Giftee: digital gifting surges for consumer businessesThe gift market has contracted in recent years as corporate and formal gift giving has declined, but companies and individuals are enthusiastic adopters of digital gifting thanks to the convenience. Businesses, in particular, are using eGifts as marketing and promotion tools and Giftee is one of the biggest beneficiaries […]
Domestic tourism surges back to life as inbound traffic rises The long awaited lifting of restrictions on inbound tourists in October seems to have given new confidence to domestic tourists too. Major airlines, hotels and railways are all reporting a significant uplift in bookings with several forecasting that figures will exceed 2019 by March next […]
Inflation at 30 year high The CPI hit 3% in September, excluding fresh food and adjusting for consumption tax. Prices are rising due to increased global supply costs. While the government and multiple economists optimistically expect price rises to level out, households are feeling the pinch and may well cut back spending even more. Editorial: […]
Itochu signs Forever 21, American Eagle returns alone Two major US apparel retailers are returning to the Japanese market for another go. One previously entered alone but will now partner with a major Japanese retailer, and the other partnered with a major retailer first time around but will now go it alone, although with support […]
E-commerce 2021-22: another high growth year E-commerce sales of physical goods jumped nearly 9% in FY2021. Although this was well down on the pandemic-induced surge the year before, it is still higher than in any year since 2016 and leaves the sector well on track to become the largest single format channel. Total sales finished […]
Sale of Sogo Seibu imminentInitial reports suggest that Fortress Investment, part of the Softbank group of funds, is now the frontrunner in negotiations to acquire Sogo Seibu department stores from Seven & I, beating another major investment firm and Singapore’s state fund, GIC. Reports suggest Fortress is already in discussions with privately owned retailer Yodobashi […]
Big apparel looks for new relevanceThe two leading apparel firms, World and Onward, posted largely negative results for 2021 although profitability improved for World, while 3rd ranked TSI pushed ahead thanks to the golf boom. The outlook for big apparel remains uncertain; although most executives are optimistic about a rebound in sales of premium apparel […]
Widespread price rises at retail and wholesale With energy costs still rising and ongoing supply-chain issues exacerbated by the re-emergence of Covid problems in China, Japanese consumers suddenly face the prospect of genuine price inflation – as opposed to the imaginary one that the government has tried to promote for the past decade. How will […]
Household expenditure increases in 2021 and more of it online The latest figures show that, even though incomes fell for the first time in five years in 2021, average monthly household expenditure recovered and then accelerated at the end of the year. Online spending grew significantly, and much of this was new growth. Editorial: Getting […]
Seven & I to sell Sogo Seibu Department Stores Numerous reports indicate that Seven & I is preparing its Sogo Seibu department store subsidiary for sale. This follows years of calls from major investors to dispose of underperforming assets at Japan’s second largest retail conglomerate. Although it is a step forward, Seven & I still […]
Cainz takes on Nitori with Tokyu Hands takeover Iconic retail chain, Tokyu Hands, is to be acquired by Cainz, Japan’s leading home centre retailer. Tokyu Hands remains as popular as ever thanks to its unique merchandising, but it has struggled to be profitable for a long time. This is something that Cainz should be able […]
Baycrews grows online sales to 50% of turnoverBaycrews is showing how it’s done. It is tying stores and online to create real omnichannel retailing and making best use of staff knowledge and experience, an increasingly crucial asset in the competitive online fashion market. Editorial: A real festive season in 2021 B8ta opens 3rd Japanese storeB8ta […]
Zozo launches OMO platform, opens first pop-up store Zozo is getting physical: it will open its first popup physical store and start a new platform service to make it easy for merchants’ shop staff to sell and communicate with Zozo customers. Other big platforms are following suit. Zozo will also launch a new measuring service […]
Online fashion sales soarContraction in apparel consumption aside, fashion retailers and brands have made dramatic strides to pull in customers online with e-commerce sales up 24% last year according to one survey, faster than the growth in e-commerce overall. Even some wholesalers are succeeding digitally. Editorial: Ready to recover? Alpen aims for record salesSports chain […]
Muji: a ¥3 trillion brand by 2030?Ryohin Keikaku fired a broadside at Uniqlo last month when it confirmed not only that its new president would be a former lieutenant to Tadashi Yanai, but that it plans to reduce prices to compete with Uniqlo in apparel and Nitori in home. While Muji is today a quarter […]
Shrinking, ageing Japan but a growing solo marketThe latest Census confirms the ongoing fall in total population across most of the country but reveals surprising growth markets in small pockets, particularly around Greater Tokyo which now accounts for 29% of the total population. There are also ever growing numbers of single people, expanding the promising […]
Apparel groups respond to crisis2020 was an annus horribilis for the apparel sector, and particularly for wholesale-centred firms. The good news is that most have come out of the crisis energised, with new ideas about how to save their businesses and some even think they can expand again through e-commerce and diversification beyond apparel. Editorial: […]
Key stories in this month’s issue of JapanConsuming, the essential monthly analysis and data update on Japan’s retail & consumer markets: FY2020 proves better than expected as savings surgeInevitably, there were widespread problems throughout the retail sector in 2020, and with drugstores and supermarkets suffering a relative decline in the first quarter of 2021, things are still yet […]
Gamechanger: Rakuten’s win-win alliance with Japan PostThe war between Softbank/Z Holdings and Rakuten for leadership in digital ecosystems has seen Z Holdings acquire new partners and subsidiaries, and take leadership in cashless payments and then messaging through its merger with LINE (see Page10). Now Rakuten is fighting back with a truly game changing deal with […]
KEY STORIES IN THIS MONTH’S ISSUE Japanese becoming wealthier There are now more rich people in Japan, with the number of ultra rich families increasing by 3.6% in the past two years, but a huge 67% since 2005. More than 1.3 million households now have assets over ¥100 million, presenting an attractive market at the […]
