Japan E-Commerce Payment Market is projected to grow US$ 256.90 Billion by 2028, according to the publisher. Japan boasts one of the world’s largest and most advanced e-commerce markets. As the fourth-largest e-commerce market globally, Japan has experienced rapid adoption of mobile payments, leading to billions of dollars in transactions. Mobile payments in Japan primarily rely on technologies like NFC and QR codes. Younger, tech-savvy generations find it particularly convenient to use their smartphones for payments, either through dedicated payment apps or by scanning QR codes.Japan E-commerce Payment Market was US$ 140.37 Billion in 2022
To enhance customer loyalty and satisfaction, popular QR code payment brands like PayPay, Line Pay, and MerPay offer various rewards based on transaction activity. Mobile shopping has become commonplace among Japan online population, driving significant growth in the e-commerce payment industry. However, despite Japan reputation for embracing technology, mobile commerce payment uptake remains relatively low due to the persistence of desktop usage and a larger aging population that is less inclined to adopt smartphones.
The government's ""Cashless Vision"" aims to increase cashless settlements from 18.4% to 40% by 2025. Encouraging credit card companies to adopt APIs, this initiative responds to the demand for secure and convenient fintech services. By promoting API integration, the government seeks to accelerate cashless payment adoption and drive digital transformation in financial services.
Japan E-commerce Payment Market is likely to grow at a CAGR of 10.60% from 2022-2028
The Japanese ecommerce industry is experiencing rapid growth, accompanied by the emergence of key consumer trends. Three significant trends shaping the landscape are sustainability, omni-channel shopping, and ID payments. Ecommerce companies are acknowledging the importance of these trends and adjusting their strategies accordingly to cater to evolving consumer demands. ID payments offer customers secure and convenient payment options while enabling a more personalized shopping journey. As these trends continue to shape the Japanese ecommerce industry, companies that prioritize sustainability, seamless shopping experiences, and secure payment methods will be well-positioned for success in this evolving landscape. As a result, Japan E-commerce Payment Market was US$ 140.37 Billion in 2022.In Japan e-commerce payment industry, media products hold the largest market share
By Segment, Japan E-commerce Payment Market is divided into Media Products, Apparel and Footwear, Food and Drink, Personal Accessories and Eyewear, Consumer Electronics, Beauty and Personal Care, Home wares and Home Furnishings, Consumer Appliances, Consumer Health, Traditional Toys and Games, Pet Care, Home Improvement and Gardening, Video Games Hardware and Home Care. The payment market for media products in Japan holds the highest share, reflecting the significant role of digital media consumption in the country. With a tech-savvy population and a strong preference for digital content, Japanese consumers are actively utilizing various payment methods to access and purchase media products such as streaming services, e-books, and digital downloads. This dominance highlights the evolving landscape of media consumption and the increasing demand for convenient and secure payment solutions within the Japanese market.The apparel and footwear segment has emerged as the fastest-growing sector in Japan's e-commerce payment industry. With a surge in online shopping and shifting consumer preferences, the demand for convenient and secure payment methods for purchasing apparel and footwear has significantly increased. E-commerce platforms and retailers are focusing on enhancing the payment experience, offering seamless transactions, and implementing innovative payment solutions to cater to this growing trend. This rapid growth signifies the importance of the apparel and footwear sector within Japan's evolving e-commerce landscape.
Credit card payments are the dominant force in Japan e-commerce payment industry, holding the majority of the market
By Payment Method, Japan E-commerce Payment Market is breakup into Credit Card, Convenience Store Payment, Direct Carrier (Billing) and Mobile Payment, Cash on Delivery and Other. Japan mobile payment sector is experiencing rapid growth, making it the fastest-growing segment in the country's e-commerce payment industry. With the widespread use of smartphones and the convenience they offer, Japanese consumers are increasingly embracing mobile payment methods for their online transactions.In a move to address the challenges faced by foreign workers in Japan and promote market expansion and deregulation, the Japanese government is planning to implement a digital salary payment system by spring 2023. This system enables companies to transfer salaries directly to workers using smartphone payment apps, bypassing the need for traditional bank accounts. By promoting this initiative, the government aims to facilitate financial inclusivity, enhance convenience, and stimulate economic growth in the country. This trend is driven by the ease of use, enhanced security measures, and seamless integration with various e-commerce platforms. As mobile payment technologies continue to advance, their popularity and adoption are expected to further propel the growth of Japan's e-commerce payment industry.
Credit cards offer convenience, security, and widespread acceptance, making them a preferred choice for online transactions. With well-established credit card networks and a culture of credit card usage, Japanese consumers rely on this payment method for their e-commerce purchases. While alternative payment methods are growing, credit cards continue to maintain their stronghold as the primary mode of payment in Japan's e-commerce landscape.
Key Company
The Japan e-commerce payment market is dominated by major players such as Rakuten Group, Suica, PayPay, Origami, merPay, and D-barai. These companies play a significant role in shaping the landscape of e-commerce payments in Japan. With their innovative payment solutions and strong market presence, they cater to the diverse payment needs of consumers and businesses alike. The competition among these key players fosters technological advancements, improved user experiences, and a wide range of payment options, contributing to the overall growth and development of the e-commerce payment market in Japan.This latest report “Japan's E-commerce Payment Market, Payment Method (Credit Card, Convenience Store Payment, Direct Carrier (Billing), Mobile Payment, Cash on Delivery and Other), By Segment (Media Products, Apparel and Footwear, Food and Drink, Personal Accessories and Eyewear, Consumer Electronics, Beauty and Personal Care, Home wares and Home Furnishings, Consumer Appliances, Consumer Health, Traditional Toys and Games, Pet Care, Home Improvement and Gardening, Video Games Hardware and Home Care), Companies (Rakuten Group, Suica, PayPay, Origami, D-barai, and merPay)” provides a detailed analysis of Japan eCommerce Payment Industry.
Payment Method - Japan Ecommerce Payment Market has been covered from 6 viewpoints:
1. Credit Card2. Convenience Store Payment
3. Direct Carrier (Billing)
4. Mobile Payment
5. Cash on Delivery
6. Other
Segment - Japan e-commerce Market has been covered from 14 viewpoints:
1. Media Products2. Apparel and Footwear
3. Food and Drink
4. Personal Accessories and Eyewear
5. Consumer Electronics
6. Beauty and Personal Care
7. Home wares and Home Furnishings
8. Consumer Appliances
9. Consumer Health
10. Traditional Toys and Games
11. Pet Care
12. Home Improvement and Gardening
13. Video Games Hardware
14. Home Care
Company Insights:
- Overview
- Recent Development
Company Analysis:
1. Rakuten Group2. Suica
3. PayPal
4. Origami
5. merPay
Table of Contents
1. Introduction2. Research Methodology3. Executive Summary5. Japan E-Commerce Payment Market Analysis
4. Market Dynamics
6. Market Share Analysis - Japan Ecommerce Market
7. Payment Method - Japan Ecommerce Market
8. Segment - Japan Ecommerce Payment Market
9. Porters Five Forces
10. SWOT Analysis
11. Company Analysis
List of Figures:
List of Tables:
Companies Mentioned
- Rakuten Group
- Suica
- PayPal
- Origami
- merPay
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 110 |
| Published | July 2023 |
| Forecast Period | 2022 - 2028 |
| Estimated Market Value ( USD | $ 140.37 Billion |
| Forecasted Market Value ( USD | $ 256.9 Billion |
| Compound Annual Growth Rate | 10.6% |
| Regions Covered | Japan |
| No. of Companies Mentioned | 5 |
