Hardly anyone in Japan actually uses a "smartphone". The regular flip phones are so full featured that there is not much need to. You can even download full TV series to your basic phone to watch while you ride the train. Between that, and email, and a few basic online apps, most consumers seem happy with their "bog standard" phones. The fact that a WinMo phone is in second place should be evidence enough that the smartphone market there is pretty much non-existant. Not once would you ever see someone on a WinMo phone.
Furthermore, phone fashion is a huge thing. While the iPhone is pretty nice by our standards, it's got nothing on some of the glitzy and sleek phones available there. Fashion also changes quickly, while the appearance of the iPhone has remained largely the same.