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Experiential tourism key to driving inbound spending in Japan
Experiential tourism key to driving inbound spending in Japan

Japan Times

time2 days ago

  • Business
  • Japan Times

Experiential tourism key to driving inbound spending in Japan

Amid signs of changes in spending behavior among foreign visitors, enhancing experience-based tourism and offering value-added accommodation services are key to further stimulating inbound consumption in Japan. The estimated number of foreign visitors to Japan hit a record high of 21,518,100 in January-June, topping the 20-million mark at the fastest pace ever. The results highlighted the popularity of Japan as a travel destination. However, the consumption patterns of these visitors have been shifting as their enthusiasm for purchasing luxury items appears to be waning. According to a preliminary report from the Japan Tourism Agency, consumption by foreign visitors to Japan in April-June rose 18.0% from a year earlier to ¥2.5 trillion, but the proportion of their shopping expenses decreased. Tax-free sales to inbound travelers at department stores in May dropped some 40% from a year before, posting a decline for the third straight month, reflecting sluggish sales of items including luxury-brand bags. On the other hand, the hotel industry continues to enjoy strong demand from foreign visitors. According to hotel operator Seibu Prince Hotels Worldwide, the proportion of foreign visitors to its overall guests grew some 1.1 times from a year earlier in April-May. "The number of people seeking experiences (unique to Japan) is increasing," an official of Seibu Prince Hotels said. For example, the Hotel Seiryu Kyoto Kiyomizu in the city of Kyoto, which is operated by Seibu Prince Hotels, holds an event featuring a traditional dance performance by maiko (young female entertainers). "The average daily rate for hotel rooms in metropolitan areas is expected to stay relatively high from early autumn," said Miwako Date, president of real estate developer Mori Trust, adding that accommodation demand will grow further. A survey conducted by the Japan National Tourism Organization showed that the share of foreign visitors spending ¥1 million or more per stay stood at 19.1% of the total, up about 5.1 percentage points from the 2019 level before the COVID-19 pandemic. Such foreign tourists tend to seek high value-added experiences, according to the Japan Association of Travel Agents. "Rather than simply buying things, (foreign visitors) are shifting their behavior to having experiences that are unique to Japan and buying additional related items if they are impressed," Yukari Matsumoto of Jalan Research Center said. The Japan Tourism Agency is also promoting adventure tourism, which allows people to experience nature and culture.

Measures Need to be Taken to Attract Foreign Visitors to Regional Areas; Govt Wants 60 Mil. Annual Visitors in 2030
Measures Need to be Taken to Attract Foreign Visitors to Regional Areas; Govt Wants 60 Mil. Annual Visitors in 2030

Yomiuri Shimbun

time5 days ago

  • Business
  • Yomiuri Shimbun

Measures Need to be Taken to Attract Foreign Visitors to Regional Areas; Govt Wants 60 Mil. Annual Visitors in 2030

The government has set a goal of increasing the annual number of foreign visitors to 60 million and their consumption to ¥15 trillion in 2030. The number of foreign visitors to Japan and consumption by visitors in the first half 2025 reached a record high, thanks to recovering demand after the COVID-19 pandemic and the weak yen. Measures need to be taken to attract foreign visitors to regional areas to achieve the goals set by the government. At the same time, it will also be necessary to alleviate overtourism, which adversely affects the lives of residents. In Nikko, Tochigi Prefecture, a course that lets visitors try their hand at making Nikko geta, a traditional handicraft, is a big hit among foreign visitors at a tourist spot. 'I wanted to visit somewhere that I didn't know,' said a 40-year-old tourist from Singapore, who visited the area on Sunday. 'I'm content with this special experience in Nikko.' She added that she has been to Japan about 10 times and has already visited famous sightseeing destinations such as Tokyo and Osaka. To achieve the target set for 2030, the Japan Tourism Agency is stepping up efforts to attract foreign visitors to regional areas, such as Nikko. The agency believes there is little room for more foreign visitors to destinations located in the so-called Golden Route, the travel route between Tokyo and Kyoto, Osaka. It aims to entice foreign visitors to various places across Japan, spreading the benefits brought by them. The agency is mainly targeting visitors from the United States, Australia and European countries. These visitors tend to stay in Japan for one week or longer and many are said to be affluent. According to data on consumption by country and region, the share of expenditure by tourists from the United States and Australia has been growing. As for the average amount of spending per foreign tourist between April and June, those from the U.K. spent the most at ¥444,000, compared to the overall average of ¥239,000. The U.K. was followed by Italy and Germany. The Japan Tourism Agency said that 'experiencing Japanese history and traditional culture' and 'experiencing the four seasons' are popular among affluent visitors who stay for a long period of time. As such, expenditures by foreign tourists for activities in regional areas are expected to increase in the future. 'It will be difficult to accept more foreign visitors in urban areas,' said Yayoi Sakanaka of Mizuho Research & Technologies, Ltd. 'More efforts have to be made to draw in visitors to regional areas that are attractive for sightseeing and have more room to accept foreign visitors.' Meanwhile, various parts of the country are considering to introduce the so-called double pricing system, in which foreign visitors will be asked to pay more than non-foreign guests, as a measure against overtourism. However, the system is receiving mixed responses. The Himeji municipal government in Hyogo Prefecture considered introducing a double pricing system for Himeji Castle, a World Heritage site, and raising admission prices only for foreign visitors. But the city eventually decided to modify the plan and will split the admission into two types, one for Himeji residents and the other for visitors from outside the city. A double-pricing system has the risk of distancing visitors because it may be effectively taken as a price hike. Those considering introducing the system are forced to take careful responses. The government plans to draw up a 'Tourism Nation Promotion Basic Plan,' which will serve as the guideline for the country's tourist promotion measures, by the end of fiscal 2025.

Experiential Tourism Key to Driving Inbound Spending in Japan

time5 days ago

  • Business

Experiential Tourism Key to Driving Inbound Spending in Japan

News from Japan Guide to Japan Economy Travel Jul 17, 2025 15:55 (JST) Tokyo, July 17 (Jiji Press)--Amid signs of changes in spending behavior among foreign visitors, enhancing experience-based tourism and offering value-added accommodation services are key to further stimulating inbound consumption in Japan. The estimated number of foreign visitors to Japan hit a record high of 21,518,100 in January-June, topping the 20-million mark at the fastest pace ever. The results highlighted the popularity of Japan as a travel destination. However, the consumption patterns of these visitors have been shifting as their enthusiasm for purchasing luxury items appears to be waning. According to a preliminary report from the Japan Tourism Agency, consumption by foreign visitors to Japan in April-June rose 18.0 pct from a year earlier to 2,525 billion yen, but the proportion of their shopping expenses decreased. Tax-free sales to inbound travelers at department stores in May dropped some 40 pct from a year before, posting a decline for the third straight month, reflecting sluggish sales of items including luxury-brand bags. [Copyright The Jiji Press, Ltd.] Jiji Press

Foreign visitors to Japan top 20 million by June for first time
Foreign visitors to Japan top 20 million by June for first time

NHK

time6 days ago

  • NHK

Foreign visitors to Japan top 20 million by June for first time

The number of foreign visitors to Japan in the first six months of this year reached 21.51 million, a 21 percent increase compared with the same period last year. The figure topped 20 million at the fastest pace on record. The Japan National Tourism Organization says an estimated 3.37 million foreigners visited Japan in June, up 7.6 percent from a year earlier and the highest figure ever for the month. Visitors from South Korea rose by 7.7 percent during the period, followed by those from China, up 53.5 percent. Russian tourists roughly doubled from the same period last year, increasing by 103.7 percent. Regions and countries whose numbers rose significantly included the Middle East, at 53.8 percent, and Spain, at 49.1 percent. Meanwhile, visitors from Hong Kong edged down 0.4 percent. The JNTO attributes the drop to unfounded rumors that Japan would suffer a major calamity in early July. The Japan Tourism Agency says foreign travelers spent a record 32.27 billion dollars in the country in the half-year. That's up 22.9 percent from the same period last year. JTA Commissioner Murata Shigeki said Japan is a popular destination for travelers from Asia, which accounts for about 80 percent of foreigners traveling to the country. He noted that it remains on a strong growth trajectory as air travel has recovered. He plans to come up with new promotional strategies and hopes to lure more travelers to visit rural Japan to hit the Japanese government's target of bringing 60 million foreign travelers by 2030. Murata also said the government had denied as groundless rumors of an impending natural disaster, but some travelers in Hong Kong refrained from visiting Japan nonetheless. He said the agency will continue to reflect on what it can do in the face of such a situation. He said he's monitoring travel trends from Hong Kong, after hearing that interest in tours to Japan is growing.

Japan sees record 22 mil foreign visitors in 1st half of 2025
Japan sees record 22 mil foreign visitors in 1st half of 2025

Japan Today

time6 days ago

  • Business
  • Japan Today

Japan sees record 22 mil foreign visitors in 1st half of 2025

Foreign tourists are seen in Tokyo's Asakusa area on July 16. Japan saw a record 21.5 million foreign visitors in the first half of 2025, government data showed Wednesday, with travel demand remaining strong even outside peak seasons. Visitor numbers for the first six months of the year topped the previous record of 17.78 million set a year earlier, according to the Japan National Tourism Organization. The number of foreign visitors in June totaled 3.38 million, up 7.6 percent from a year earlier and the highest ever for the month. By country and region, South Korea accounted for the highest number of visitors in the first half of the year at 4.8 million, followed by China at 4.7 million and Taiwan at 3.3 million. All markets exceeded their figures from the previous year, with China seeing a notable 53.5 percent increase. The surge in visitors has created various challenges for Japan, including overtourism affecting the quality of life for locals in popular destinations. Meanwhile, spending by foreign visitors in the April-June quarter totaled around 2.5 trillion yen ($16.8 billion), up 18.0 percent from the same period a year earlier, according to estimates from the Japan Tourism Agency. Chinese visitors led spending, accounting for 20.4 percent of the total at 516 billion yen, followed by Americans at 357 billion yen and Taiwanese at 292 billion yen. Visitors to Japan spent around 239,000 yen per person on average, with Britons spending the most at around 444,000 yen, followed by Italians at 398,000 yen and Germans at 396,000 yen. © KYODO

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