Jewelry Market in Japan: Key Research Findings 2017
Research Outline
- Research period: January to December, 2016
- Research target: Jewelry specialized store chains, market players such as department stores, luxury shops handling watches and jewelries, Kimono shops, and imported jewelry brand companies
- Research methodologies: Face-to-face interviews and surveys through telephone by the specialized researchers, and mail-in questionnaire
What are jewelries in this research?
The jewelries in this research apply to products made of gold or platinum, some decorated with diamonds, gems and pearls. Also included in this category are those jewelry products and expensive watches all or part of them made of silver or with semiprecious stones.
Summary of Research Findings
- Domestic Jewelry Retail Market in 2016 Decreased to 941.3 Billion Yen, 97.1 % on Y-o-Y Basis
The domestic jewelry retail market in 2016 has declined again to be 941.3 billion yen, 97.1% of the size of the previous year. In the beginning of 2016, the feeling of the economic recovery since the previous year had generated the expectation of year-round demand for jewelry purchase, but things had changed since the summer when restrained buying by the consumers became stronger. However, rise of stock prices at the end of the year has once again raised the expectation of the economic recovery which had temporarily expanded the jewelry demand during the Christmas shopping period. Nevertheless, the market size throughout the year has ended up widening the negative gap since the year before last.
- Inbound Tourism Demand Quietened Down to Fall Short of Previous-Year Results at Department Stores and Other Retailers
Inbound tourism demand (demand from the foreign visitors) that had driven the domestic jewelry market in the previous year has died down in 2016. When observing the market by retailer, the department stores have especially suffered from declining jewelry demand from the foreign tourists. Those factors such as stronger yen having generated the impression of jewelries being too expensive, and as stricter regulation on customs duties in China having changed the purchase activities of Chinese tourists, for the most part, reduced the inbound tourism demand of jewelries.
- Domestic Jewelry Retail Market On the Rise toward Tokyo Olympic/Paralympic Games, Projected to Achieve 1,019.5 Billion Yen by 2020
The domestic jewelry retail market in 2020 is projected to achieve 1,019.5 billion yen in 2020. The market is expected to remain stable because, together with last minute surge in demand being expected to some extent if the consumption tax is to increase in 2018 and beyond, the domestic consumption and inbound tourism consumption both promising to increase toward the Tokyo Olympic/Paralympic Games in 2020. On the other hand, there is a challenge of how large the jewelry demand can be acquired.
- Figure 1: Transition of Size of Jewelries and Luxury Products Market
