuji TV, Yamashita Tomohisa, Train, Intrain Marketing

Now that is a combination one would not expect in a train, even less so hanging from the ceiling. This surprising trilogy was seen all other the Soubukaisoku Line in Chiba prefecture this summer to promote Fuji TV’s newest drama Summer Nude, with popular Boy-Band member Yamashita Tomohisa. According to the tweets one can find online, it was quite well received by the public.

Towel, beach, mat, Summer nude, Yamashita Tomohisa, Fuji TV, Train, In train marketing, Chiba prefecture

The importance of grabbing commuters attention, as the advertisements above surely have, is very real in Japanese trains. Not only are they the most used means of transportation in urban areas (48% of all trips in 2008 in Tokyo according to a survey published in 2011), but they are also the place Japanese people spend the most time in (equivalent of 20 days per year), making it all the more important to grab their attention and hold it, possibly for the whole train ride.

Bonus,something we snapped this morning in the train
6) Kirin’s Bitter caramel and Sunny Orange coffee(August 2013)

cofee, train commercial, advertisement

Currently Kirin is heavily promoting its new coffee drink for women, including on the train. On that note, this author would like to recommend you the coffee articles that one of our team is currently blogging about (here). If you haven’t seen it already, it’s a great read.

India: A Priority Partner for Japan

Earlier this year, Japan’s Prime Minsiter Shinzo Abe visited India to pledge continued economic, technical and political support for the subcontinent amidst increasing geopolitical tensions with China; Japan’s largest trading partner. Abe’s visit signified growing interest in India among Japan’s private and public sector, in particular amongst Japanese corporations looking for a new abundant source of highly skilled, entrepreneurial, low-cost labour and a massive market of emerging middle-class consumers.

Japan’s foray into India began in the early 1990s following India’s period of economic reforms, but it served as a second priority to China and ASEAN until around 2008 to 2012 when Japanese investments into India rose seven fold making Japan the third largest source of foreign investment. A survey by the Japan Export Trading Organisation (JETRO) in 2012 also revealed that India had become the most preferred location for Japanese investment.

In August 2011, both nations signed a Comprehensive Economic Partnership Agreement (CEPA) with the intention of boosting bilateral trade, and since then more than 900 Japanese companies have been registered in India, whilst steadily expanding their local presence and according to an Ersnt and Young study, Japan is now the second largest foreign job creator in India. The Hindustan Times believes that ”If a fraction of the 14,000 Japanese firms in China were to move (to India), the result would be a job Tsunami.”

Current Challenges

On the other hand,  since the implementation of the CEPA India has been on the rough end of a widening trade deficit with Japan as Indian companies have to cope with much tougher and more expensive tariffs to enter the Japanese market and once inside, Indian IT firms for example have experienced stagnant growth. Therefore from the perspectives of many Indians, Japan is benefiting more from the agreement so far.

At the same time as Masanori Kondo points out it is not so easy for Japanese companies to establish themselves in India either as they struggle to cope with India’s poor infrastructure, bureaucratic red tape, complicated tax system and human resource management.

Lessons from Korean Companies in India

In the late 1980s and 1990s when Japanese companies where focusing their efforts on the US and Western European markets, Korean corporations such as Samsung and LG made inroads into the former USSR and India and have since become highly successful. Masanori Kondo believes this stems from the more competitive business practices of Korean companies which should now be adopted by Japanese firms hoping to expand their presence in India as well. Three strategies in particular stood out from Masanori’s report:

1- Localization

South Korean corporations were highly sensitive to local tastes and the needs of Indian consumers when developing their products for the Indian market and took the initiative to conduct in-depth market research and established local R&D facilities. Quiet air conditioners, dust-free keyboards, sari-cycle washing machines and vegetarian orientated refrigerators are examples of such Indian-orientated products. In hindsight many Japanese companies failed to recognize the importance of adapting to Indian aesthetics and tried selling products already adapted for Southeast Asia or European markets. In contrast Toyota’s ‘minivan’ has proved very popular among large Indian families and Sony’s flat-screen TVs continues to outsell those of its Korean competitors.

2- Improving Expatriate Life

Samsung encourages their expatriate staff in India to take part in cultural exchanges such as home stays with Indian families in order to become more sensitive to local customs and develop enthusiasm for working in India. ‘Korean villages’ have also been created, designed to provide comfort and to cater to all the Korean necessities of expatriate staff which enables them to adapt more easily to life in India. In contrast Japanese expatriates find it very difficult to adapt to conditions in India, and often become less motivated and less productive which Masanori believes contributes to a “vicious cycle of poor performance.”  As a result on average, Korean expatriates stay in India twice as long as a their Japanese counterparts.

3- Making the most of Local Talent

India’s abundance of young, skilled and motivated talent has contributed to the success of Korean companies in India who, like LG have even sent some of their best performing Indian managers to oversee operations in other emerging markets. Decision making in Japanese companies is often concentrated in the hands of Japanese rather than Indian employees and there are scarce opportunities for global career progression for local staff. Providing more optimistic career prospects and chances to benefit the firm both locally and globally could ensure that Japanese companies can recruit and retain the best of India’s talent.

Opportunities for Japanese Companies in India

Despite the surge in Japanese investment in India over the last five years, the country still represents “only 4% of total Japanese outward investment flow into Asia,” so there is potential for much greater cooperation between the two nations. Atish Patel writing for the Wall Street Journal identifies these opportunities for future collaboration: “India has natural resources; Japan lacks raw materials. India has built a thriving software industry; Japan is home to many of the world’s hardware heavyweights. India’s economy is labor intensive; Japan’s is capital intensive. India’s infrastructure is in a dire state; Japan’s infrastructure is the envy of the world.”

Japanese can gain tremendously from spearheading massive infrastructure projects in India such as the Delhi Metro, The Delhi-Mumbai Industrial Corridor, and possibly even bullet trains to update India’s ancient railway system. Not only does improved infrastructure benefit Japanese companies operating in India but economies and cities can be built around these improved transport networks, which generates more wealth for local populations. Japan offers a competitive advantage as a world leader in infrastructure engineering and is in a key position to dominate the market as the largest infrastructure supplier which also requires a long term commitment to sustain quality and maintenance.

Finance, insurance, pharmaceutical and IT sectors present much easier market entry for Japanese companies compared to capital intensive sectors such as manufacturing in which there are many established competitors. India’s well educated, but comparatively low cost professionals enable Japanese companies to launch more R&D centres, and increase their penetration in the tertiary sector. Recently Japanese financial groups such as Nomura, Daiwa and Dai-ichi Life Insurance have all entered and expanded operations in India.

India’s rapidly growing population and industry drastically requires a low-cost, sustainable source of energy and nuclear seems an attractive solution. Since the 2011 Fukushima crisis in Japan, domestic development of nuclear energy has become a controversial topic in Japan, therefore Japan can gain from selling its nuclear technology and expertise to India.

More than just a China Plus One-strategy

As stated in a previous post about Japanese and Korean companies in China, many have or are adopting a ‘China-Plus One strategy’, India does not have to be part of this, instead it can become a complete alternative to China altogether. Japan can benefit from expanding operations in the subcontinent which offers more promising prospects than other parts of the world. According to the president of Panasonic India, “India is not anymore a part of our emerging market business but has been carved out as the number one priority market globally” as the company plans to double sales over the next three years and invest more than US$20 Billion. With this kind of optimism and prospects for mutual benefit and cooperation India has clearly become a key partner for Japan.

Japan and Korea: Still Looking West to China?

Japanese and Korean firms have been investing in China since the early 80s and 90s respectively; setting up factories and research facilities in order to save on costs.  Yet as China’s growth slows, albeit still at impressive levels above 7%, the country is becoming less attractive for Japanese and Korean companies for a variety of reasons.

Major Challenges:

Several factors are affecting the decisions of Japanese and Korean firms to continue operations, expand and in some cases pull out of China altogether.

Rising Labour Costs

As China evolves from a lower to a middle-income economy, wages and associated human capital costs are rising fast, more than 10% in 2012 coupled with the increasing value of the RMB it has become more costly to ship goods manufactured in China.

Competition from Local Firms

Chinese companies are emerging as competitors to Japanese and Korean manufacturers.

Government Regulation

Ranked 91 out of 185 counties in terms of ease of doing business (which could represent the level of red tape in China), a lack of ‘guanxi’ or connections and difficulties in understanding the rules established in inland provinces as factories move away from the coast can pose great obstacles to Japanese and Korean firms.

Protectionism

According to the CEIBS Business in China Survey 2013, 16% of foreign firms are worried by local protectionism and Korean companies in particular are concerned about the unfavorable sentiment directed at their companies.

Intellectual Property Infringements

This is a key challenge, especially for companies producing higher-end products and research, the recent claim by Kawasaki Heavy Industries that a Chinese company stole their Shinkansen or high speed railway technology is a testament to the issues with IP protection in China.

Finding and Retaining Skilled Talent

With restrictions on rural-urban mobility and and a lack of semi-skilled labour in certain sectors, foreign companies struggle to cope with the shortage of key talent despite the oversupply of college graduates and migrant workers in cities.

Political Tensions

Following flare ups of territorial disputes over islands in the East China Sea,  anti-Japanese sentiment can affect overall stability of operations for Japanese companies in China as boycotts of Japanese products, worker strikes and violent protects become larger and more rampant.

Major Opportunities:

China Plus One Strategy

For years Japanese and Korean firms have been employing this strategy to set up operations in China followed by a cheaper Southeast Asian economy in order to spread risk and anticipate rising labour costs. Now in particular firms are looking to exploit newly attractive destinations such as Myanmar, India, Indonesia, Laos, Cambodia and Bangladesh.

Repatriate Manufacturing

A weaker Yen in Japan and favorable government policies in Korea are encouraging firms to relocate some of their manufacturing back home.

Focus on Higher-end Investments

Larger Japanese and Korean companies such as Sony and Samsung are taking advantage of China’s climb up the value-chain and focusing on research and higher-end manufacturing an area of which only a handful of Chinese firms can currently compete.

Sell to the Chinese Market

With an expanding middle class and rising purchasing power the Chinese market offers Japanese and Korean firms a large pool of potential consumers considering their shrinking domestic markets.

China-Korea-Japan FTA. 

A Free Trade Agreement between Asia’s economic giants would present interesting opportunities for all three nations to enhance trilateral trade and boost their competitive industries.

As doing business in China becomes more challenging for Japanese and Korean companies there are also opportunities they can exploit to be part of China’s continuing economic growth.

Digital Idol Gets a Physical Cafe

Since Crypton Future Media first released their vocal synthesiser application and its associated anime character way back in 2006, Hatsune Miku has become an iconic figure in both otaku and mainstream pop culture. If collaborations with Family Mart, Google Chrome, Dominos, and Louis Vuitton, numerous live concerts and even an “opera” performance are anything to go by, it seems as if interest in Hatsune Miku is still going strong.

Tokyo City View in Roppongi is featuring a pop up Hatsune Miku Cafe that celebrates both the character and the fan-created songs and videos that made her famous.

Operating under the theme ‘Hatsune Miku with LOVE’, the space features a mini exhibition of famous illustrations, screenings of Vocaloid Cinema Party, as well as a life-sized model of the Vocaloid star herself. One corner of the cafe also has an video and audio archive of Hatsune Miku-related media for both customers and passer-bys to access.

The cafe also features a huge wall full of teal and white heart-shaped sticky notes that previous customers have written messages and drawn pictures on.

Next door, there is a special gift shop stocked with Hatsune Miku merchandise.

Of course the cafe also offers a thoroughly themed menu, complete with Hatsune Miku-shaped rice and curry, leek soba, and an assortment of vividly coloured drinks named after songs that were composed with Vocaloid software by fans.

While Vocaloid started out as a production tool that pieced together sounds to create a realistic “singing” voice, having Hatsune Miku associated with the software created a character that viewers could associate with and use to create a variety of complementary media, from 3D animated music videos to illustrations.

Cross-promotion and marketing of products and animated characters across a different range of services and media platforms in Japan is nothing new, but the cultural impact that Hatsune Miku has had because of the involvement of fan-created content is an interesting development. Without the creative input of fans and their creation of songs, videos and illustrations, Hatsune Miku would arguably not have been as big an icon as she is now, nor would the character have generated the same amount of economic value for the Vocaloid franchise.

How corporations and marketing expertise is adapting to a changing media environment where audiences have the ability to both create their own content as well as share it with others almost as easily as major content producers is something that will be interesting to consider in the future. One thing is for sure, there will probably be many more collaborations to come – we definitely aren’t the only ones who can’t get enough of Hatsune Miku!

 

Light up Tokyo with Scale-Model Projection Mapping

Roppongi Hills has launched an interactive website called Tokyo City Symphony as part of a digital campaign that allows users to create and project symphonies of light and music onto a 1:1000 scale model of the Tokyo cityscape.

Operating under the theme of ‘LOVE TOKYO’, the website is being released as part of a number of creative events happening around Roppongi Hills to celebrate their 10th anniversary. The experience starts off by accessing the site and choosing from three visual motifs: “Future City”, “Rock City” and “Edo City”.

Each user is given an eight second score which they can use their keyboards like a piano to input various combinations of matching light projections and melodies onto the scale model of Tokyo. If desired, they can then choose to save and share their symphony creations on Facebook, Twitter or Google +. Submitted symphony scores are put together in an online archive as part of an infinite symphony.

The result is an incredibly lifelike simulation of what customised projection mapping on the whole of Tokyo would look like. In fact, the scale model of the city that was used was previously used in a bid to host the Olympic Games in Tokyo back in 2009. To provide some additional perspective, the handcrafted model measures about 5 square meters while real life Tokyo stretches over 6,400 acres of land.

The project was made in collaboration with a number of Japan’s most prominent creators, including creative direction by Tsubasa Oyagi, who was behind OK Go’s Cannes Lion winning video All Is Not Lost. The campaign is the first from his new creative boutique, SIX P.I.C.S, and also involves talent from well-known interactive design agency Bascule Inc as well as motion specialist TAKCOM and music by Koshi Miura of Kuchiroro.

The small details of the project are eerily accurate, from the sounds – anyone who has ever gotten off at Roppongi Station, for example, will recognise the voice of the train conductor announcing ‘Roppongi, Roppongi’ – to the actual visual display of the Tokyo cityscape itself. All of these things create a dynamic experience of being in Tokyo city, albeit online.

 

Creative Director: Tsubasa Oyagi, Web Director: Kampei Baba (BASCULE), Programmer: Noriyuki Watanabe (BASCULE), Designer: Sadanori Maeda, Movie Director: TAKCOM, Composer: Kouji Miura, 3D Projection Mapping: Hironori Terai, Takahiko Kashima, Production/System: Toshiyuki Hashimoto, Seiya Nakano, Tomoya Kishimoto.

 

 

Projection Mapping on Robots in Akihabara

As part of their Technology Night and Day Event this weekend, Intel featured a 3D projection mapping project that utilised two robotic arms and a monolithic screen. Held over a Saturday night and Sunday morning, the Akihabara event was intended to debut Intel’s new 4th-generation Core processors for desktop and laptop PCs.

The projection mapping was crafted by some of the same people who lit up Zojoji Temple for KDDI, and won the Grand Prize in the Entertainment Division at the 16th Japan Media Art’s Festival for their work on techno-pop group Perfume’s global debutRhizomatiks.

Projection mapping uses a combination of specialised software and projection technology to turn any 2D or 3D object, no matter how irregular, into a custom-fit “screen” that creators can use to project optical illusions, and moving images onto. For this particular event, the projection was made in collaboration with audio from DJ Setsuya Kurotaki, who performed live that night.

A rapid series of images, animations and light effects were projected onto two robotic arms which moved rhythmically in unison with the beat.

Using projection mapping to accompany product promotions or events is becoming an increasingly popular tool for advertising and branding alike. The ability to transform everyday objects as big as buildings to items as small as shimeji mushrooms, into optical illusions and moving images means that any surface can now be used as part of visually impressive performances and installations.

Japan’s Top Companies Look to the Future

What do nineteen of Japan’s leading companies think will be the major problems facing society in 2030? A new exhibition in Tokyo Midtown Design Hub called ‘Changing the World Through Design‘ is using installations to provide visitors with a glimpse of what the likes of Toyota, Mitsubishi and Fujitsu think.

The exhibition’s overall theme is the design of future society, and it explores some of the major challenges facing societies both now and in the future. The space is organised into five broad themes reflecting these concerns: ‘Energy’, ‘Education’, ‘Agriculture’, ‘Resilience’, and ‘Community’.

Each company’s installation is contained in a “light capsule”: a glowing semisphere with two holes, one rimmed in black and the other in white, that allow visitors to peer into the capsule to see the installation from different vantage points. The installations are visual representations of a particular issue or challenge, and each hole allows visitors to literally see both what the company views as its existing challenge as well as a potential solution to the challenge in the future.

Rohto’s Capsule

In the ‘Agriculture’ theme, the capsule for Rohto, a pharmaceutical company dealing with health and beauty products, showed the figures of people ploughing the land through one hole, while the second revealed the entire image of a ying-yang symbol. The installation mirrored the emphasis the company wants to place on mutually beneficial projects between developed and developing countries.

Viewed from the second hole, visitors can see the full installation

In the ‘Education’ theme, Gree, one of Japan’s biggest social networking services that focuses on mobile games, stressed the importance of using technology to teach, and highlighted the potential of games as a learning tool.

Viewed from the first hole, visitors see the back of a girl studying

Viewing the installation from the second hole reveals that the girl is using a smart device to learn instead of traditional textbooks

Tour company H.I.S‘s focused on their role in supporting travel as an important part of education. Their display showcased their efforts to encourage and provide opportunities to Japanese students who want to broaden their horizons by travelling overseas to volunteer in countries like Bangladesh, Burma and Cambodia.

Under the theme of ‘Resilience’, Honda’s installation showcased the company’s focus on projects dealing with making decisions that could save lives in disaster situations. Accompanying the installation was a description of a system which would use smartphones and GPS to identify and inform Honda drivers of locations to escape to in times of disaster.

The use of installations to visually present future challenges and social innovations is quite a unique way of relating the goals and directions of the companies featured. The idea of the capsule is also an interesting one, and it really tries to get visitors engaged with thinking about the future and the present as connected realities.

Through the 19 capsules, each of the featured companies consider the new roles and values they will have to take on in the future, and it is interesting to consider which themes and challenges each company chose to present their installation under. Companies like NEC, Mitsui, JR East and Mistubishi all centered on the issues dealing with the management of resources and energy, while food and beverage companies like Kirin and Watami focused on projects dealing with supporting food production in earthquake-struck areas and sustainable agriculture respectively.

Kirin’s installation

Rebirth Project’s Genki Dama Display

The direction that each company is choosing to take also implies that particular research facilities, technological innovations and assets associated with these companies will also be allocated to particular industries and projects, and this will ultimately play a role in shaping the nature and types of innovation that we will witness in the future.

 

Participating companies: H.I.S., Gree, Kirin, Toppan Printing, Toyota Marketing Japan, NEC (Japan), Patagonia Japan, JR East, Fujitsu, Honda Motor, Mitsui & Co., Mitsubishi Chemical Holdings, Mitsubishi Corporation, Yamaha Music Japan, Lush Japan, Ricoh, Rebirth Project, Rohto Pharmaceutical, Watami.

Logbar Creates Social Drinking Economy

If you hate having to make awkward small talk when you meet new people in a bar or party, Logbar might just be your next destination. Logbar is a new concept that attempts to make the bar experience more social and open by allowing customers to interact with each other through creating, promoting and selling their own original cocktails. Open on Monday evenings in their Shibuya location, Logbar is an experiment that re-imagines how we meet and interact with strangers on a night out.

Upon entering, customers are each presented with an iPad mini that they keep for the duration of the night. First-time customers create their own profiles, which store personalised information like their favourite foods, current mood and hobbies, as well as their drink preferences. Then of course, there is the obligatory profile photo. The staff will even supply a desk light to ensure a well lit photo.

A number of different bases, modifiers and flavourings including whisky, green tea liquor and even flower petals among others are available to create custom drinks. For that extra something, collagen powder, vitamin C, and dietary fibre are also on offer.

Once a drink has been created, customers can choose their own catchy name, description and photo to accompany the mix. The drink is then posted to a public timeline where other patrons can order your special concoction. On the particular night we went, creations such as ‘The Eiffel Tower’, ‘Caffeine Explosion’ and ‘Anti-Aging MalibuOR’ were on offer. If a custom drink looks and sounds appealing enough, other customers might buy the drink, and the creator receives a 50 yen commission.

Perhaps the most interesting feature of this system is that it is all supported by a platform that utilises features of social networking services to encourage interaction in a uniquely “digital” way. Custom drinks can be ordered by, commented on, and even “liked” by other people in the bar.

Customers can also suggests topics to talk about with everyone on the main timeline, and send chocolates as virtual gifts to each other. Each customer starts off with 5 complimentary chocolates, which can then be traded or converted into the real deal.

Although we were initially a little skeptical of how interesting using the Logbar system would be, it was quite surprising how much fun we had just playing around with our own creations, and being constantly updated on what the people around us were doing.

While the system does make social interaction smoother initially, having an iPad in front of you the whole time does mean that you are going to be engrossed in using it. There were a few times where it seemed like the entire bar fell into silence because everyone was engrossed in fiddling with their iPads. There is definitely a question concerning the kind of interaction systems like Longbar enhance, and this mirrors broader discussions on the types of relationships fostered by social networking services (SNS).

Logbar seems well suited to situations where there is a lot of casual interaction, as it simplifies the task of approaching someone you don’t know. Although it is a good way to meet new people, for a small group of friends on a night out, for example, it might not be the best way to catch up.

It would be interesting to see how this kind of system could be applied to a different range of contexts. For example, it is easy to imagine how Logbar could be used to enhance dating services like speed dating, where the system’s easy communication style and gift-giving features could really add a fun element that enlivens the atmosphere.