Japan has had to deal with some hard realities of an earthquake that has dampened the country’s economic recovery. With the metropolis of Tokyo dealing with 25 percent electricity cuts through the summer, things might be getting worse as access to air conditioning becomes more scarce.
“There are concerns that the impact of the Great East Japan earthquake and subsequent power shortages will cause a downturn in corporate activities and consumer confidence,” said Dentsu, Japan’s biggest agency group which saw net sales fell 7.4 percent in March and 6.4 percent in April. “Against the backdrop of this economic outlook, the Japan Center for Economic Research forecasts advertising expenditures in Japan to decrease 5.1 percent year-on-year during the fiscal year ending March 31, 2012.”
Still, roughly three-fourths of Japanese believe that the country will recover. “Advertising and marketing have not returned entirely to the way it was before the earthquake and tsunami, but day-by-day we are moving back toward something more normal,” said Ryo Matsuzaki, an account manager at independent ADEX Nihon Keizai Advertising/ICOM. “Although a number of companies are still in a wait-and-see mode in regard to their budgets and spending, overall spending is recovering.”
The switch over from public-service ads to regular advertising might come as a welcome sign of normalcy to many Japanese. “They only had about three commercials [and] the government told Dentsu to make a bunch of commercials fast,” said Dave McCaughan, regional director of strategic planning at McCann World Group Asia Pacific. “[Viewers’ reaction was] we don’t want to see one of these [Ad Council] productions ever again, we want to see ads.”
Ads are now being carefully vetted for content a new moisturizer ad with a woman floating in water was decided to be inappropriate after the recent tsunami. “There has been a change recently in the tone of creative in advertising,” said Matsuzaki. “Most of the references to disaster are gone, and instead there are more cheerful and supportive messages.”
A recent Suntory campaign had Japanese celebrities singing a song the originally cheered the nation decades ago as Japan rebuilt after World War II.
Source: AdAge