News On Japan

How COVID-19 is altering consumer behavior in Japan

May 24 (Japan Times) - Like millions of other Tokyoites enduring month after month of “soft lockdown,” Megumi Takesawa has been stocking up on non-perishables such as canned tuna, tomatoes and corned beef as well as boil-in-the-bag curry.

She also stores a wider selection of alcohol in her pantry now, from bottles of wine and sake to cases of beer, as dining out and gathering with colleagues after work for drinks have become a rarity.

Meanwhile, the 39-year-old office worker says she’s spending less on tickets for live concerts, movies and theater performances, and has substantially cut down on vacation expenses, as long-distance travel is frowned upon. She also tries to buy books from local bookstores so the smaller shops won’t go out of business, and, in order to stay fit while working remotely, she’s taken up jogging.

Some hygiene practices that have become commonplace over the past year to curb the risk of contagion will likely stick, Takesawa says.

“I think I’ll be carrying around disinfectant sprays and wet wipes regularly even after the pandemic,” she says.

COVID-19 is upending Japanese shopping habits like never before. Stay-at-home requests, social distancing measures and the surge in remote work has seen consumers reprioritizing what is essential.

Healthy dietary and lifestyle choices, as well as demand for home cooking and baking have seen products such as protein powder and flour fly off the shelves while the ubiquitous use of face masks has hammered cosmetics sales. And with physical contact being largely avoided, more people are swapping supermarkets for online shops.

For corporations buoyed or burdened by the phenomenon, the big question they are asking themselves is whether these trends are temporary or here to stay.

“I’ve never seen anything like this,” says Toshimitsu Kiji, a data analyst at market research firm Intage Inc. The company collects weekly sales data from approximately 4,000 retail outlets nationwide, including supermarkets, convenience stores and drug stores, to assess consumer trends.

According to figures it compiled for the whole of 2020, sales of face masks, disinfectants and thermometers jumped by 380%, 296% and 255% year on year, respectively. While that may be unsurprising considering the ongoing pandemic, more unexpected products also made its top-30 list of highest-selling goods last year.

At sixth place on its list is “malt beverages,” which grew by 173%. Behind the spike was a social media-backed campaign purporting the health benefits of Milo, the malt-based chocolate drink produced by Nestle. It’s sudden popularity saw the powdered product disappear from supermarkets, with opportunists selling them at a premium on resale sites.

“Snacks produced by toy makers” come in at No. 7, with sales climbing 154% compared to 2019. Kiji says the phenomenon was partially the result of people flocking to snacks that come with stickers and other toys that feature characters from “Demon Slayer,” the manga and anime series that was the basis for a film released last year that became the biggest-ever box-office hit in Japanese history.

Protein powder follows in eighth place with a 141% surge.

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