Summary of Research Findings

The retail market for fashion goods and personal accessories (total of 9 items: towels, hats, handkerchiefs, gloves, ties, bags, watches, socks, and shoes) was sized at 5,245,700 million yen in 2024, up 8.5% from the previous year.
The market growth was largely driven by non-textile items such as bags and watches. Additionally, as indicated by growth rate that is slower than 2023 (16.5% YoY), growth level for each product category has become sluggish.
Furthermore, while the market is projected to sustain 1.8% year-on-year growth in 2025, the level of growth varies by item. As a result, the market as a whole is demonstrating a trend of marked decline. To revamp the growth going forward, suppliers are required to develop product strategies that cater to changing consumer demand, while maintaining revenue per customer by adding more value to their products.

Noteworthy Topics

Trends in Towel Segment (Towels and Towel-Based Products)

In 2024, the Japanese retail market for towel-based products (including standard towels, apparel, bedding, etc.) reached an estimated 172,000 million yen, a 0.6% increase over the previous year. Although the market has stabilized since the 2020 downturn, the growth rate remains steady but low, at between 0.5% to 1%. This slow pace is attributable to a shrinking domestic customer base (owing to population decline), extended product lifespans (as the durability of towels has improved), and budget consciousness among general consumers. As a mature market, significant expansion is unlikely; however, the industry is expected to maintain a baseline level of marginal growth.

Meanwhile, in response to rising consumer hygiene standards, there has been a surge in demand for towels designed to inhibit bacterial growth and prevent the "musty" odors typically associated with damp towels. Against the backdrop of heightened environmental awareness, eco-friendly products made from organic cotton, recycled materials (including fibers derived from recycled PET bottles), and upcycled manufacturing scraps are increasing year by year.  

In addition, demand for high-end towels and towel-based items that offer a voluminous and luxurious texture is also on the rise. Products made from world-famous premium cotton varieties (such as Egyptian cotton and Supima cotton), as well as towels from luxury domestic brands, are frequently purchased as high-quality gifts or personal indulgences.

Research Outline