International Marketing Vifon to Japan
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Japan is still the 2nd biggest retail market in the world with 127 million consumers that appreciate high quality and excellent service. China may have more factories these days, but how many people there can really afford western goods? When it comes to measure market size, Japan still accounts for more than 55% of the whole Asian retail market. Japan is also the nation with the highest demand for foods imports as it has the lowest self-sufficiency rate (39% only), 61% of all foods consumed in Japan is imported (United Nations, 2008).
Japan Retail Market Environment
JAPAN RETAIL FOOD SUMMARY
A.Overview
In 2011 the Japanese retail market had to cope with the March 11, 2011 shock and then compensate for the various after effects. Initially consumption spiked with the mass purchases of emergency items such as bottled water and batteries, followed by corresponding declines in purchases like party items and non-essential goods. The economy shifted from a rocky footing onto a more stable pathway by summer and consumer behaviour normalized. Japanese consumer adapted to new preferences in reaction to the events, changing retail market demands significantly. First, Japanese consumers began eating out less, while having meals at home more. This has led to an increase in the Home Meal Replacement (HMR) sector, as well as the frozen food sector. Second, Japanese consumers are more attentive to products with longer shelf life, in case of future emergency situations. The Japanese retail market is dominated by two demographics: Young career seeking individuals in single person households
B.Market breakdown
Total retail sales including food, beverages, general merchandise, fabrics, apparel, and accessories in Japan amounted to $832.6 billion in 2011. Of this figure the total food and beverage retail sales amount was $527.4 billion. Total retail sales have increased each year since 2008. In 2007, there were total retail sales of $614.6 billion and
Japan is still the 2nd biggest retail market in the world with 127 million consumers that appreciate high quality and excellent service. China may have more factories these days, but how many people there can really afford western goods? When it comes to measure market size, Japan still accounts for more than 55% of the whole Asian retail market. Japan is also the nation with the highest demand for foods imports as it has the lowest self-sufficiency rate (39% only), 61% of all foods consumed in Japan is imported (United Nations, 2008).
Japan Retail Market Environment
JAPAN RETAIL FOOD SUMMARY
A.Overview
In 2011 the Japanese retail market had to cope with the March 11, 2011 shock and then compensate for the various after effects. Initially consumption spiked with the mass purchases of emergency items such as bottled water and batteries, followed by corresponding declines in purchases like party items and non-essential goods. The economy shifted from a rocky footing onto a more stable pathway by summer and consumer behaviour normalized. Japanese consumer adapted to new preferences in reaction to the events, changing retail market demands significantly. First, Japanese consumers began eating out less, while having meals at home more. This has led to an increase in the Home Meal Replacement (HMR) sector, as well as the frozen food sector. Second, Japanese consumers are more attentive to products with longer shelf life, in case of future emergency situations. The Japanese retail market is dominated by two demographics: Young career seeking individuals in single person households
B.Market breakdown
Total retail sales including food, beverages, general merchandise, fabrics, apparel, and accessories in Japan amounted to $832.6 billion in 2011. Of this figure the total food and beverage retail sales amount was $527.4 billion. Total retail sales have increased each year since 2008. In 2007, there were total retail sales of $614.6 billion and