The digitalization of publishers in Japan is unstoppable. Condé Nast Japan was one of the first to embark on digitalization after arriving in Japan. We spoke with President and CEO Jun Kitada about the journey so far.
■The Wave of Digitalization
The Vogue Nippon website launched one year after its launch in November 2000. At the time, the magazine was still exploring the possibilities of digital, and first launched a magazine replica, which translated the magazine's content directly into digital form, under the guise of liberating it from print media. Moreover, it made viewing it on an iPad seem stylish. Subsequently, the company introduced video, interactive features, and created and sold products available exclusively digitally, eventually developing the completely original content site that it is today. As of February 2017, the online version of Vogue Japan (renamed in the May 2011 issue) boasts 2,300,000 unique users per month and 22,000,000 pageviews per month, making it the number one Japanese fashion magazine site. "Condé Nast must always be a leader in both print and digital media. We aim to be a tier-one digital company. We aim to be a premium, front-row digital media company," says Kitada. Just as print media has earned a reputation for providing beautiful visuals and cutting-edge information, our mission in the digital space is to continue to inspire and amaze audiences with our creative endeavors. Digital demands performance, too. Performance doesn't just mean numbers; it also means leveraging technology to innovate. Because this is a key point that directly impacts business, the skills of traditional cultural editors are no longer sufficient. "If we don't improve our market reputation and creativity in the digital space and people start saying, 'Vogue Japan's content is amazing!' then it has virtually no value," Kitada emphasized.
At a press conference held in 2013, Condé Nast Japan announced eight pillars of print and digital content, and announced changes to company operations and organization in preparation for full-scale digitalization. Three and a half years later, the digital landscape has changed, and development of digital magazines and apps has disappeared. The reason for this is that digital magazines and apps only serve the needs of a small portion of the audience and clients, so there was no reason to continue them.
"In 2013, we were considering social media, but we didn't expect it to become as powerful as it is today. Now, our digital team is working to grow our business by distributing and posting the most relevant information across Facebook, Twitter, LINE, and Instagram. Moreover, monetization is now becoming possible even on social media," Kitada said. In the digital world, what's in and out changes daily, and judgments must be made while keeping a sense of speed.
■Creating New Businesses
Condé Nast Japan describes itself as the "number one premium multimedia company" (a publisher offering a unique and special range of print and digital content) and has achieved this mission. However, the company has determined that there will eventually be a limit to its business growth as a publisher of print and digital content alone. Like a caterpillar transforming into an adult, the company is seeking to transform its corporate structure to better suit the times. "The phrase hasn't been finalized yet, but perhaps we could call it a content marketing agency. We have an idea of what it will look like," says Kitada.
We are now in an era where each company has its own website, or owned media. It is now possible to disseminate information without relying on mass media. However, it is said that digital media cannot fully utilize its functions unless it is updated daily. While things with timeless value can wait for visitors, like in a library, only a limited number of people need that information. Living in an information society, it's become commonplace for modern people to access new information quickly.
As a media company with communication skills, Condé Nast Japan is embarking on a new business venture: leveraging its accumulated media know-how and skills to maximize the information it receives from clients. For example, the company will focus on developing a business that utilizes its media expertise to support clients, such as determining the right number of pieces of content to post on social media at the right time and using the latest technology to disseminate information. Even in the digital world, perception and high quality remain vital for Condé Nast. "The fact that we're the first to use cutting-edge technology that Condé Nast has determined to be optimal is important," says Kitada.
■ A Global Company in the Digital Age
Condé Nast Japan LLC is a group company centered around the American company Condé Nast. Companies with overseas headquarters have traditionally followed the lead of their headquarters. However, the Condé Nast Group has taken full advantage of the unique characteristics of digital media, embracing the idea of local otonomy, a concept that has proven effective because it brings together countries with diverse cultures and philosophies. No single company has yet completely dominated the digital world. Therefore, the company has developed a corporate culture of sharing the results of trial and error in each country, communicating with each other, and embracing new challenges. As a result, the latest digital information is available from groups around the world. "Japanese publishers can only solve problems in Japan, but when we discover an issue in Japan, we bring it to the group. Solutions are always provided by countries that have already made a breakthrough. I think that's a huge advantage, because there are no borders in the digital age," says Kitada. Furthermore, the Condé Nast Group can exchange live information before it's released, allowing them to learn about what's happening in other countries, not just in fashion but in all genres. This is perhaps why Vogue Japan remains number one.
Kitada analyzes that the reason Japanese publishers are lagging behind in digitalization is because they don't have a top-down approach and don't make digitalization a mission for the entire company and all staff.
It's true that with information being updated every day and technological advances, it's becoming more difficult to present a long-term vision. In such a tough world, the "now" is the time to continue searching for the right answers.
*Tier 1 Digital Company = Tier 1 means tier 1
