Grocery market in Japan

The Japanese Grocery eCommerce market is predicted to reach US$23,886.2 million by 2025 and accounts for 20.6% 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 2025-2029) will be 5.3%, resulting in a projected market volume of US$29,339.4 million by 2029. 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 5.3% and will increase by an average of 15.6% to 9.5% by 2029.

With sales in the Japanese Grocery market, amazon.co.jp generated a revenue of US$753.1 million in 2024, 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 2024. 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 83.2% VISA the most commonly offered payment method of all online stores in the Japanese Grocery eCommerce market in 2024. Like VISA Mastercard with a penetration of 82.6%, JCB with a share of 80.0%, and American Express with a share of 76.1% the payment type Cards is the most common used by online retailers in in the Japanese Grocery eCommerce market in 2024. With a share 66.5% Cash on delivery is the most common used payment method offered to the clients of type Cash on delivery.

Despite Yamato's dominant position with 75.0% of online stores opting for its services, the Japanese Grocery eCommerce market in 2024 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 2024. None of the major shop software solution, including MakeShop, Shopify, and FutureShop, have been able to secure a market share exceeding 11.4%, suggesting a diversified market with numerous players holding smaller stakes.