Expert on Japan Retail and Consumer Markets, JapanConsuming

Michael Causton

Expert on Japan Retail and Consumer Markets

Real Insight on Japanese Consumer Markets

JapanConsuming

JapanConsuming is a specialist research firm producing intelligence on Japanese retail and consumer markets. Founded in 2000, JapanConsuming has become the leading provider of insights on Japanese retailers and consumer trends to retailers, brands, government agencies and investors. As well as a highly regarded monthly report on the market, JapanConsuming produces in-depth reports on retail sectors, seminars on key trends and telephone consulting to investors on trends and retailers.

JapanConsuming was founded by Michael Causton and Roy Larke. 

Thematic (Sector/Industry)

<ul>
<li>Amazon Japan continues to lead in online merchandise sales, with GTVs rising faster than Rakuten in 2021 and far ahead of Z Holdings. </li>
<li>Nevertheless both the domestic incumbents are fighting hard to overcome their weaknesses and use their strengths in mobile networks, loyalty points and cashless payments to win share.</li>
<li>Rakuten is also now making it possible to consolidate orders from multiple merchants and plans to open this service to any online merchant – a game changer for online platforms. </li>
</ul>


Amazon Japan continues to lead in online merchandise sales, with GTVs rising faster than Rakuten in 2021 and far ahead of Z Holdings. 
Nevertheless both the domestic incumbents are fighting hard to overcome their weaknesses and use their strengths in mobile networks, loyalty points and cashless payments to win share.
Rakuten is also now making it possible to consolidate orders from multiple merchants and plans to open this service to any online merchant – a game changer for online platforms. 


Japan E-Commerce Wars Intensify Among the Big 3 Online Platforms

<ul>
<li>As we have been tracking in recent months, the market for rapid home delivery of FMCG and food is hotting up, with much of the action at convenience stores.</li>
<li>The CVS sector was one of the hardest hit by the pandemic but with a network of 56,000 stores, there is an opportunity to use these stores as supply points.</li>
<li>CVS need to engage with delivery services given the growing number of firms creating their own dark store networks which compete with local supermarkets and CVS.</li>
</ul>


As we have been tracking in recent months, the market for rapid home delivery of FMCG and food is hotting up, with much of the action at convenience stores.
The CVS sector was one of the hardest hit by the pandemic but with a network of 56,000 stores, there is an opportunity to use these stores as supply points.
CVS need to engage with delivery services given the growing number of firms creating their own dark store networks which compete with local supermarkets and CVS.


Quick Commerce and Unmanned Stores Challenge Japanese Convenience Retailing

Equity Bottom-Up

<ul>
<li>Qoo10 has crossed the ¥300 billion GTV threshold, triggering designation as a Specified Digital Platform under Japanese law</li>
<li>This confirms the online mall's graduation from niche Korean beauty store to mainstream e-commerce platform, becoming Ebay's main Japanese operator.</li>
<li>Qoo10 now has 28 million members and a 30%-plus share of Japan’s online beauty market but is also expanding across other categories.</li>
</ul>


Qoo10 has crossed the ¥300 billion GTV threshold, triggering designation as a Specified Digital Platform under Japanese law
This confirms the online mall's graduation from niche Korean beauty store to mainstream e-commerce platform, becoming Ebay's main Japanese operator.
Qoo10 now has 28 million members and a 30%-plus share of Japan’s online beauty market but is also expanding across other categories.


Ebay's Qoo10 Hits ¥300 Billion GTVs in Japan

<ul>
<li>This is an in-depth review of Japanese e-commerce in the last 18 months, a time when e-commerce expanded rapidly and by 2023, e-commerce will be Japan’s single biggest retail channel.</li>
<li>We are now riding a wave of change as retailers integrate the e-commerce channel into their businesses, increasingly approaching a true omnichannel model.</li>
<li>And this is important in Japan because, although e-commerce penetration appears low, this overlooks the importance, convenience and ease of access to physical shops and integration with online.</li>
</ul>


This is an in-depth review of Japanese e-commerce in the last 18 months, a time when e-commerce expanded rapidly and by 2023, e-commerce will be Japan’s single biggest retail channel.
We are now riding a wave of change as retailers integrate the e-commerce channel into their businesses, increasingly approaching a true omnichannel model.
And this is important in Japan because, although e-commerce penetration appears low, this overlooks the importance, convenience and ease of access to physical shops and integration with online.


<ul>
<li>Analysts are expecting cashless payments in Japan for 2021 to show further accelerated growth in the use of mobile payment apps.</li>
<li>Surveys suggest consumers rapidly increased their use of mobile payments and are even expressing frustration when the service is unavailable. </li>
<li>PayPay is utterly dominant with nearly 50% share based on survey responses. We expect consolidation below from NTT, Mercari, Rakuten and KDDI.</li>
</ul>


Analysts are expecting cashless payments in Japan for 2021 to show further accelerated growth in the use of mobile payment apps.
Surveys suggest consumers rapidly increased their use of mobile payments and are even expressing frustration when the service is unavailable. 
PayPay is utterly dominant with nearly 50% share based on survey responses. We expect consolidation below from NTT, Mercari, Rakuten and KDDI.


Growth in Cashless Payments Surges in Japan – PayPay Totally Dominant

Japan

Rakuten Group, Inc. provides Internet services. The Company offers Internet finance services which including "Rakuten Card" and "Rakuten Bank". Rakuten Group also provides digital content services including electronic book services.

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Rakuten (4755 JP)

Japan E-Commerce Wars Intensify Among the Big 3 Online Platforms

The intensity of competition between the big 3 in e-commerce (Amazon, Rakuten, Z Holdings) means that all are investing heavily. Amazon leads but...

Michael Causton

Quick Commerce and Unmanned Stores Challenge Japanese Convenience Retailing

As we have been tracking in recent months, the market for rapid home delivery of FMCG and food is hotting up, with much of the action at...

Michael Causton

Ebay's Qoo10 Hits ¥300 Billion GTVs in Japan

Qoo10 surpasses ¥300 billion in GTV, named Specified Digital Platform in Japan, solidifying its transition from niche to mainstream e-commerce...

Michael Causton

E-Commerce in Japan: The Big Review

Japan's e-commerce sector expanded rapidly in the last 18 months. The following is a complete review and analysis of the major trends as well as...

Michael Causton

Growth in Cashless Payments Surges in Japan – PayPay Totally Dominant

Japan is shifting from 80-90% cash retail transactions to 40-50% cashless in the blink of an eye. Softbank/Z HD dominates with nearly 50% share and...

Michael Causton

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Japan E-Commerce Wars Intensify Among the Big 3 Online Platforms

The intensity of competition between the big 3 in e-commerce (Amazon, Rakuten, Z Holdings) means that all are investing heavily. Amazon leads but...

Michael Causton

Quick Commerce and Unmanned Stores Challenge Japanese Convenience Retailing

As we have been tracking in recent months, the market for rapid home delivery of FMCG and food is hotting up, with much of the action at...

Michael Causton

Ebay's Qoo10 Hits ¥300 Billion GTVs in Japan

​Qoo10 surpasses ¥300 billion in GTV, named Specified Digital Platform in Japan, solidifying its transition from niche to mainstream e-commerce...

Michael Causton

E-Commerce in Japan: The Big Review

Japan's e-commerce sector expanded rapidly in the last 18 months. The following is a complete review and analysis of the major trends as well as...

Michael Causton

Growth in Cashless Payments Surges in Japan – PayPay Totally Dominant

Japan is shifting from 80-90% cash retail transactions to 40-50% cashless in the blink of an eye. Softbank/Z HD dominates with nearly 50% share and...

Michael Causton

Qoo10 surpasses ¥300 billion in GTV, named Specified Digital Platform in Japan, solidifying its transition from niche to mainstream e-commerce...