Shopping in Japan is experiencing a complex transformation influenced by inflation, technological advances, and a generational divide. Japanese shoppers have become more price-conscious amid
, which has given rise to many inexpensive parity products in the formerly luxury goods-centric market. Nonetheless, the high expectations for cost performance have not changed, and businesses have to ensure stable quality to
Restraining their spending urges
Japanese consumers are self-contradictory. On the one hand, they have become risk-averse shoppers who trust in familiar brands. At the same time, brand awareness is declining, and they Japan’s shoppers are not averse to exploring alternatives. While consumers value the quality of domestic brands, price tags remain a
decisive factor when spending on goods and services. As younger households, particularly those led by individuals under 40, are grappling with
negative net savings, they are more likely to tighten their purse strings and
use auction sites or flea market apps to find cost-saving deals. However, young consumers are not averse to spending on recreational and entertainment activities, and are more susceptible to impulse buying and pop-up advertising.
Supporting one’s favorites through shopping
Real wages are declining in Japan, spurred by rapid inflation amid global crises and a weakening yen. Consumers are torn between spending and saving, while food expenses remain the largest expense item in Japanese households. A trend that has been growing in presence in shopping habits has been
oshikatsu, referring to activities to support someone or something. Initially derived from
fandom activities supporting celebrities,
oshikatsu has loosened the tightened purse strings in other industries. Buying the same goods as their favorite artists, supporting their favorite brand or company through repeat purchases, and collecting media franchises-related merchandise are just a few examples of how consumers are willing to sideline their saving plans and try out new brands. Therefore, going forward, brand collaboration and endorsement will remain a key strategy to catch consumers’ attention.
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