Japan Household Spending Increases: Updated Jan. 10, 2026.

Japan's household spending in  November rises 2.9% as food outlays rebound

Article source: https://mainichi.jp/english/articles/20260109/p2g/00m/0bu/028000c

Ideas

Despite the continued high prices in Japan, Japanese households and consumers still need to buy food and some or many might just continue to spend on food and cutout expenses in other areas of their life.

But maybe that is not possible for the low-income groups as food expenses make up a larger share of their income compared to middle-income or upper income groups, and for sure it's a large part of the income of fixed-income households such as low-income people who have retired.

Japan used to be and of course probably is a country that women stayed at home and took care of the children and might have gone to the local supermarket once a day or every few days and made the meals.

 But these days is estimated that up to 70 percent or more of women in Japan work which means they might not have time to go to the supermarket as much as don't want or have time to make the normal meals like back in the day. 

So maybe prepared food and ready made foods and meals including dinner bentos from a department store or even a supermarket are now becoming even more common. 

And the same might be said for dining out as some Japanese households might go to a restaurant, not every night but at least once a week when they have the time.

Durable good as are not an everyday day item that is purchased like going to a supermarket but durable goods where out and as such they need to be replaced as places like Yodobashi Camera, which is its huge appliance floor, might see a lot of business from Japanese families either online or in their stores on the weekends.

As with everything else, and globally too, durable goods are not cheap so Japanese families have to save up to get that new refrigerator or washing machine too.

There is this miss-conception that some or many think Japan is this rich country, while that might have been the case, or at least on paper in the 1980's, Japan is not a rich country and not even close to it as its GDP is only around 37th in the world these days, and its GDP per capita is only around 40th place in the world.

Cars like durable goods too need to be replaced eventually and as Japan continues to suffer with higher than normal inflation, a new trend is taking place in Japan and the purchasing of not only new cars but secondhand or used cars too.

Back in the day buying a used car might have been unheard of as Japanese consumers preferred new quality products but again as inflation continues to erode the disposable income of Japanese households and Japanese consumers not only are used cars becoming a more viable option but for some even second-hand clothes stores too are becoming more viable.

While Apple and I phones might still dominate the smartphone market in Japan, Chinese smartphones, which of course are much cheaper than the I phone, are probably gaining market share as maybe the Samsung Galaxy is in Japan too.

Utility expenses in Japan have been increasing ever since the pandemic and some provinces in Japan and the overall Japanese government have increased their subsidies to help Japanese families. But at the same time, some families might still be cutting back their use of utilities as maybe the subsidies only help so much as don't cover all that is needed as again the low-income and fixed-income groups have significant reduced incomes and can't use the utilities as needed.

And now as winter has set in Japan seems to be much colder or cooler than usual this winter which means, some Japanese families might not be using whatever heating devices they have such as AC's for the upper-middle income groups and heated tables and blankets and especially the lower-income and fixed-income groups.

Consumer spending or private consumption is estimated to be about 50 percent of Japan's GDP but its seems that might not be enough to improve the Japanese economy, as Japanese are, or used to be more savers than spenders.

Consumer spending in Japan needs to be around 60 percent of GDP to see any really benefit for the Japanese economy but that is probably and unrealistic expectation at this time.

The average monthly income of salaried households of 519,00 yen or about $38,00 US dollars is not that much. But to be fair, its like comparing apples to oranges and even in Japan 519,000  yen these days might not go that far as again, in most Japanese families now women have to work and the two-income family has become common-place even in Japan.

And yes, inflation has reduced the real income and most importantly the disposable income of most families in Japan and Japanese families. Japanese households have less purchasing power to spend as needed in the economy to help the economy grow.

Have a nice day!