Japan is a unique market in terms of payments. Despite being the world's third largest economy, Japan remains a cash-dominant country, ranking third among developed countries for cash usage rates. In 2018, cash payments accounted for 82% of all payments.
Although cash and e-commerce might seem incompatible, Japan's e-commerce market ranks fourth globally. This is largely thanks to convenience store payments (Konbini). Konbini is Japan's second most commonly used payment method, accounting for 10% of total purchases. With 24-hour convenience stores遍布 throughout Japan, Konbini payments provide an easy way for e-commerce to tap into the cash market.
Japan has one of the lowest cross-border shopping rates in the world. Only slightly more than 10% of Japanese consumers shop on overseas websites. Therefore, if you are considering entering the Japanese market, localization may be a key factor for success. This includes aspects such as your product listings, keywords, and payment options you offer.