The Japanese market has always been a popular choice for UK retailers looking to expand. It’s the third biggest economy in the world and already has hundreds of British brands selling in the market, including Lush, Dr. Martens, Next, and The Body Shop.
Whether you are already operating in Japan or thinking about expanding, knowing the delivery preferences of its residents will help make your offering as enticing as possible.
In this article, you’ll learn everything you need to know to deliver goods in Japan successfully. From shipping preferences, delivery expectations and common methods, we’ll show you how Pro Carrier can help you make a profitable move into the Japanese market.
An Overview of the Japanese eCommerce Market
Japan is a massive eCommerce market and the third biggest in the world — ahead of the UK and behind the U.S. and China. E-commerce revenue from Japan currently stands at $145 billion in 2022 and is expected to reach $224 billion by 2027.
Like most other developed countries, the pandemic caused a significant jump in eCommerce activity. A survey conducted in February 2023 found almost 30% of respondents increased their online purchases. Almost 4% of consumers said they have purchased a lot more online since the pandemic.
The number of Japanese consumers using their smartphones to shop is also significant. The mobile commerce market currently stands at 4.9 trillion Japanese yen.
Japanese Consumer Delivery Preferences
Living in one of the most mature eCommerce markets on the planet, Japanese consumers understandably have high delivery expectations.
Home Delivery
The Japanese home delivery market is massive. Over 4.95 billion parcels were handled by door-to-door delivery in Japan in 2021. It’s not just as simple as ensuring your package comes within three to five days. Japanese consumers expect delivery to occur rapidly, even to the point of choosing a specific delivery day and time.
An interesting element to Japanese home delivery — and one major way that the market is different from Europe and the U.S., is that delivery drivers never leave parcels on a customer’s doorstep. In Japan, drivers don’t leave until they have a signature. It’s an admirable practice, but it does mean that around 20% of packages need to be re-delivered.
Express Delivery
Japanese consumers expect fast, even same-day delivery times when ordering domestically. In many cases, same-day deliveries have moved from being a brand differentiator to a standard service.
It’s no wonder, then, that size of the last-mile delivery market is expected to hit three trillion Yen by the end of 2023. Worse still, customers notice even the slightest delay in delivery, regardless of whether that’s an express delivery or a standard home delivery.
The good news is that there is more leeway when it comes to international shipping. Consumers understand it is impossible to buy products from a UK company and receive them the next day. But that doesn’t give you a license to take weeks to deliver items. Speed still matters, and the faster you can get products to Japanese customers the better.
Sustainable Delivery
Sustainable eCommerce practices are becoming increasingly important to Japanese consumers. The country leads the APAC region in sustainable trade policies and the majority of consumers believe that sustainable packaging and production of products is important.
One of the major ways brands are addressing the desires of Japanese consumers is through the use of sustainable packaging and the reduction in total packaging in general. Brands will need to assess how they can minimise their packaging to meet consumer needs while also potentially decreasing delivery costs.
Delivery Cost and Expectations
Speed is important to Japanese consumers, but flexibility is even more so. Japanese buyers are used to being able to customise delivery dates and times, and this is something every brand entering the market will have to accommodate. That means having a wide range of delivery options, and certainly one or more express solutions.
Japanese consumers are cost-conscious, too. According to a 2022 survey, price was the leading purchase factor for 58% of consumers. They will naturally be concerned about the cost of shipping. While that doesn’t mean they expect it for free, it does mean brands will need to offer a high-value service.
Ship Seamlessly to Japan With Pro Carrier
If you want to enter the Japanese market, our team at Pro Carrier is here to help you create a seamless delivery experience. With our carrier-agnostic cross-border service, we can make sure you always have the best Japanese final-mile carrier so your customers get the delivery experience they expect and deserve.
It doesn’t matter what eCommerce platform you use, either. Our delivery portal integrates with every major eCommerce solution, so you can provide accurate delivery time and costs in real-time. If that wasn’t enough, your Japanese customers will receive order updates in their local language.