PR Firm, Edelman, Feels its Japan Presence Enables them to Compete for More Global Business

April 2006 -- Edelman is an international public relations consultancy helping companies communicate with the stakeholders important to their business success, primarily through media relations.  In Japan, Edelman helps foreign multinationals like AIG, Johnson & Johnson and Sanofi-Aventis communicate with the domestic market.  The firm also helps Japanese multinationals like Canon, Nissan and Nomura Securities communicate in overseas markets.

Opportunities in Japan
The company expanded to Japan because of the increasing demand for its services by Edelman's multinational clients.  "We realize what an important market Japan is as one of the great economies of the world," said Daniel J. Edelman, chairman of Edelman worldwide.  "But more importantly, some of our major clients--Microsoft, for example--urged us on, saying, "We need you in Japan.'"

Furthermore, Edelman needed to complete its global offer.  "It's difficult to be a truly global firm if you're not in Japan," said Robert Pickard, president of Edelman's North Asia region.  "A lot of multinationals now want to hire one agency on a worldwide basis."

Market Entry
Edelman began by holding a consultation with JETRO to get guidance on all the aspects of setting up a business in Japan.  "JETRO was very useful in helping us understand the right way to create a new business in Japan in a coherent, step-by-step sort of way, and that was invaluable to us," said Pickard.

JETRO then recommended local professionals to help Edelman with the formation of their Japan business.  "We were able to approach an accounting consultant, seeing that we had JETRO's stamp of approval.  Even when it came to Japanese lessons for executives, JETRO recommended local vendors who could help us do that."

Results and Outlook
After establishing their Japan office in February 2005, Edelman estimated a conservative $1M in revenue for their first year, but they are on track to double their annual projection.  "We were told by a lot of people we would have to wait a long time before we would start to make a profit, so we scaled our expectations accordingly," said Pickard.  "But we've been able to build our business at a much more aggressive pace than some of the skeptics predicted."

Opening a Japan office has also added to the company's global profile.  "Now that Edelman is in Japan," said Pickard, "it means that we can compete for more truly global business.  That's the big impact of our being here, above and beyond the business we've been able to build in Japan alone."