In Japan’s financial technology services market, no companies have a direct base in the country, and overseas companies generally enter the Japanese market through local adaptation and partnerships.
This article organizes candidate companies for procuring financial technology services in Japan and explains the current forms of market entry. The companies identified as procurement candidates are primarily overseas companies, and none is described as having a direct base in Japan.
In practice, PayPal has a Japanese subsidiary, while Stripe and Adyen are shown as providing payment services through local partner companies. Emphasis is placed on adapting to the local market and working with local companies to establish Japanese-language interfaces and customer support.
Points to confirm when procuring services include lead times, API integration, compliance with Financial Services Agency guidelines and the Act on the Protection of Personal Information, the status and renewal cycles of ISO/IEC 27001 and PCI DSS certifications, the availability of 24-hour Japanese-language support, SLAs and recovery time objectives, the frequency of feature additions and security patches, financial soundness, and the existence of a business continuity plan.
The article explains that required functions differ by field, including retail and consumer banking, capital markets and trading, lending and credit, and insurance and insurtech. Overseas fintech companies are said to pursue strategies for penetrating the Japanese market through local adaptation and collaboration.