Japan Tourism Market Radiates with Promise, Projecting a Robust US$ 559,470 Million by 2033 | FMI

It is projected that the Japan tourist industry would experience remarkable expansion, with a double-digit compound annual growth rate of 7.6 between 2023 and 2033. By the end of 2023, it is anticipated that tourism to Japan will bring in US$ 208,926 million worldwide. Long-term tourism to Japan is projected to reach approximately US$ 559,470 million by 2033.

Japan is also known as the land of the rising sun. Being a country synonymous with ancient cultural heritage, Buddhist religious traditions, and a fast-paced lifestyle, Japan is replete with world-class airports, top-notch infrastructure, and modern technology co-existing side by side.

Japan was known as the first country to modernize in Asia. Although it suffered enormous destruction in World War II, nonetheless rose from the ashes within two decades to become Asia’s most powerful economy once again. The country took its place among global heavyweights that the boom was rightfully called the ‘Japanese economic, miracle’! While access to Japan was tightly controlled by the Shogun in the Renaissance period, the Meiji Restoration of 1867 and the building of a national rail network made tourism affordable for domestic tourists and possible for international tourists.

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The Japanese government recognized the need for organized tourism in order to cater to foreign tourists as early as 1887 and established the Kihinkai with then Prime Minister Hirobumi’s blessings. Another major development was passing the Hotel Development Law in 1907, which enabled the Railways Ministry to construct publicly owned hotels across the breadth of Japan.

Key Takeaways

• The sports tour is known to be an important component of the Japanese government’s efforts to achieve economic GDP development. Over recent years, Japan has had great success attracting and hosting mega-events, particularly spectator events. It held the Summer Olympics in 1964 and again in 2021. Japan has also been the host of the Asian Games, FIFA World Cup, and various other championships.
• Japan comprises immense natural resources and offers countless opportunities throughout the four seasons. Trail running, river rafting, and marine sports, as well as skiing and snowboarding, attract a lot of tourists. In addition to participating in numerous sports, participants have the option to explore and enjoy cultural heritage places or rich fauna in the surrounding area.
• The four distinct categories of natural tourism resources in Japan consist of marine resources, mountain resources, suburban resources, and snow and ice resources. Municipalities and local governments can use these resources to develop and provide sporting activities. This is likely to increase the demand for sports tourism in Japan.
• Over recent years, the fast-paced increase in global tourism has coincided with increased concern in many countries about its consequences to the environment and the lives of those who work in famous tourist sites.
• The United Nations’ World Tourism Organization has advocated for ‘sustainable tourism’. Recognizing its obligations as the world’s third-largest economy, Japan is taking tangible actions to promote these global goals.
• JNTO has developed policies to promote sustainable tourism in Japan, which will contribute to the accomplishment of the SDGs. This will be done by preserving and enhancing local habitats and biodiversity while also respecting the culture of local communities.

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Competitive Landscape

There are numerous suppliers who are assuring a safe and affordable travel experience which has made travel and tourism possible and at ease. Instances of key players and collaborations in the marketplace are commonly witnessed and they help in catering to the tourist’s needs more effectively.

JTB is the largest travel agency in Japan and has contributed to the Japanese travel industry for 110 years. It has made the globe aware of the attractiveness of Japanese tourism.

More Insights into the Japan Tourism Market

According to a Japan Tourism Agency Poll in 2019, it was estimated that 47% of visitors stopped in Tokyo and 39% in Osaka. However, for over half of the country’s 47 regions, the figure was 1% or less. As per Joseph Cheer, a professor at Wakayama University’s Center for Tourism Research, the government should go beyond prominent sites and prepare other destinations to deal with tourism.

China solely contributed 30% of total visits in 2019. South Korea came in second with 17%. Consequently, 70% of total tourists in Japan were from four regions, namely China, South Korea, Taiwan, and Hong Kong. There is an over-reliance on specific economies which makes it vital to break free from this dependency in terms of risk mitigation.

Japan Tourism Market by Category

By Age Group:

• 15-25 Years
• 26-35 Years
• 36-45 Years
• 46-55 Years
• 66-75 Years

By Visit Purpose:

• Vacation
• Business
• Visiting Family & Friends
• Others

By Consumer Orientation:

• Male
• Female

By Nationality:

• Domestic
• International

By Tour Type:

• Independent Traveler
• Tour Group
• Package Traveler

By Length of Stay:

• 1-3 Nights
• 4-7 Nights
• 8-14 Nights
• 15+ Nights

By Tourism Type:

• Wildlife
• Spiritual & Religious
• Recreational
• Heritage
• Others