As early as 2018, the size of the Japanese e-commerce market (only counting the B2C retail industry, excluding online services and other parts) has exceeded 16 billion US dollars, and it is expected to exceed 20 billion US dollars in 2020
The Japanese have a conservative and slow personality, and offline commercial facilities are already complete, so the development of online shopping is relatively slow. However, as generations change, the number of people participating in online shopping will continue to increase, and has now exceeded 10 million
Online purchases of fast-moving consumer goods such as clothing, electronic products, toys, DIY and other products account for a relatively high proportion, while the proportion of online purchases of food and daily necessities is still low (continuing the previous shopping habits and buying offline channels)
Before the advent of smartphones, mobile phones in Japan were generally equipped with Internet access capabilities, so Internet penetration rates are very high in all ages
Among the three major e-commerce sites of Rakuten, Amazon, and Yahoo, Rakuten users have the highest average frequency of use, followed by Amazon, and Yahoo has the lowest
Among the three major e-commerce sites of Rakuten, Amazon, and Yahoo, Rakuten has the highest market share (55%), followed by Amazon (32.8%), and Yahoo has the lowest
Japan’s most well-known e-commerce platform. The penetration rate is high, especially among young female users aged 20-40. The only one of the three companies that charges the initial fee, the opening fee and transaction fee are also higher than the other two. The threshold for opening a store is high, and a Japanese legal person is required to open a store.
There are advantages in logistics. The threshold for opening a store is low, no need for store decoration. Through FBA, order processing, delivery, and customer service can be handed over to Amazon, which is relatively worry-free. Only transaction fees are drawn, and there is no system service fee or payment service fee. The handling fee is relatively simple to calculate.
After the cancellation of the opening fee in 2013, the number of stores increased dramatically. The large number of stores makes it easy for them to fall into price competition. The saved opening fee will be reflected in the price, so the price of the same product is usually lower than the other two platforms. Although there is no opening fee, if you want to have good exposure and sales, you have to spend advertising fees. You need to be a Japanese legal person to open a store.
|Rakuten||Amazon Japan||Yahoo Japan|
|Type||Platform (shopping type)||Self-operated + platform (product type)||Platform (shopping type)|
|Annual transaction value||3.4 trillion yen||2 trillion yen||2.6 trillion yen|
|Number of shops||47,319 (June 2019)||178,000 (June 2015)||872,889 (2019)|
|Number of members||98.7 million (March 2019)||19.79 million (2017)||2 to 3 million (Prime members)|
|APP users||13.3 million (2017)||6.17 million (2017)||12.5 million (2017)|
|Advantage category||Food, clothing||Books, home appliances, daily necessities||Low price, standardized products|
|Initial cost||60,000 yen||no||no|
|Monthly opening fee||● Light plan 39,800 yen|
● Good luck! Prann 19,500 yen
● Standard plan 50,000 yen
● Mega Shop Run 100,000 yen
|● Small mouth plan: 0 yen|
● Large mouth plan: 4,900 yen
|Transaction fee||●Light plan 3.5%-5.5%|
● Do your best! Plan 3.5%-7.0%
●Standard plan 2.0%-4.5%
● Mega Shop Plan 2.0%-4.5%
※Each piece of small mouth will be charged an additional 100 yen
|pay processing fees||● Credit card payment (3000 yen/month +2.65%～+manual fee)|
● Lotte Bank pays 155 yen/piece
● Rakuten Pay 2.5%～3.5%
|Included in the transaction fee||Credit card payment 3.24%|
|brief introduction||The most eminent e-commerce platform in Japan. |
Our penetration rate is notable, especially among young female users aged 20 to 40. The only one charges for initial fee of the three companies, shop opening fee and transaction fee are also higher than the others. So profit margin and store opening threshold are relatively evident, it requires Japanese legal quality to open store.
|Advantages over Logistics. |
Low store opening threshold, no shop decoration is required. ,Order processing, delivery and customer service can be handed over to Amazon through FBA, hence relatively worry-free. Only drawn transaction fees, no system service fees. So handling fee tends to be calculated.
|Stores numbers have increased sharply since canceled opening fee in 2013, which leads to stores fall into price competition. Our goods price is lower than the other two platforms as merchants cutting opening fee. So they have to spend extra advertising fees to receive exposure and sales though without store opening fee. Japanese legal personality is required to open a store.|
statistically Japanese B2C e-commerce (excluding online services) market size is 8.6 trillion yen (78 billion US dollars), third to China and the US, more than 6 times to Taiwan.
Japanese types are kind of slow, their e-commerce is still in growth stage, its retail industry proportion(5.8%) is still much lower than the US and Taiwan. If it reaches the same ratio as the US, it will double in size.
Japanese businessmen abide by laws and regulations, highlight self-improvement instead of vicious competition to defeat opponents. Their e-commerce industry is healthy, sustainable and stable with long standing rather than profiteering .
Japanese, Taiwan culture and habits are similar, thus Taiwanese products relatively tend to be accepted by Japanese consumers, which with competitive price and close geographical location, their logistics costs and efficiency also superior than other countries.