Cosmetics, premium wine and vitamins and supplements are also amongst some of the highest purchased categories by Japanese consumers from Australian businesses. Expanding your business to Japan? What are they buying? The importance of eCommerce While the broader Japanese economy has struggled in recent years, it’s online retail sector has grown at a strong rate, reaching highs of $26.4 billion in 2012. 3 Interestingly, only 38% of consumers have purchased from overseas. This is largely due to the strong adoption of Japan’s Amazon equivalent, Rakuten. A whopping 80% of all Japanese online shoppers (approximately 58 million) have an account with the site. 4 Japan Online Retail Sector 2013 (Total Euro 35.4billion) 4 27% Apparel & Footwear 17% Media Products 17% Food & Beverages 7% Household Items 7% Cosmetics 8% Over the counter Drugs 8% Electronics 9% Other Groceries, cosmetics and healthcare products are the most popular purchases in Japan, 3 contributing to an online retail sector that had total revenues of $26.4 billion in 2012. 3 Further growth is expected in consumer electronics, media products, and apparel and footwear in the coming years. 1. MarketLine PESTLE Country Analysis Report Japan, May 2014. 2. Japan – Australia Fact Sheet, Department of Foreign Affairs & Trade, August 2014. 3. Online Retail in Japan, MarketLine, July 2013. 4. Shop the World!, DHL, 2013 & Country Report Japan, The Paypers 2013. Market context As one of the global leaders in the electronics and automotive sectors with unrivalled technological know-how, 1 Japan is a highly complementary economic partner for Australia. In fact, two-way trade reached in 2013, making Japan Australia’s second-largest trading partner. 2