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Last updated on January 14, 2026
Japan’s e-commerce market rarely grabs headlines in the same way China or South Korea do. Yet it remains a heavyweight in its own right and keeps gaining speed. Japan ranks 4th globally for e-commerce, sitting just behind China, the United States, and the United Kingdom. The Ministry of Economy, Trade and Industry puts the market at 540.5 trillion yen (roughly US$3.46 trillion). Not bad for a country that could fit inside the United States about 30 times over.
Since the pandemic, online shopping in Japan has shifted from a convenience to a habit. The numbers support it. Japan’s e-commerce sales climbed 43.5% from 2017 to 2022, comfortably outpacing traditional retail. Total B2C e-commerce has now reached 24.8 trillion yen (about US$166.6 billion), up 9.8% year over year.
Crossborder e-commerce remains a smaller portion of the pie at 3.4% of total e-commerce in 2022. It is growing, helped by relatively low import duties of 5-10% and a taste for foreign luxury goods. Even so, Japanese consumers still prefer to shop domestically, with 96.6% of e-commerce revenue staying on local platforms.
For brands eyeing Japan in 2026, this is a straightforward cheat sheet to the top Japanese e-commerce marketplaces that deserve your attention.
Amazon Japan (アマゾンジャパン) remains the dominant force in Japanese e-commerce. With an estimated 535.4 million monthly visitors in December 2025, it is the digital equivalent of every person in the country browsing several times a month.
1 in every 3 yen spent online flows through Amazon Japan. It has become the default setting for online shopping, one click at a time.
What drives that dominance?
Prime Video has also played its part, boosting Prime memberships across Japan. With 19.7 million monthly active users in 2024, it is well ahead of Netflix’s 7.5 million.
Amazon Japan operates independently from its Western counterpart and is fine-tuned for the local market. For brands entering Japan’s e-commerce arena, Amazon Japan is the heavyweight that demands consideration.
Rakuten Ichiba (楽天市場) is Japan’s homegrown e-commerce titan. We’re talking over ¥6 trillion (US$49.2 billion) in annual gross merchandise sales in 2024 and a whopping 494.8 million visitors each month. But Rakuten isn’t just about e-commerce. It’s an entire ecosystem. It spans e-commerce, finance, travel, insurance, mobile, and healthcare.
Nearly 90% of Japanese internet users are registered on Rakuten, which gives it a reach few competitors can match.
Its secret weapon is points. Rakuten has gamified loyalty at scale. Buy a book. Get points. Book a flight. More points. Points have become a quasi-currency. With partnerships that include convenience stores such as Lawson, even snack runs feed the ecosystem.
With over 55,000 merchants onboard, Rakuten functions like a virtual shopping mall the size of Tokyo. Brands gain:
Yahoo might feel like a relic in much of the world, yet Yahoo! JAPAN Shopping (Yahoo!ショッピング) thrives. It attracts roughly 118.2 million monthly visitors and exceeded 2.3 trillion yen (US$14.8 billion) in GMV in 2024, thanks in part to its merger with PayPay Mall in 2022.
Backed by SoftBank, Yahoo! JAPAN Shopping enjoys access to 45 million mobile subscribers and integrates directly with the popular PayPay digital wallet.
Its strength lies in appealing to older, cash-ready shoppers who enjoy instant rewards. Customers can receive up to five% back in PayPay points, an incentive that supports repeat purchases.
Brands benefit from:
ZOZOTOWN dominates Japanese fashion e-commerce. With more than 9,000 brands and over a million items listed, it generated 427.1 billion yen (US$2.8 billion) in 2024 and continues to shape fashion consumption for younger, trend-conscious shoppers.
Some Japanese brands report that two-thirds of their sales come from ZOZOTOWN alone. Physical stores have, for some brands, become showrooms rather than core sales channels.
The trade-off is the cost. ZOZOTOWN charges a 30% commission, although the platform provides comprehensive services including photography, precise sizing data, customer service, and fulfilment.
For brands in fashion, ZOZOTOWN offers:
au PAY Market (au PAY マーケット), formerly known as Wowma!, is the e-commerce arm of KDDI, one of Japan’s top 3 mobile carriers and the company behind au. While it keeps sales figures private, estimates place GMV at roughly 315.5 billion yen (US$2.1 billion) in 2023.
Growth is tied to integration. au PAY Market plugs into KDDI’s payment and mobile services, creating a one-stop environment where shoppers stack rewards across both online and offline purchases.
The platform’s loyalty program and payment integrations support a steady stream of repeat buyers. Shoppers can even register products purchased elsewhere to manage everything inside the au PAY interface.
For brands, au PAY Market offers:
For global brands eyeing Japan, e-commerce is the entry strategy. Japanese shoppers move effortlessly between online and offline, so concepts like O2O and omnichannel are not buzzwords, they are everyday retail behaviour. Success comes from understanding how consumers browse, test, buy, and reorder across touchpoints.
Japanese shoppers are famously particular, and the country’s consumer mix spans tech-savvy youth through to older, premium buyers. The pandemic pushed them online for a spell, and now they shop in both worlds. They showroom in-store, buy online, pick up in person, and run every hybrid variation in between. Getting products onto a digital shelf is only half the job.
The part foreign brands underestimate is operational. Japan expects thoughtful localisation, tidy packaging, polite customer service, and fulfilment that actually shows up when it says it will. These are not luxuries. They are the baseline that earns trust.
Early success in Japan rarely looks like a quick revenue spike. It shows up first in marketplace engagement, branded search, repeat purchasing, and customer acquisition that does not detonate the budget. Those are the signals that tell you whether scaling is worth it.
WPIC helps global brands navigate Japan with data, local insight, and proper execution. From marketplace strategy and merchandising to fulfilment and performance analysis, we support brands that want to compete seriously in Japan’s e-commerce market.
If Japan is on your roadmap and you want to understand how your category fits, get in touch.
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