Fast facts:

eCommerce in Japan

Revenue and Growth

As the third largest eCommerce market in the world, Japanโ€™s revenue from online shopping stands at USD 117.76 billion in 2024. A country of tech-savvy consumers, high internet penetration and swift urbanisation, there is a vast opportunity for cross-border trade. The market is expected to grow at a compound annual growth rate (CAGR) of 6.98% from 2024 to 2028ย 

Key Segments in Japanese eCommerce

(% of total revenue)

Clothing: 28%

Entertainment (Books, movies, music, games): 20%

Food and Drink: 19%

Shoes: 17%

Cosmetics: 16%

Healthcare: 14%

Popular Payment Methods

Visa

Konbini

(Japanese Convenience Store Payment)

Mastercard

JBC

Amex

Pay Easy

As well as online payment options, Cash-on-delivery (Daibiki) is a widely trusted option for Japanese consumers. Consumers don’t need to enter credit card details on the website and if credit cards are used on delivery, customer data is deleted post-transaction.

Visa

Konbini

(Japanese Convenience Store Payment)

Mastercard

JBC

Amex

Pay Easy

As well as online payment options, Cash-on-delivery (Daibiki) is a widely trusted option for Japanese consumers. Consumers don’t need to enter credit card details on the website and if credit cards are used on delivery, customer data is deleted post-transaction.

Top 5 eCommerce Platforms in Japan

(601.7 million monthly users)

(507.7 million monthly users)

(185.3 million monthly users)

(136.8 million monthly users)

(105.4 million monthly users)

Market Dynamics

mCommerce: Japanese consumers incredibly prefer to shop on their smartphones.ย 

AI and machine learning: Top technology is enabling online sellers to personalise shipping experiences and forecast customer behaviour.ย 

Sustainability: Japanese consumers are known for their eco-consciousness, often searching for environment-friendly products.

Key Challenges of Japanese eCommerce

> Japan has a strict regulatory environment aiming to protect Japanese consumers and ensure fair competition.ย 

> Building trust with consumers is key to success in Japan.

> A unique geographical structure can present issues with logistics.

Top Carriers in Japan

Top Carriers in Japan

Consumer Delivery Preferences

  • Consumers in Japan, noted for their punctuality, expect precise and reliable delivery. Standard delivery within Japan typically occurs within 24 hours or the next day, and customers expect an explanation if it takes more than 2 days.

  • One of the most popular shipping options is specified delivery date and time. 42% of consumers always use this option, and 31% use it occasionally.ย 

  • Returns are an important factor for Japanese consumers, with 60.8% checking the return policy before making a purchase, but 87% expressed dissatisfaction about the returns experience on eCommerce sites.ย 

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