According to the Japan Department Stores Association, cumulative annual sales for department stores nationwide in 2012 increased by 0.3% after adjusting for the number of stores (existing store growth rate), marking the first year-on-year increase in 16 years since 1997, when sales fell below the previous year's figure. Sales before adjusting for the number of stores were 6.1453 trillion yen, a slight decrease of 0.1% compared to the previous year.
The reasons for the increase in annual sales on an existing store basis include a significant increase in reaction to the earthquake disaster in March, a change in consumer mindset towards a preference for authenticity and discerning consumption, and large investments such as expansion and renovation of large stores in urban areas.
By region, sales rose 2.1% in Tokyo, 0.7% in Nagoya, 1.3% in Yokohama, and 1.4% in Kobe. Due to the impact of the earthquake, Sendai saw a 7.7% increase, exceeding the previous year on a comparable basis. Other major cities saw declines: Osaka (down 0.8%), Kyoto (down 0.3%), Fukuoka (down 1.8%), Sapporo (down 0.5%), and Hiroshima (down 2.7%). Overall, the 10 cities saw a 0.8% increase. The total for the rest of the 10 cities was down 0.6%. While the year-end gift sales season saw a notable recovery in urban areas, particularly Tokyo, due to the election, regional stores in particular struggled. For December alone, Nagoya, Osaka, and Kobe saw year-on-year increases, reflecting the effects of renovations at large stores, while Tokyo saw a decline.
By product category, men's and women's clothing increased 1.5% and 0.9%, respectively, driving sales, and overall apparel increased 0.6%. Cosmetics increased by 2.5%, art, jewelry and precious metals increased by 3.4%, and personal items as a whole increased by 1.0%, figures that suggest a trend toward authenticity-oriented and discerning consumption.
In addition, sales to foreign visitors to Japan in December increased by 11.3%, and the number of customers increased by 7.7%, marking the second consecutive month of growth following November, indicating a recovery trend. Annual sales based on duty-free procedures for 2012 were 20.2 billion yen (44 stores surveyed), a significant increase of 26.7% over the previous year.
The reasons for the increase in annual sales on an existing store basis include a significant increase in reaction to the earthquake disaster in March, a change in consumer mindset towards a preference for authenticity and discerning consumption, and large investments such as expansion and renovation of large stores in urban areas.
By region, sales rose 2.1% in Tokyo, 0.7% in Nagoya, 1.3% in Yokohama, and 1.4% in Kobe. Due to the impact of the earthquake, Sendai saw a 7.7% increase, exceeding the previous year on a comparable basis. Other major cities saw declines: Osaka (down 0.8%), Kyoto (down 0.3%), Fukuoka (down 1.8%), Sapporo (down 0.5%), and Hiroshima (down 2.7%). Overall, the 10 cities saw a 0.8% increase. The total for the rest of the 10 cities was down 0.6%. While the year-end gift sales season saw a notable recovery in urban areas, particularly Tokyo, due to the election, regional stores in particular struggled. For December alone, Nagoya, Osaka, and Kobe saw year-on-year increases, reflecting the effects of renovations at large stores, while Tokyo saw a decline.
By product category, men's and women's clothing increased 1.5% and 0.9%, respectively, driving sales, and overall apparel increased 0.6%. Cosmetics increased by 2.5%, art, jewelry and precious metals increased by 3.4%, and personal items as a whole increased by 1.0%, figures that suggest a trend toward authenticity-oriented and discerning consumption.
In addition, sales to foreign visitors to Japan in December increased by 11.3%, and the number of customers increased by 7.7%, marking the second consecutive month of growth following November, indicating a recovery trend. Annual sales based on duty-free procedures for 2012 were 20.2 billion yen (44 stores surveyed), a significant increase of 26.7% over the previous year.
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