Japan targets wealthy tourists

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Japan targets wealthy tourists

The government tourism organizations are targeting wealthy visitors from abroad in order to reach a per capita spending target for tourists in Japan, but there are still a number of obstacles to overcome.

The Japan Tourism Agency JTA has taken particular aim at those who spend at least 1 million yen $7,200 during a single visit.

In the pre-pandemic year of 2019, these travelers accounted for only 1 percent of all inbound tourists, but their spending made up 11.5 percent of the total, according to a survey conducted by the Japan National Tourism Organization JNTO.

The government has set a goal to have foreign tourists spend 5 trillion yen $35.6 billion a year in Japan and increase their per capita spending.

Since the relaxation of COVID 19 border controls in September, increasing numbers of tourists have been arriving in Japan, but the JTA and JNTO want more premium visitors to enter.

The number of people with $1 million in assets is expected to grow by 1.5 times over the next five years from 2021, according to a private institution.

Japan is trailing the United States and European countries in attracting wealthy tourists.

Japan was ranked 36th in the list of overseas destinations for wealthy British tourists, according to a JNTO survey. Japan was also 13th for wealthy U.S. travelers, falling behind such countries as Thailand and Italy.

According to the JTA and JNTO, wealthy tourists tend to prefer nature and cultural experiences, contributing to the preservation and development of cultures and industries.

Since October, the two government bodies have invited travel agencies catering to wealthy clients to join night tours led by monks at Mount Koyasan in Wakayama Prefecture and visit luxury hotels in Kyoto and Nara prefectures.

The organizations are considering improving the environment to receive private jets and large yachts to encourage the jet set to visit local areas.

Private investments are under way.

While international luxury hotels are making inroads into Japan, Mitsubishi Estate Co., Mori Building Co. and other leading real estate companies are bringing high-end hotels to buildings built under their redevelopment projects.

The Okura Tokyo Hotel is enriched with its experience-based programs to attract rich tourists, which include workshops on Japanese table manners and hosting tea ceremonies in a traditional tearoom.

Tokyo Luxey Inc., a company that develops marketing strategies and plans tours for wealthy tourists visiting Japan, offers hands-on learning opportunities, including forging Japanese swords under the tutelage of a famous swordsmith, making sushi at a long-established sushi restaurant, and collecting food ingredients in Kamakura, Kanagawa Prefecture, for cooking a vegetarian Buddhist cuisine.

The wealthy tourists find value in something that is tailored for them, said President Chie Maeda.

She said it is important to provide storytellers with expertise in art, architecture, and other fields to satisfy their needs.

She said that the industry is lagging behind in personnel training. There are not enough English speakers.