Japan: domestic tourism expenditure 2023

In 2023, expenditure from domestic tourism in Japan amounted to approximately 21.9 trillion Japanese yen. This was a considerable increase compared to the previous year, matching 2019 figures. Domestic tourism accounts for most of the expenditure in the tourism sector in Japan. International tourist arrivals, as well as foreign visitors’ consumption was on the rise during the past few years until the advent of the pandemic, recovering again in 2023.

 What are the main characteristics of domestic tourism in Japan? 

Some of the distinct characteristics of Japan’s domestic tourism industry come to light when looking at travel types and purposes. In terms of overall tourism expenditure by type of travel, domestic overnight travel in Japan proved to be the main source, followed by domestic day travel and foreign inbound travel. On average, Japanese travelers spend more money on domestic overnight trips than on any other type of travel. Looking at the domestic tourism expenditure on overnight trips by purpose of travel, trips for sightseeing and recreation generated the most travel expenditure in the country, followed by traveling home, and lastly, by business travels.

 Go to Travel Campaign and tourism during COVID-19 

With the advent of the COVID-19 pandemic, Japan closed its borders for international tourists. To make up for the missing tourist spending and create stimuli for the tourism sector, the government devised the “Go to Travel” campaign, which came into effect on July 22, 2020. Its main purpose was to encourage domestic travel in the country. It provided a 35 percent discount on the cost of accommodation and travel packages, as well as coupons worth 15 percent of the total travel cost which could be spent on various travel expenses during the trip. In the span of a few months since its debut at the end of July until the end of November, nearly 70 million overnight stays had received financial support through the campaign. The monthly number of overnight stays that made use of the Go to Travel campaign peaked in October 2020. It led to an increase in accommodation occupancy rates when compared to the months before the campaign, but with international tourists virtually non-existent, the results still lagged behind last year’s performance. The campaign was suspended in December 2020 due to a rise in the number of infections and was on standby until it restarted in early 2023.