News On Japan

Japan Faces 200 Yen Vending Machine Drinks

NAGOYA, Oct 01 (News On Japan) - The wave of price increases continued into October, with more than 3,000 items, including beverages and food, set to rise in price, leaving supermarkets and retailers grappling with how to respond.

According to Teikoku Databank, food manufacturers reported 3,024 items subject to price hikes in October, surpassing 3,000 for the first time since April. In Nagoya, the Wodai Plus supermarket noted that about 300 products, including beverages and packaged rice, would be affected, though the store has been delaying price adjustments by stockpiling goods. Floor manager Manabu Makino explained that the store has been holding extra inventory and relying on wholesalers to maintain lower prices for as long as possible, with the aim of keeping pre-hike prices for at least another month.

Customers, however, are increasingly feeling the pinch. An 80-year-old shopper said, "It’s really difficult. Food is something we need every day, and we can’t just give it up." A woman in her 30s added, "The coffee price increase hurts. I drink it every morning."

Alcohol and beverages account for more than 70 percent of the October hikes. Coca-Cola’s 500-milliliter bottle, for example, is rising from 180 yen to 200 yen before tax.

The impact extends beyond supermarkets to vending machines. Sun Company, based in Toyohashi, Aichi Prefecture, which operates machines mainly in the Higashi-Mikawa region, says it is struggling to keep up. President Tatsuya Nagata noted, "Prices are rising so sharply that we can hardly keep pace. Some drinks are approaching 200 yen." The company has responded by removing products that would exceed 200 yen and replacing them with lower-priced alternatives, but Nagata warned that if trends continue, 20 to 30 percent of roadside vending machines across Japan could disappear as they lose competitiveness against supermarkets and drugstores.

From October, Sun Company’s machines will gradually increase prices on products such as Wilkinson soda water and Welch’s grape juice by 10 yen. Nagata cautioned that the viability of vending machines as a sales channel is now in question: "Raw material costs and exchange rates may be unavoidable, but if this continues, vending machines may not survive."

Households are also searching for ways to cope. Home economics advisor Kikuno Yano outlined three strategies to protect family budgets. First, avoid buying items simply because they appear cheap, as unused food often ends up wasted. Second, even at convenience stores, choose private-brand products, which are increasingly available at competitive prices. Finally, maximize savings through layered loyalty programs. At stores like Matsumoto Kiyoshi, shoppers can simultaneously earn points across multiple systems, from store-specific rewards to credit card miles, effectively quadrupling benefits.

As prices climb, both retailers and consumers are being forced to adapt, while the era of 200 yen vending machine drinks is quickly becoming a reality.

Source: Nagoya TV News

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