The state of Japan e-commerce market

December 12th, 2013

The state of Japan E-commerce m arket

Presented bySimon TaiGlobal E-commerce ManagerWEB business divisionRyohin Keikaku Co., Ltd

Agenda

E-commerce market stats

E-commerce consumer behaviour

Issues

B2C logistic

E-commerce market stats

E-commerce market size

Online shopping usage

E-commerce market share by industries

Top product categories

Major consumer e-commerce players

E-commerce consumer behaviour

E-commerce usage by ageGener/AgeGener/Age 3-5x/week3-5x/week 1-2x/week1-2x/week 2-3/month2-3/month 1x/month1x/month 1x/2-3 months1x/2-3 months 1x/6 months1x/6 months 1x/year1x/year

Male 10’sMale 10’s 1.7% 5.2% 20.7% 31.0% 27.0% 8.6% 5.7%

Male 20’sMale 20’s 1.6% 8.0% 22.5% 33.7% 22.5% 8.0% 3.7%

Male 30’sMale 30’s 0.5% 12.6% 28.1% 30.2% 17.6% 8.0% 3.0%

Male 40’sMale 40’s 0.5% 10.0% 34.3% 28.4% 14.4% 9.0% 3.5%

Male 50’s+Male 50’s+ 0.0% 5.2% 27.5% 29.0% 19.7% 13.0% 5.7%

Female 10’sFemale 10’s 0.6% 0.6% 11.9% 27.4% 28.6% 17.3% 13.7%

Female 20’sFemale 20’s 2.5% 6.4% 25.7% 24.8% 24.3% 11.9% 4.5%

Female 30’sFemale 30’s 0.5% 7.1% 30.1% 35.2% 22.4% 4.1% 0.5%

Female 40’sFemale 40’s 0.0% 10.8% 34.9% 21.5% 24.6% 6.2% 2.1%

Female 50’s+Female 50’s+ 0.5% 12.6% 30.4% 20.9% 24.6% 8.9% 2.1%

OverallOverall 0.8%0.8% 8.0%8.0% 26.9%26.9% 28.2%28.2% 22.4%22.4% 9.4%9.4% 4.3%4.3%

Average purchase amount

Reasons for online shopping

1. Price cheaper than actual retail stores

2. Don’t have to worry about store operating time

3. Can find exclusive items or services

❖ Points

❖ Simple shopping process

❖ Saves time and energy to bring the goods home

Reasons for not online shopping

1. Cannot see/touch/try the product beforehand

2. Not interested

3. Concern about payment security

Site selection criteria

1. Price

2. Product assortment

3. Delivery fee/discount

Concerns about online shopping

1. Cannot see/touch/try the product beforehand

2. Personal information security

3. After service

Methods of obtaining info

❖ User rating site (e.g. kakaku.com)

❖ Search engines

❖ Brands/makers

Payment methods

Issues

Online shopping trouble rate

Top issues

1. Delayed delivery

2. Broken goods/fake goods

3. Different goods

4. Package damage (goods not affected)

B2C Logistics

Volume

Truck traffic volume breakdown