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Japan is gearing up for a tourism boom like never before. With a record 35 million foreign visitors expected this year and tourism spending expected to reach a record 8 trillion yen ($51 billion), the country is seeing an increase driven by the weak yen.
These figures far exceed the pre-pandemic peak of 31. 88 million visitors in 2019. Looking ahead, the government has ambitious plans to attract 60 million visitors a year until 2030, with spending expected to reach 15 trillion yen ($96 billion).
However, the influx of tourists has brought with it its share of challenges. “Overtourism” is a buzzword, as the influx of visitors has led to traffic jams, pollution and other problems. In Kyoto’s bustling Geisha district, reports of bad tourist habits have led to visitors being banned from entering personal alleys. Similarly, the city of Fujikawaguchiko built a barrier to block the view of Mount Fuji after court cases over tourists.
Earlier this month, the government imposed a fee of 2,000 yen (about $12) to climb Mount Fuji, which amounts to 4,000 per day.
Some corporations in Japan are adopting two-tier pricing to prevent unwavering local consumers from being harmed. Last month, the mayor of Himeji city in Japan proposed creating significant value for foreign tourists visiting Himeji Castle, a UNESCO World Heritage Site. A Tokyo restaurant is already testing two-tier pricing.
To address those considerations and extend the benefits of tourism beyond major cities, the government is contemplating a monetary program to expand flights to regional airports. The government has also decided that 20 regions across the country will design and create public awareness about the expected habit. of tourists. By the end of this year, the government plans to add six more zones and expand rules to manage overtourism.
The tourism white paper for 2024 highlighted the desire to attract more visitors to rural areas, reducing pressure on Tokyo, Osaka and Nagoya, where 70% of foreign tourists currently stay. Last year, Japan welcomed 25. 07 million foreign visitors, who spent a record 5. 3 trillion yen ($34 billion).
The most recent figures, released on Friday, show a record 17. 8 million foreign visitors in the first part of 2024, supported by the depreciation of the yen. That’s a 66% jump from the same time last year and a 7% increase from 2019 levels.
June saw a new monthly record of 3. 14 million visitors. South Korea topped the list with 703,300 visitors, followed by China with 660,900, a figure that tripled from last year. Taiwan came in third with 574,500 visitors, an increase of 48%. .
The weak yen particularly boosted spending by foreign tourists, who earned 2. 1 trillion yen ($13. 4 billion) from April to June. On average, each guest spent JPY 238,722 on their trip, a 54% increase from 2019. Visitors spent the most on accommodation (33%), followed largely by buying food (31%).
This replacement from 2019, when grocery shopping accounted for 37% of spending, can simply be attributed to the increasing number of Chinese tourists. Despite quintupling from last year, China’s 3. 06 million visitors in the first part of 2024 remains 32% below the pre-pandemic point of 4. 5 million.
Compared to the global average, food shopping accounts for nearly 49% of Chinese tourists’ spending, while visitors from Hong Kong and Taiwan also spend about 40% on food shopping.
To further streamline the access process, Japan has also announced plans to introduce a new “prior authorization” formula starting in January next year. The new formula, which was piloted in Taiwan in February, includes document checks and due diligence at departure airports. expedite immigration procedures upon arrival in Japan.
Our daily policy of the global industry. Written through editors and analysts from all Skift brands.
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Tags: Asia monthly, currency, coronavirus recovery, currency, Japan, Japan National Tourism Organization, shopping, South Korea, overtourism, Taiwan
Photo credit: The city of Fujikawaguchiko had built a barrier to block the view of Mount Fuji following court cases over tourists. Mohammed Kertiou / Unsplash
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