Economy

Japan’s ¥100-Shop Market Estimated to Reach ¥1 Trillion Amid Increase in Consumer Demand Due to Inflation

Yomiuri Shimbun file photo
A ¥100 shop that is on the same floor as a ¥300 shop is seen in Chuo Ward, Tokyo, in April 2022.

The Yomiuri Shimbun

12:46 JST, May 19, 2024

The domestic market for ¥100 shops will exceed ¥1 trillion for the first time in fiscal 2023, up about 5% from the previous year to around ¥1.02 trillion, according to an estimate by Teikoku Databank, Ltd.

As consumers have become more budget-conscious due to high prices, the sales of daily necessities and sundries, among other frequently purchased items, particularly grew at ¥100 shops in fiscal 2023.

Teikoku Databank estimated the market size from the sales of ¥100-store operators such as Daiso Industries Co. and Seria Co., which was ¥653 billion in fiscal 2013, has grown 1.6 times in 10 years. The number of stores also increased about 1.5 times over the past 10 years to about 8,900 in fiscal 2023.

Most items in ¥100 shops are manufactured overseas. The depreciation of the yen has worsened profitability, and some products can no longer be sold at ¥100. As a result, the number of “¥300 shops” that sell higher value products are increasing, with about 1,100 stores in fiscal 2023 — about 2.8 times the amount in fiscal 2019, which was about 400 stores.

“Operators are facing a difficult decision as to whether to keep focusing on ¥100 products or to expand their business beyond them,” said a Teikoku Databank official in charge of the estimate.