Bags and Luggage in Japan

2021 DEVELOPMENTS

Survival of the fittest as manufacturers focus on catering to new demands

After a catastrophic year in 2020, bags and luggage players in Japan are experiencing another challenging year with multiple states of emergency and restrictions in 2021. Although restrictions on store operations were relatively light compared to those of in 2020, retail channels faced the challenge of confusing regulations.

Reusable bags see momentum after retailers start to charge for plastic bags

From July 2020, plastic bags had to be paid for in retail stores, as a part of the government’s progression towards SDGs (Sustainable Development Goals). Such plastic bags used to be free in most stores.

Bags and luggage companies increasingly directly engage with consumers

Direct-to-consumer strategies are intensifying in bags and luggage, just as in other consumer goods. In March 2021, casual apparel brand WEGO by Blea Group for example launched a school backpack designed by high school students.

PROSPECTS AND OPPORTUNITIES

Collaboration as a way to stimulate sluggish demand

As consumers gradually begin to enjoy outings once more, bags and luggage players will aim to stimulate spending among consumers, despite economic uncertainty, thus boosting demand in the forecast period. Collaboration and limited edition products often appeal to consumers, with these products already supporting a healthy recovery in China from 2020.

Sustainability an increasingly key characterisation of bags in the coming years

When thinking about sustainability, Japan is not the most advanced country. According to Euromonitor International’s Voice of Consumer: Lifestyle Survey conducted in January/February in 2020, whilst globally 65% of respondents answered that they agree or strongly agree they wish to have a positive impact on the environment through everyday actions, in Japan only 28% of respondents agreed.