Japan reuse and pawn shop market expansion

Japan’s reuse and pawn shop markets are experiencing significant expansion, driven by rising inflation and changing consumer behaviors. In 2025, the reuse market reached 3.46 trillion yen, marking 16 years of consecutive growth. This trend has been supported by demand for affordable goods and high levels of inbound tourism, though recent data shows fluctuations in visitor numbers, particularly a decline in travelers from China.

Growth is further fueled by the normalization of secondhand trading through mobile apps and an aging population engaging in ‘end-of-life’ organizing. Experts highlight that approximately 91 trillion yen in ‘hidden assets’ is held within Japanese households, much of it by seniors.

Business models are evolving, with specialized buying shops proliferating by using wholesale auctions to avoid holding inventory. Additionally, traditional pawn shops are seeing increased demand as individuals use valuables like jewelry or luxury watches as collateral for loans. The domestic reuse market is projected to reach 4.6 trillion yen by 2030.