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Expanding your business to Japan? - StarTrack

Date post: 28-Feb-2022
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Cosmetics, premium wine and vitamins and supplements are also amongst some of the highest purchased categories by Japanese consumers from Australian businesses. Expanding your business to Japan? What are they buying? The importance of eCommerce While the broader Japanese economy has struggled in recent years, it’s online retail sector has grown at a strong rate, reaching highs of $26.4 billion in 2012. 3 Interestingly, only 38% of consumers have purchased from overseas. This is largely due to the strong adoption of Japan’s Amazon equivalent, Rakuten. A whopping 80% of all Japanese online shoppers (approximately 58 million) have an account with the site. 4 Japan Online Retail Sector 2013 (Total Euro 35.4billion) 4 27% Apparel & Footwear 17% Media Products 17% Food & Beverages 7% Household Items 7% Cosmetics 8% Over the counter Drugs 8% Electronics 9% Other Groceries, cosmetics and healthcare products are the most popular purchases in Japan, 3 contributing to an online retail sector that had total revenues of $26.4 billion in 2012. 3 Further growth is expected in consumer electronics, media products, and apparel and footwear in the coming years. 1. MarketLine PESTLE Country Analysis Report Japan, May 2014. 2. Japan – Australia Fact Sheet, Department of Foreign Affairs & Trade, August 2014. 3. Online Retail in Japan, MarketLine, July 2013. 4. Shop the World!, DHL, 2013 & Country Report Japan, The Paypers 2013. Market context As one of the global leaders in the electronics and automotive sectors with unrivalled technological know-how, 1 Japan is a highly complementary economic partner for Australia. In fact, two-way trade reached in 2013, making Japan Australia’s second-largest trading partner. 2
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Cosmetics, premium wine and vitamins and supplements are also amongst some of the highest purchased categories by Japanese consumers from Australian businesses.

Expanding your business to Japan?

What are they buying?

The importance of eCommerceWhile the broader Japanese economy has struggled in recent years, it’s online retail sector has grown at a strong rate, reaching highs of $26.4 billion in 2012.3 Interestingly, only 38% of consumers have purchased from overseas. This is largely due to the strong adoption of Japan’s Amazon equivalent, Rakuten. A whopping 80% of all Japanese online shoppers (approximately 58 million) have an account with the site.4

Japan Online Retail Sector 2013 (Total Euro 35.4billion)4

27% Apparel & Footwear

17% Media Products

17% Food & Beverages

7% Household Items

7% Cosmetics

8% Over the counter Drugs

8% Electronics

9% Other

Groceries, cosmetics and healthcare products are the most popular purchases in Japan,3 contributing to an online retail sector that had total revenues of $26.4 billion in 2012.3 Further growth is expected in consumer electronics, media products, and apparel and footwear in the coming years.

1. MarketLine PESTLE Country Analysis Report Japan, May 2014. 2. Japan – Australia Fact Sheet, Department of Foreign Affairs & Trade, August 2014. 3. Online Retail in Japan, MarketLine, July 2013. 4. Shop the World!, DHL, 2013 & Country Report Japan, The Paypers 2013.

Market contextAs one of the global leaders in the electronics and automotive sectors with unrivalled technological know-how,1 Japan is a highly complementary economic partner for Australia. In fact, two-way trade reached

in 2013, making Japan Australia’s second-largest trading partner.2

Before you begin1. Do your research

Research your target market and consider the unique selling points of your product or service.

2. Develop your strategy Consider recent market trends and your long and short-term strategies.

3. Confirm your logistics Contact Australia Post to see how we can help

streamline your logistics and help you reach your customers in Japan.

Get started

1. Country Analysis Report: Japan, In-depth PESTLE Insights, MarketLine, May 2014. 2. Japan – Australia Fact Sheet, Department of Foreign Affairs & Trade, August 2014. 3. Japan – Online Retail, MarketLine, July 2013. 4. Shop the World!, DHL, 2013 & Country Report Japan, The Paypers 2013. 5. Shop the World!, DHL, 2013.

Key drivers for online shopping5 • Flexibility in delivery location• Shopping convenience 24/7• Easy price comparison

Customs, duty and taxes to be aware ofIt’s always best to check what you can send and how you can send it, before you send. For more information, visit: auspost.com.au/parcels-mail/dangerous-and-prohibited-items.html

For more specific information, visit the Japan customs service at www.customs.go.jp/english

Key barriers for online shopping5

• Inability to try on products prior to purchase• Not being able to confirm product quality• Delivery costs

How we can help get you thereThrough the combined services of Australia Post and StarTrack, we can offer you a range of products and services to help you reach your customers in Japan. Whether you require urgent or standard delivery, supply-chain solutions, sea or air freight, we can tailor a solution for you. For more information, contact your Account Manager or visit auspost.com.au/international-business


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