Travel operators transaction amount from domestic tourism in Japan 2015-2023
transactions of inbound tourists handled by Japanese travel operators showed a continuous growth throughout recent years. The tourism industry recovered from the effects of the COVID-19 pandemic.
Target group: domestic travelers
Despite the shrinking domestic market, Japanese travelers remain the main target of travel operators in the country. Agent organized tours for trips within the Japanese borders accounted for the lion’s share of transactions for inhouse brand products, whereas guided tour sales directed at foreign visitors were hampered significantly by language barriers.
The internet as a competitor
The travel booking business shifted and turned into a competitive landscape in the wake of fast and feeless sales channels provided on the internet. While less than one in three domestic travelers relied on travel agents’ websites for bookings, more than half of them accessed online-specialized travel booking sites to customize their overnight trips to their expectations. However, travel agencies remain the main channels for purchasing overseas travels, with both company websites and physical stores being the places to go.
The transaction value of travel agencies generated through domestic tourism in Japan amounted to around 2.49 trillion Japanese yen in 2023, still below the roughly 2.8 trillion yen in fiscal 2019. Contrary to the downward trend of the demand from domestic travelers, Target group: domestic travelers
Despite the shrinking domestic market, Japanese travelers remain the main target of travel operators in the country. Agent organized tours for trips within the Japanese borders accounted for the lion’s share of transactions for inhouse brand products, whereas guided tour sales directed at foreign visitors were hampered significantly by language barriers.
The internet as a competitor
The travel booking business shifted and turned into a competitive landscape in the wake of fast and feeless sales channels provided on the internet. While less than one in three domestic travelers relied on travel agents’ websites for bookings, more than half of them accessed online-specialized travel booking sites to customize their overnight trips to their expectations. However, travel agencies remain the main channels for purchasing overseas travels, with both company websites and physical stores being the places to go.