Japan retail trends: Komeri sales flat while department stores grow

Japanese retail sectors showed mixed results in September. Komeri reported that existing store sales remained flat compared to the previous year. While customer numbers fell by 4.7%, the average spend per customer increased by 4.9%. Heavy rainfall and typhoons impacted gardening and agricultural supplies, but drove demand for flood prevention items such as generators, drainage pumps, and sandbags.

In the department store sector, three out of five major companies saw year-on-year sales growth. Strong domestic demand and inbound tourism bolstered results, particularly in luxury brands, jewelry, and watches. Lower temperatures also encouraged the sale of autumn clothing.

Key performers included Isetan Mitsukoshi, with significant growth at its Shinjuku and Ginza locations, and Takashimaya, which saw increases across most stores. Daimaru Matsuzakaya and Hankyu Hanshin also reported growth in specific branches, aided by renovations and events, despite some fluctuations due to year-on-year comparisons with previous large-scale sales or venue impacts.