01š Why outsource vertical video for Japan
Start with market growth. According to Dentsu's "2025 Advertising Expenditures in Japan," internet advertising reached Ā„4.0459 trillion of the Ā„8.0623 trillion total, a 50.2% share and the first time it passed half. CyberAgent's survey puts Japan's vertical video ad market at Ā„204.9 billion in 2025 (155.9% of the prior year), forecast to reach Ā„277.1 billion in 2026 and Ā„564.8 billion in 2029.
A growing market also means more ads competing in the same feed. Against that backdrop, overseas companies outsource vertical video for Japan for three main reasons.
- Volume: vertical video ads lose effectiveness as the same creative keeps running. You need a steady flow of new patterns, which in-house resources struggle to keep up with
- Native-language nuance: script phrasing, how subtitles are broken up and how talent speaks cannot be filled in by translation. You need creators who understand how Japanese viewers think
- Speed: working with a team that already has talent, shooting and editing set up in Japan gets ads live faster than building that from scratch
Production partners come in many forms, though. What you get, and what you need to watch for, depends on who you hire. The following sections lay out the differences.
02š¢ Four types of production partner
The partners you can hire for vertical video ads in Japan fall into four broad types. Rather than one being better than another, choose based on whether they fit your goals and setup.
| Type | Strengths | Watch-outs | Best fit |
|---|---|---|---|
| General production house (companies that make TV commercials and web video across the board) | High quality in shooting, lighting and art direction. Strong at brand films | Built around crafting each piece, so may not suit large numbers of variations or test volumes. May not have performance data from vertical ads | When you want a flagship creative for brand awareness |
| Influencer / creator agency | Can cast creators with followings, so the post itself reaches people. Natural, conversational delivery comes easily | Using content as ads (running it as paid media) often costs extra and needs a separate contract. Creators' freedom makes it harder to run tests with a controlled message | Expanding awareness, or building buzz from creators' posts |
| Ad agency with a production team | Can handle media buying, planning and production together. One point of contact | If production is subcontracted, you can end up far from the people making the work. The split between media fees and production costs can be hard to see | When you want to hand off both media and production together |
| Vertical-ad specialist | Focused on short vertical ads and used to testing while producing at volume. Has set approaches for subtitles, openings and so on | Strengths in genres and talent pools vary by company. Highly crafted brand films may not be their forte | When your goal is acquisition and you want to keep creatives rotating |
* Classification by the du-o team. In practice, many companies span more than one type.
If your goal is to swap creatives based on results, as with app installs or e-commerce purchases, prioritize a partner who can deliver volume and fast testing. If you want to convey a brand's world in a single piece, you will weigh quality more heavily. If you have both goals, splitting the flagship piece and the test volume between different partners is one option.
03š Four engagement models
Contracts with production partners broadly take one of four forms. Price levels vary widely by company, so this section looks at the character of each model.
| Model | What it is | Best fit | Watch-outs |
|---|---|---|---|
| One-off (per video) | Each video is planned, quoted and produced separately | When you want to test the fit first, or for a specific campaign | Every video means a new quote and review, so management effort grows with volume |
| Package | Number of videos, lengths, revision rounds and so on are set and ordered together | When you want several videos at once for testing | Check exactly what the package covers (resizes, number of subtitle languages, number of performers, etc.) |
| Monthly retainer | A set number of videos or amount of work each month, produced on an ongoing basis | When you want to run testing and improvement every month | Check whether unused videos roll over, early termination terms and who will be on the team |
| Performance-based | Payment depends on results such as installs or acquisitions | When you want to keep upfront costs down | Define what counts as a result and how it is measured, who sees which data, and which side keeps the rights to the creatives |
A sensible sequence is to start with a one-off or a package of a few videos, confirm the quality of communication and output, then move to a monthly retainer. Whatever the model, confirm in writing beforehand what is included and what costs extra.
04š§¾ What a quote should include
If you compare only the total, it is easy to miss differences in scope. At a minimum, check that the following items are spelled out somewhere in the quote or contract.
| Item | What to check |
|---|---|
| Planning and scripting | Who writes the script. Whether it includes rebuilding the message for Japan, or only translating your draft |
| Talent and usage rights | Beyond the appearance fee, the period, platforms and countries the footage can be used in. Terms for extending the period |
| Shooting | Number of shoot days, studio or location, scope of equipment and crew |
| Editing and subtitles | Cut editing, on-screen text, number of subtitle languages, whether narration is included |
| Music and font licensing | Whether background music, sound effects and fonts are licensed for paid advertising. Terms for using audio provided by platforms |
| Revision rounds | How many are included, and where extra charges start (major script changes, reshoots, etc.) |
| Copyright and secondary use | Which side owns the finished video. Whether it can be reused in other ads, on websites, in stores and so on |
| Variations and resizes | Whether variations with a swapped opening, different lengths and non-9:16 exports (1:1 or 16:9) are included |
| Asset delivery | Whether you receive only the finished video, or also raw footage and project files |
| Reporting | Whether a review of results and suggestions for the next round of production are included |
The items most often overlooked are talent usage rights and music licensing. Even if everything is fine at the shoot, extending the run or using the ad in another country can require extra fees or replacements. Rights handling differs by country and contract, so check with a professional for important projects.
05š The production process and where delays come from
Producing vertical video ads generally follows this flow.
- Discovery: share the product, target audience, goals, past results and off-limits expressions
- Planning and scripting: decide on the opening type, message angle and structure, and write the script
- Script approval: finalize the shoot after internal and legal review
- Casting and pre-production: settle talent, location, props and shoot date
- Shoot
- Editing and subtitles: produce a first cut, get feedback and revise
- Final approval and delivery: deliver with export formats and sizes aligned
- Launch and review: look at results and feed them into the next script
In the du-o team's experience, most schedule slips come not from production itself but from waiting for script and first-cut approvals. Things tend to stall when too many people are reviewing, no one has been named as the final decision-maker, or another department (legal or brand) joins the review late.
Labels that show content is advertising (such as "åŗå" or "PR") have been subject to regulation under Japan's Act against Unjustifiable Premiums and Misleading Representations (the stealth marketing rules) since October 2023. For how to display them in specific cases, check the Consumer Affairs Agency's materials or consult a professional.
06š Working with a Japanese production partner from overseas
When an overseas company works with a production partner in Japan, a few issues come up that don't arise in purely domestic deals.
Communication
- An English-speaking contact: check that not just the salesperson but also someone you can ask questions during production speaks English
- Back-translation of scripts: have the Japanese script translated back into English to confirm it matches your intent. An explanation of why a phrase was chosen, rather than a literal translation alone, makes it easier to judge
- Time-coded feedback: give instructions with timestamps, such as "shorten the subtitle at 0:03ā0:05." Even across a language gap, there is less confusion about what to fix
- Scheduling around time zones: each round of review can take a full day. Set approval deadlines up front
Money and contracts
- JPY invoicing and FX exposure: Japanese companies usually invoice in yen. Exchange rate swings change what you actually pay, so build in budget headroom or fix the payment currency and timing in the contract
- Ad accounts in your own name: even if the partner runs your media, create your TikTok, Meta and other ad accounts in your company's name and grant the partner access. That way you don't lose campaign data or the account when the contract ends
- Rights agreed in writing: put talent usage scope, secondary use, asset delivery and post-contract handling in the contract or purchase order, not just in emails
Many overseas brands have no track record in Japan yet. It helps to treat the first few videos as a period for testing how easy the working relationship is, not just the output.
07š¦ Red flags and good signs
By the meeting and quote stage, you can already see a fair amount about how a partner works. These are the signs the du-o team looks for.
| Red flags | Good signs |
|---|---|
| The quote is a lump sum with no mention of talent usage rights or revision rounds | Scope is spelled out item by item, and conditions that trigger extra costs are explained |
| They promise results, such as "You will definitely see results" | They explain concretely how testing will run and which metrics will guide decisions |
| They can't show past work, or only have horizontal video | They can show vertical work along with its goals and genre |
| They ask to create the ad account in their own name | They assume access will be granted to an account in your name |
| Asked about a script's intent, they only say "This is how it's done in Japan" | They can explain in words why they chose a phrase or structure |
| Contacts change often and it's unclear who is overseeing production | The point of contact and the person responsible for production are clear |
| They show no interest in checks around disclosure labels such as "åŗå" or "PR" | Their proposals take platform review standards and disclosure rules into account |
08ā Questions to ask before signing
Finally, here are questions you can use as-is when talking to candidate companies. Beyond the content of the answers, whether they come back quickly and concretely is itself useful information.
Team and track record
- How many short vertical ads do you produce per month? Do you have work in a genre close to ours?
- Do you handle scripting, shooting and editing in-house, or subcontract them?
- Will your English-speaking contact remain our point of contact during production?
Scope and cost
- Does the quote include talent usage rights, music and font licensing, and resized exports?
- How many revision rounds are included? Where do extra charges start?
- What is the invoicing currency, and what are the payment terms?
Rights and data
- Which side owns the rights to the finished videos? Can they be used on other platforms and in other countries?
- Can we receive the raw footage and project files?
- Can the ads run from accounts that stay in our name?
Ways of working
- At the script stage, can you provide a back-translation into English and an explanation of intent?
- How will you review results and feed them into the next round of production?
- Can we try a few videos first before moving to an ongoing contract?
09ā Checklist for choosing a production partner
- You chose a partner type that fits your goal (brand awareness or acquisition)
- You confirmed in writing the engagement model, what it includes and what costs extra
- The quote covers talent usage rights, music and font licensing, revision rounds and resizes
- Ownership of the finished videos and the scope of secondary use are written into the contract
- You named one final decision-maker and shared off-limits expressions and required elements before scripting
- You have a process for script back-translation and time-coded feedback
- Ad accounts are in your company's name, with access granted to the partner
- If invoiced in yen, you have built exchange rate swings into the budget
š Talk to our hands-on Duo team about vertical video production for Japan
2,000+ creatives produced per month for TikTok, Instagram and YouTube, from scripts, talent, shooting and subtitles to running the ads. Rough, early-stage questions are welcome!
Book a free consult āā FAQ
Should I hire a Japanese production company, or have a production company in my own country make a Japanese version?
Which engagement model should I start with?
What should I watch for when comparing quotes?
How can I review a Japanese script from overseas?
Can I let my production partner create the ad account?
š Related articles
š Sources
- Dentsu (é»é), ć2025幓 ę„ę¬ć®åŗåč²»ć [2025 Advertising Expenditures in Japan] (announced March 5, 2026) ā total ad spend Ā„8.0623 trillion; internet ad spend Ā„4.0459 trillion, 50.2% share
www.dentsu.co.jp/news/release/2026/0305-011003.html - CyberAgent (ćµć¤ćć¼ćØć¼ćøć§ć³ć), ć2025幓å½å
åē»åŗåć®åøå “ååčŖæę»ć [2025 Domestic Video Advertising Market Survey] (March 9, 2026) ā vertical video ad market Ā„204.9 billion (155.9% YoY); forecasts of Ā„277.1 billion in 2026 and Ā„564.8 billion in 2029
www.cyberagent.co.jp/news/detail/id=33050 - Consumer Affairs Agency (ę¶č²»č
åŗ), stealth marketing notice under the Premiums and Representations Act ā effective October 1, 2023; examples of labels that show content is advertising
www.caa.go.jp/policies/policy/representation/fair_labeling/stealth_marketing/