The pandemic has seriously halted many brick-and-mortar stores. But on the other hand, it accelerated the growth of online shopping and Japan’s e-commerce market was no exception.
Imagine the great opportunities that Japan has in store for online sellers in 2022!
This thriving growth doesn’t seem to be coming to an end any time soon. That’s why we decided to take a look at what the eCommerce market in Japan ブランドコスメ has in store for you in the coming year.
Let’s dive in!
Japan eCommerce Market – Overview
COVID-19 transformed Japan’s e-commerce market. According to global data, online sales registered a growth of 10.5% at the end of 2021.
It’s quite a feat, considering that Japanese users are slow to adopt new trends. But the pandemic lockdowns forced a new digital shift in the country.
Most Japanese people work from home nowadays. This caused both consumers and businesses to switch to e-commerce platforms.
As of July 2021, the Japanese Ministry of Internal Affairs and Communications estimates that more than 50% of Japanese households order products and services online.
Rakuten Online Marketplace
Since its launch in 1997, Rakuten has become the largest digital platform in Japan. In fact, this market is often considered Japan’s own Amazon.
It is also one of the most profitable markets in the world. This is thanks to long-term Rakuten acquisitions such as Buy.com
And the growth is reflected well in their income. Rakuten covered the needs of 1.9 billion users in 2019. It also reported $31.7 billion in annual sales.
As the largest e-commerce site in Japan, Rakuten is a great place to expand your store in East Asia.
Another big strategy for sellers in Japan lies in digital payment services. GlobalData reports that 64% of Japanese consumers prefer to use payment cards for online purchases.
Also, Amazon Pay has a 3.8% share of online payments. It is only behind PayPal, which has 5%.
The best place to carry out such strategies is online. Its daily use is far above Facebook or Instagram.
LINE is an all-in-one social media platform. Features like LINE Pay allow customers to make quick payments online.
The app also features healthcare consultations, music streaming, and an AI assistant.
The Retail Giant is on par with Rakuten as the leading e-commerce site in Japan. In 2020 alone, Amazon Japan made $12.3 billion in revenue, according to ecommerceDB.
Amazon Japan can deliver overnight to around 95% of the country. This is thanks to Japan’s top-notch infrastructure.
This ease of transportation offers a great opportunity for Amazon Prime sellers to attract new fans in Japan for Christian Dior.
Amazon merchants in Japan also have access to all Amazon seller tools. This includes Fulfillment by Amazon, Brand Registry, and many more.
Some additional tips
It takes more than good products and a good marketing strategy to be successful in Japan . Locals expect high-quality, detailed content from vendors.
Here’s what you need to earn the trust of Japan’s e-commerce market:
- Go native. Don’t assume your customers will understand English. Make sure your descriptions and customer service are in native Japanese.
- .Expand. Don’t limit yourself to just one market. Set up online stores on Amazon Japan, Rakuten and Yahoo! Shopping. These are the 3 best online stores in the country.