Japan Decoded
Imperial Hotel has opened a new property in Kyoto’s Gion district, marking its first new opening in 30 years. Rather than pursuing scale, the project is positioned as a strategic move to strengthen brand value. The property operates as a small luxury hotel with just 55 rooms. Part of
Market Insight
Japan recorded approximately 3.62 million inbound visitors in March 2026, marking the highest level ever for the month, according to the Japan Tourism Agency (JTA). Inbound tourism continues to expand, with total visitor spending reaching approximately JPY 2.3 trillion in the first quarter (January–March), also a record
Market Insight
While demand continues to recover, structural issues remain, with approximately 30% of operators still in negative net worth, highlighting ongoing financial vulnerability across the sector. The market expansion has been driven by the continued recovery in inbound tourism, supported by a weaker yen, as well as a rebound in domestic
Market Insight
Japan has formally adopted a new national tourism strategy, setting a target of 60 million inbound visitors and JPY 15 trillion in tourism spending by 2030. The plan positions tourism as a core industry and outlines a dual focus on expanding inbound demand while ensuring sustainability and quality of life
Market Insight
As inbound travel to Japan continues to grow, profitability remains a challenge for many travel companies. At a recent industry forum, a clear message emerged: the shift from price competition to value creation is no longer optional. Adventure travel (AT) was highlighted as a practical framework for monetisation. Defined by
Market Insight
Japan’s accommodation sector is facing increasing structural pressure, despite the continued recovery in inbound tourism. According to Teikoku Databank (TDB), a total of 89 hotel and ryokan operators went bankrupt in 2025, up by 11 cases from the previous year. This marks the second consecutive year of increase. Including
Market Insight
Japan’s accommodation market is undergoing a structural shift, with inbound demand increasingly offsetting a decline in domestic travel. In 2025, total overnight stays reached approximately 653 million, down slightly by 0.8% year-on-year. However, international guest nights grew by 8.2% to 178 million, accounting for more than 27%
Market Insight
Japan recorded 3.6 million inbound visitors in January 2026, down 4.9% year-on-year, marking the first decline in four years. The drop was driven primarily by a sharp decrease from China, which fell by approximately 60% compared to the previous year. This was largely due to the timing shift
Thoughts, stories and ideas.
Japan is moving to redefine tourism as a core industry, with a growing focus on value, sustainability, and long-term impact. At recent policy discussions, industry leaders emphasised the need to shift away from traditional volume-based metrics, such as visitor numbers, towards more structural indicators including quality of experience, length of
Japan’s travel market is expected to enter a new phase in 2026, where value growth outweighs volume expansion. According to recent forecasts, overall travel demand is likely to stabilize or decline slightly in terms of traveller numbers. However, rising spend per traveller is expected to sustain overall market value.
