Grocery market in Japan

The Japanese Grocery eCommerce market is predicted to reach US$23,876.6 million by 2024 and accounts for 20.3% of the total eCommerce market in Japan. It is expected to increase over the next years. The expected compound annual growth rate for the next four years (CAGR 2024-2028) will be 6.5%, resulting in a projected market volume of US$30,751.1 million by 2028. Within the Grocery market ECDB considers the following two sub-markets: Food and Beverages.

The online share refers to the proportion of the retail volume that is transacted via the Internet. It includes purchases via desktop PC, tablet or smartphone, both via website or app. Only retail of physical goods is taken into account. In the Japanese Grocery retail market, the online share is 4.4% and will increase by an average of 18.7% to 8.8% by 2028.

With sales in the Japanese Grocery market, matsukiyo.co.jp generated a revenue of US$493.5 million in 2023, which means it is the leading online store in this market. The Grocery ranking of Japan is based on all online stores that generated sales in this market in 2023. Due to a country- and category-dependent approach, both national and international online stores can be part of the ranking. The graph shows a filtered revenue. It only includes national sales within the respective market.

With 93.4% VISA the most commonly offered payment method of all online stores in the Japanese Grocery eCommerce market in 2023. Like VISA the other most common offered payment methods are all Cards with Mastercard covering 93.4%, JCB covering 91.8%,American Express covering 90.2%, and Diners Club covering 75.4% of all online stores in the Japanese Grocery eCommerce market.

Despite Yamato's dominant position with 73.0% of online stores opting for its services, the Japanese Grocery eCommerce market in 2023 remains diverse and competitive. Several other shipping service providers, including Sagawa Express, Japan Post, Wolt, and Seino Transportation, hold smaller but significant shares, contributing to a dynamic and fragmented market.

In the Japanese Grocery eCommerce market, there is intense competition among various shop software solutions, leading to a highly fragmented landscape in 2023. None of the major shop software solution, including MakeShop, Shopify, and FutureShop, have been able to secure a market share exceeding 11.2%, suggesting a diversified market with numerous players holding smaller stakes.