Packaging innovations that motivate foreign tourists to buy

Spending exceeds 8 trillion yen! Seizing the business opportunity of inbound tourism

According to the Japan Tourism Agency, total spending by foreign tourists visiting Japan in 2024 is estimated to be 8.1257 trillion yen. Furthermore, with the Osaka-Kansai Expo coming up in 2025, this momentum is likely to accelerate even further. What should we do to avoid missing out on this huge business opportunity? We will consider inbound spending from a packaging perspective.

What do foreign tourists spend their money on?

According to the Japan Tourism Agency, when the amount of spending by foreign tourists visiting Japan is broken down by expense item, accommodation is the most expensive, followed by shopping and food and drink. In recent years, there has been a shift in spending from things to experiences, but the spending on buying things will remain and is expected to continue to increase in the future.
In terms of where and what to buy, many people buy snacks and groceries at convenience stores, supermarkets, discount stores such as Don Quijote, and drugstores near their accommodation, as well as at the airport on the way back. As for clothing, most people buy it at shopping centers and department stores.
On the other hand, the connection between consumption of experiences and goods has also been increasing recently. For example, at facilities where you can watch or experience sumo wrestling, apparel and miscellaneous goods are selling well as souvenirs and merchandise. It is also common for people to visit traditional craft workshops and try their hand at making art, and then purchase the items made there on their way home.
In recent years, social media has been flooded with information from foreign tourists about "must-buy products in Japan." Don Quijote, which is hugely popular with foreign tourists, has also released its own ranking of hit products. It's a great way to see current trends, so be sure to check it out.

What are the problems you are having while shopping?

First of all, there are many packages that do not allow you to see what is inside. Many souvenirs, especially sweets, are overly packaged. This is probably from the perspective of luxury and consideration, but for foreign tourists, not being able to see what is inside makes them hesitant to buy. Also, from an environmental perspective, Westerners may be concerned about excessive packaging that is not eco-friendly.
Another common problem is the language labeling on packaging. If the packaging is only in Japanese, many foreigners have no idea what it says, and for people with allergies or religious restrictions, not being able to understand the food ingredient label is a major problem. In response to this situation, services that display product descriptions in the user's own language when a QR code attached to the package is scanned with a smartphone are becoming more common. Some kind of countermeasure, including these efforts, is necessary.
Another problem for tourists is that souvenirs are bulky, so there has been an increase in small-package products with compact volumes and packaging to meet their needs.

What are the characteristics of souvenirs that are chosen?

First of all, souvenirs with packaging that takes into account the aforementioned issues are more likely to be chosen. Transparent packaging that allows the contents to be clearly seen, and packaging that is written in multiple languages (not just Japanese) give a sense of security and makes them easier to pick up. Size and shape that are easy to carry are also important factors.
Additionally, "Japaneseness" is what people pay attention to. You may have seen foreign tourists wearing kanji T-shirts. Designs and packaging with large Japanese characters or kanji characters printed in a calligraphy style are perceived as cool and eye-catching. At a glance, "Made in Japan" is easily associated with high-quality products, which increases their value. Furthermore, Japan-savvy people prefer products with Japanese motifs, such as cherry blossoms or Mount Fuji. Signs that convey the story of the store's history or the craftsmanship, as well as icons like "JAPAN LIMITED" indicating products exclusive to Japan, are also key points. Westerners, in particular, have a strong interest in experiencing cultures different from their own, so they tend to prefer products with these designs and traditional crafts.
The appeal of the product itself is of course important, but how it is presented is also a factor. Depending on how you innovate with your packaging, you may be able to develop your company's products into products that are loved by foreign tourists.