8 key facts about
Japan e-commerce
www.chandlernguyen.com 2016

1. Japan is the number fourth market in the
world in terms of retail e-commerce sales
(with China holding the number one spot)
Retaile-commercesales(Billions)
$0
$400
$800
$1,200
$1,600
JP US UK China Germany
82.6
1,568.4
132
482
122.6
68.9
911.2
110
385
100.3
2014 2015 2016 2017 2018
Source: eMarketer 2015 data
Note: Retail e-commerce sales includes products or services ordered using the internet via any device, regardless of the method of payment or fulfilment;
excludes travel and event tickets; converted at the exchange rate of US$1=JPY105.855

2. Japan is the number fifth market in the world
in terms of digital travel sales, with the US being
number one market and China being 2nd
Digitaltravelsales(Billions)
$0.00
$50.00
$100.00
$150.00
$200.00
JP US UK CN DE
$33.7
$113.8
$45.3
$198.2
$32.5 $31.6
$81.7
$39.8
$180.6
$28.7
2014 2015 2016 2017 2018
Source: eMarketer 2015 data
Note: Digital travel sales includes leisure and unmanaged business travel sales booked via any device; converted at the exchange rate of US$1=JPY105.855

3. JP has 76.9M digital buyers (69% of the total population)
in 2015, second highest penetration globally, higher than
the US (65%), Germany (66%) and China (36.6%), lower
than the UK (75%)
Digitalbuyeras%ofTotalpopulation
0.0%
18.3%
36.5%
54.8%
73.0%
JPDigitalBuyers(inMillions)
0.0
20.3
40.5
60.8
81.0
2014 2015 2016 2017 2018
Digital buyers Digital buyers (% of population)
72.2%71.4%70.3%69.0%
67.3%
80.379.578.376.974.9
67.3%
69.0% 70.3% 71.4% 72.2%
Source: eMarketer 2015 data
Note:
Digital buyer: ages 14+; internet users who have made at least one purchase via any digital channel during the calendar year, including desktop/laptop, mobile
and tablet purchases

4. Spend per digital buyer (including both retail e-
commerce and digital travel sales) in JP is
significantly lower than buyers in the US and China
Annualspendperdigitalbuyer(retail&travel)
$0
$1,000
$2,000
$3,000
$4,000
2014 2015 2016 2017 2018
$3,022
$2,539
$2,121
$1,762
$1,406
$3,556
$3,345
$3,158
$2,960
$2,723
$1,930
$1,786
$1,646
$1,511
$1,379
JP US CN
Note:
I combined both retail e-commerce sales and digital travel sales to get the total e-commerce sales per market, then divided that by the number of digital buyers
to get spend per digital buyer in each market.
Source: eMarketer 2015 data

5. Food/beverages/alcohol/books/CD/DVD
are the top product categories purchased
digitally by digital buyer in Japan in 2015

6. 80% of digital buyers in Japan bought
on Amazon JP in 2015, following by
Rakuten and Yahoo JP shopping

7. Compared to many other countries in APAC, JP
internet users still heavily use desktop to research
and purchase online vs. smartphone or tablet

8. While credit card is the leading payment method
used for digital purchase in JP (53%), direct debit
through internet/mobile banking ranks second at 14%

Appendix

Majority of digital buyers in JP bought from local
sites in 2015, with only 14% digital buyers made
at least one purchase from a foreign site a year