White Paper on Tourism in Japan, 2022 (Summary)

Japan Tourism Agency

June 2022
 [Part I] Tourism Trends

◯ Global Tourism Trends ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 2

◯ Tourism Trends in Japan(The number of international visitors) ・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 3

◯ Tourism Trends in Japan（Tourism consumption by international visitors / Overseas Travel） ・・・・・・・ 4

◯ Tourism Trends in Japan （Domestic Travel/Consumption in Domestic Travel) ・・・・・・・・・・・・・・・・・・・・・ 5

◯ Tourism Trends in Japan（Overnight Trips） ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 6

 [Part I]Global Tourism Trends
◯In the “International Tourist Arrivals by Country/Region Rankings” of 2020, Japan ranked 21st (5th in Asia) with 4.12 million
people, while Japan ranked 12th (3rd in Asia) with 31.88 million people in 2019.
◯According to the World Tourism Organization (UNWTO), the number of international tourists in 2021 was 421 million people,
which is 18 million people more than that in 2020 (up 4.6% from 2020, but down 71.3% from 2019). Significant reduction in
tourism demand continued due to travel restrictions to prevent the spread of COVID-19, etc.
（Figure I-２）International Tourist Arrivals by Country/Region （Figure I-５）Trend in the Number of International Tourists
Rankings（2020） (10,000 people)
0 1,000 2,000 3,000 4,000 5,000 (100 million people)
16
France 4,000
Italy 2,520 14.7
Mexico 2,430
United States 1,940 14.2
Spain 1,890
Turkey 1,590 14 13.4
Austria 1,510
Germany 1,240 12.5
Poland 840
12.1
China 800
Hungary 740
12 11.5
Greece 740 11.1
Netherlands 730
United Arab Emirates 720 10.6
Thailand 670 10.0
Portugal 650
9.6
Russia 640 10 9.3
India 630 9.1 9.0
Croatia 550 8.6
Malaysia 430 Japan ranked 21st in the world
Japan 412 8.1
Saudi Arabia 410 and 5th in Asia
8 7.5
Viet Nam 380
Switzerland 370 6.7 6.7 6.9 6.9
Egypt 370
6.3
Ukraine 340
Slovakia 320
Canada 300 6
Macau 280
Republic of South Africa 280
Morocco 280 4.2
Bulgaria 270
Puerto Rico 260
Belgium 260 4
Albania 250 4.0
Korea 250
Dominican Republic 240
Brazil 210
Argentina 210 2
Singapore 210
19992000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21
Source: Prepared by the Japan Tourism Agency based on data from UNWTO (World Tourism Organization) (Year)
Note 1: The number of tourists is calculated according to different statistical standards for each country/region, so care must be taken when
comparing the figures. (Example: The number of foreign crew members (crew numbers) is not included in the statistics of Japan, but is i Source: Prepared by the Japan Tourism Agency based on data from UNWTO (World Tourism Organization)
included in the statistics of France, Spain, China, South Korea, etc.)
Note 2: The figures in this table are provisional values as of May 2022.
Note 3: The numbers for the United Kingdom, Indonesia, Czech Republic, Denmark, Ireland, Iran, and Kyrgyzstan for 2020 have not yet
been published, but due to the impact of the Novel Coronavirus Diseases(COVID-19), it is assumed that the numbers for 2020
and earlier will differ significantly from those for 2019 and earlier. For this reason, the past numbers are not. shown in the Figure
Note 4: The figures used in this table are principally the number of foreign visitors staying at least one night, excluding Japan, Russia, Vietnam,
South Korea, Taiwan, and Australia.
Note 5: The green-colored bars in the graph shows the countries/regions in Asia.
Note 6: Since the number of international tourists may be announced later or updated retroactively, the rankings may change depending on the
time when the figures are adopted. 2
[Part I]Tourism Trends in Japan（ The number of international visitors ）

◯The number of international visitors in 2021 was 246 thousand (down 94.0% from 2020, down 99.2% from 2019).
◯The breakdown of the number is as follows: 119 thousand people from Asia (48.5% of the total), including 67 thousand
people from East Asia (27.4%) and 43 thousand people from Southeast Asia (17.4%), 24 thousand people from North
America (9.6 %) and 26 thousand people from 5 major European countries (UK, France, Germany, Italy and Spain)(10.6%).

（FigureⅠ-８）Trend in the Number of International Visitors （FigureⅠ-９）Number of International Visitors :

Breakdown by Country/Region (2021)
（10,000 people）

3,500

3,188
3,119

3,000 2,869

2,500 2,404

1,974
2,000

1,500 1,341

1,036
1,000 835 835 861 836
733
673 679
614 622
521
500 412

25
0
2003 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21
Source: Prepared by the Japan Tourism Agency based on data from the Japan National Tourism
(year)
Source: Prepared by the Japan Tourism Agency based on data from the Japan National Organization
Tourism Organization Note 1: Numbers in parentheses indicate percentages among the total number of international
visitors to Japan.
Note 2: “Others” includes countries and regions in Asia and Europe not specified in the above
Figure.
Note 3: Totals may not be exact due to rounding. 3
[Part I] Tourism Trends in Japan（Tourism consumption by international visitors /
Overseas Travel ）

○Tourism consumption (estimated) by international visitors in 2021 was 120.8 billion yen (down 83.8% from 2020,
down 97.5% from 2019).
◯The number of Japanese overseas travelers in 2021 was 512 thousand (down 83.9% from 2020, down 97.4% from
2019).

（FigureⅠ-11） Trend in the tourism consumption

（FigureⅠ-18）Trend in the Number of Japanese Overseas Travelers
by international visitors
(10,000 people)
Tourism consumption by
Year 2,500
international visitors
2012
(Heisei 24)
1,084.6 billion yen 2,008
2013 2,000 1,849 1,895
1,416.7 billion yen 1,747 1,690 1,789
(Heisei 25) 1,699 1,712
2014 1,612
(Heisei 26)
２,027.８ billion yen
1,500
2015
(Heisei 27)
３,477.1 billion yen
2016
(Heisei 28)
３,747.6 billion yen 1,000
2017
(Heisei 29)
４,416.２billion yen
2018
４,51８.9 billion yen 500 317
(Heisei 30)
2019
(Reiwa 1)
４,813.5 billion yen 51
2020 0
(Reiwa 2)
744.6 billion yen
2011 12 13 14 15 16 17 18 19 20 21
2021
120.8 billion yen (year)
(Reiwa 3)

Source: Japan Tourism Agency “International Visitor Survey” Source: Prepared by the Japan Tourism Agency based on data from the Japan National
Note 1: Please note that there was a change of statistical basis. The survey focused mainly on travelers using airports Tourism Organization
until 2017; however, in light of the rapid increase in the number of cruise travelers, who tend to stay for a short
period of time, the scope of the survey was expanded to cover cruise travelers since 2018.
Note 2: Due to the impact of COVID-19, the surveys for the April-June, July-September and October-December periods in 2020
were canceled. The survey results for the January-March period in 2020 were used to estimate the figures for the
tourism consumption of 2020. Also,the surveys for the January-March, April-June and July-September periods in 2021
were canceled. the survey results for the October-December period in 2021 were used to estimate the figures for the
tourism consumption of 2021,therefore care must be taken when comparing the figures with those of 2019 and earlier.
4
[Part I] Tourism Trends in Japan（Domestic Travel/Consumption in
Domestic Travel)
◯In 2021, the total number of Japanese who took domestic overnight trips was 141.77 million (down 11.8% from
2020, down 54.5% from 2019), and the figure for domestic one-day trips was 126.44 million (down 4.7% from
2020, down 54.1% from2019).
◯Tourism consumption by Japanese and international visitors was 9.4 trillion yen in 2021 (down 14.5% from 2020,
down 66.3% from 2019).

（Figure I-21）Trend in the Numbers of Japanese Taking （Figure I-23）Tourism Consumption in Japan
Domestic Overnight Trips and One-day Trips Domestic Consumption by Consumption by
Japanese Overseas Travelers International Visitors
(10,000 people) 0.1 trillion yen (1.2%) 0.1 trillion yen
(1.3%) Domestic Overnight Trip
70,000 64,108 64,751 Domestic One-
63,095 Consumption by
59,522 60,472 58,710 day Trip
56,178 Japanese
60,000 Consumption by
7.0 trillion yen（74.3
Japanese
％）
50,000 2.2 trillion yen
31,053 31,542 32,418
29,788 29,173 27,548 (23.3%)
27,073
40,000
29,341
30,000 26,821
(trillion yen)

13,271 2012 13 14 15 16 17 18 19 20 21
20,000 32,042 31,299 32,333 12,644
32,566 31,162 Domestic Overnight Trip
15.0 15.4 13.9 15.8 16.0 16.1 15.8 17.2 7.8 7.0
29,734 29,105 Consumption by Japanese

Domestic One-day Trip

10,000 4.4 4.8 4.5 4.6 4.9 5.0 4.7 4.8 2.2 2.2
16,070 14,177 Consumption by Japanese

Domestic Consumption by
1.3 1.2 1.1 1.0 1.1 1.2 1.1 1.2 0.3 0.1
Japanese Overseas Travelers
0
Consumption by International
2013 14 15 16 17 18 19 20 21 Visitors
1.1 1.4 2.0 3.5 3.7 4.4 4.5 4.8 0.7 0.1

(year)
Overnight Trips One-day Trips Total 21.8 22.8 21.6 24.8 25.8 26.7 26.1 27.9 11.0 9.4

Source: Prepared from the ""National Tourism Survey " and “International Visitor Survey”” by the Japan Tourism Agency
Note 1: Figures for "Domestic Consumption by Japanese Overseas Travelers" in 2021 are estimates due to the small number of
responses regarding overseas travel due to the impact of COVID-19.
Note 2: Due to the impact of COVID-19, surveys for the January-March, April-June and July-September periods in 2021 were
canceled. the survey results for the October-December period in 2021 were used to estimate the figures for "Consumption by
Source: Japan Tourism Agency "National Tourism Survey” International Visitors" in 2021.
Note 3: Due to the impact of COVID-19, the surveys for the April-June, July-September and October-December periods in 2020 were
canceled. The survey results for the January-March period in 2020 were used to estimate the figures for "Consumption by
International Visitors" in of 2020.
5
[Part I] Tourism Trends in Japan（Overnight Trips）

◯In 2021, the national average for room occupancy rates was 34.5%, remaining low as in 2020.
◯The total number of guest nights fell for both Japanese and international visitors, but by region,
the declines in Kinki region and Okinawa stood out.

（FigureⅠ-26）Room occupancy rates by accommodation type （FigureⅠ-38) Total number of guest nights by regional block
(Contribution Degrees by Japanese and
International Visitors Changed from 2019) (2021)
(％)
90 Hokuriku
Hokkaido Tohoku Kanto Shinetsu Chubu Kinki Chugoku Shikoku Kyushu Okinawa Nationwide
80.2 0
79.2 78.7 79.5 79.5
80
-10
75.3 -24.0 -25.4 -25.3
74.2 74.4 75.5 75.8 -29.7 -28.4 -29.2 -29.7 -28.4
70 -34.6 -35.8
62.7 -20
61.2 -44.1
60.3 59.7 60.5
60
-30
58.3 -3.9 -7.6
56.0 56.9 57.5 -23.6 -12.7
58.5 -33.6 -22.3 -14.3 -18.7
50 -40 -7.8 -7.9
-30.7 -36.8
42.8 44.4
-42.4 -41.2
-43.7 -44.0
40 -50
-47.6 -47.7 -47.1
34.3 34.5
38.8 -22.9
37.0 37.1 37.5 39.6
34.1 34.1 -60 -55.9
30
30.0 27.9
25.0 22.7 -70 -66.9
20
2015 16 17 18 19 20 21 -80
(year)
Entirety Ryokan Resort Hotel Business Hotel City Hotel （%）
（%）
Japanese international visitor entirety

Source: Japan Tourism Agency "Overnight Travel Statistics Survey” Source: Japan Tourism Agency "Overnight Travel Statistics Survey”
Note 1: Preliminary figures for 2021 Note 1: Preliminary figures for 2021

6
 [Part II]
Tourism Industry Facing COVID-19 Infections
and Its Coming Challenges
〇 Impact of COVID-19 (Situation Surrounding Businesses) ・・・・・・・・・・・・・・・・・・･・・・・・・・・・・・・・ 8

○ Impact of COVID-19 (Employment Situation, Impact on Local Economy) ・・・・・・・・・・・・・・・・・・ 10

○ Environmental Changes in the Domestic Travel Market (Micro-Tourism, Diversification of

Travel Demand) ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 11

○ New Tourism Exchange Markets (Workation, Second Hometown Creation) ・・・・・・・・・・・・・・・・・・・・・・・・・・ 12

○ Increased Importance of “Sustainable Tourism” in Post-Covid-19 ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 13

○ Structural Challenges the Tourism Industry Is Facing ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 15

○ Improvement of Structural Challenges the Tourism Industry Is Facing ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 17

○ Digital Transformation in Tourism Field ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 19

[Part II] Impact of COVID-19 (Situation Surrounding Businesses)

○The degree of recovery in sales in the tourism-related industries is particularly slow in the accommodation services and in the
living-related and personal services, which includes tourism services. The accommodation services, looking at sales by size,
are in a difficult situation regardless of the size of the business.
○Operating income in the tourism-related industries generally remained negative in 2020, and there were signs of a
slight recovery in the second half of 2021 and beyond, but the industries continue to face difficult conditions.
（FigureⅡ-１） Trends in Tourism-Related Industry Sales
（2019～2021）

（FigureⅡ-３）Trends in Operating Income of

Tourism-Related Industries
（2019～2021）

Source: Ministry of Finance “Financial Statements Statistics of Corporations by Industry”

（FigureⅡ-２）Trends in the Sales of Accommodation

Services by Size (2019～2021）

Source: Ministry of Finance “Financial Statements Statistics of Corporations by Industry”

Source: Ministry of Finance “Financial Statements Statistics of Corporations by Industry”

Note１：Large companies are capitalized at 1 billion yen or more, middle-scale companies are capitalized
at 100 million yen or more but less than 1 billion yen, and small and medium-sized companies
are capitalized at 10 million yen or more but less than 100 million yen. 8
[Part II] Impact of COVID-19 (Situation Surrounding Businesses)

○Looking at debt ratios in tourism-related industries, the accommodation services tend to have a higher debt ratio than
other industries. Looking at the accommodation services by size, the debt ratios of middle-scale companies and small
and midsize companies have increased significantly since 2020, indicating that the services are in a difficult situation.
○Annual bankruptcies in the accommodation services increased significantly in 2020 and decreased in 2021, while bankruptcies in the
tourism services increased in both 2020 and 2021. The government continues to provide support such as cash flow support by
government-affiliated financial institutions and employment adjustment subsidies, but meticulous support for business continuity
and employment security are still needed.
（FigureⅡ-11）Trends in Debt Ratios in the Tourism-Related Industries （FigureⅡ-13）Annual Bankruptcies in the Accommodation
（2019～2021） Services
(case)
150 145
128 134
112 118 118
103
100 85 86
83 81 78 78 63
75
39
50
55 47
0
2008 09 10 11 12 13 14 15 16 17 18 19 20 21
COVID-19-related bankruptcy (year)
Source: Ministry of Finance “Financial Statements Statistics of Corporations by Industry” Source: Prepared by the Japan Tourism Agency based on “articles related to corporate
（FigureⅡ-12）Trends in Debt Ratios by Size in the Accommodation Services bankruptcy" by Tokyo Shoko Research, LTD.
Note１：Data of the accommodation services was released on January 13, 2022.
（2019～2021）
（case）（FigureⅡ-14）Annual Bankruptcies in the Tourism Services
80

59
56 54
60 48
42
37 37
40 31
26 27 28 27 26
25
6
20
19
25
7
0
Source: Ministry of Finance “Financial Statements Statistics of Corporations by Industry”
Note１：Large companies are capitalized at 1 billion yen or more, middle-scale companies are capitalized at 100 million yen or more but
less than 1 billion yen, and small and medium-sized companies are capitalized at 10 million yen or more but less than 100 million 新型コロナウイルス関連倒産
COVID-19-related bankruptcy (year)
yen. Source: Prepared by the Japan Tourism Agency based on “Articles Related to Corporate Bankruptcy" by Tokyo
Note２：Since middle-scale companies in the accommodation industry had negative net assets in the January-March 2021 period, their Shoko Research, LTD.
debt ratios were not calculated in the Financial Statements Statics of Corporations by Industry. Note１：Data of the travel services was released on January 12, 2022. 9
[Part II] Impact of COVID-19 (Employment Situation, Impact on Local Economy)

○The number of employees in the accommodations, restaurants, and other living-related and personal services has declined
significantly since 2021, compared to other industries.
As for wages, the accommodations and eating and drinking services also shows a large decrease after 2020.
○Tourism consumption by destination decreased significantly in 2021 compared to 2019 in all blocks, including Hokkaido and
Okinawa.
（FigureⅡ-16）Change in the Number of Employees (compared to
（％） the same period in 2019) （Figure Ⅱ-23） Percent Changes in Tourism Consumption by Destination
10 in 2021 (compared to 2019)
5

Hokuriku-Shinetsu
0
-5
-10

Hokkaido

Chugoku

Okinawa
-15

Shikoku
Tohoku

Kyushu
Chubu
Kanto
-20

Kinki
（％）
-25
-30 0
-35
Jan-Mar Apr-Jun Jul-Sept Oct-Dec Jan-Mar Apr-Jun Jul-Sept Oct-Dec
-10
2020 2021
Source: Prepared by the Japan Tourism Agency all industries -20
based on the Labor Force Survey by the manufacturing industry
Source: Prepared
Ministry by the
of Internal Japan
Affairs and Tourism Agencytransportation
based on the Labor Force Survey by the Ministry of
and postal industry
Internal Affairs and Communications
Communications
accommodation services -30
（Figure Ⅱ-19） Changes in Wages (Accommodations and Eating -29.4

and Drinking Services)

（％） 5 -40
0 -42.6

-5 -50 -47.8 -48.3

-10 -50.9 -52.3 -51.3
-51.1
-15 -55.1 -54.8
-60 -57.6 -58.8
-20 -60.4 -60.1
-62.5
January

March
April
May

September
October

January

March
April
May

September
October

January

March
April
May

September
October
February

June
July
August

November
December

February

June
July
August

November
December

February

June
July
August

November
December

-65.5 -64.7
-70 -65.8
-72.3
-72.9
Overnight Trips One-day Trips
2019 2020 2021 -80
total of employment statuses general worker part-time worker
Source: Prepared by the Japan Tourism Agency based on the "Monthly Labor Survey" by the Ministry of Health, Labor and Welfare
Note１：The Values indicated in 2019 and 2020 are ones compared to those of the same month of the previous year, and the values Source: Japan Tourism Agency "National Tourism Survey"
in 2021 are ones compared to those of the same month of 2019. Tourism and Recreation Purposes
Note２：Total cash wages, the sum of salaries regularly paid and salaries paid on special occasions, are wages, salaries, allowances,
bonuses, and other payments paid in currency by employers to workers as compensation for their labor, regardless of the 10
name under which they may be called. The amount paid in currency by an employer to a worker as compensation for labor,
before income tax, social insurance premiums, union dues, payments for purchases, etc., are deducted.
[Part II]Environmental Changes in the Domestic Travel Market (Micro-Tourism,
Diversification of Travel Demand)
○Due to the spread of COVID-19, Japanese travelers have changed their choice of sightseeing spots,
avoiding major sightseeing spots and urban areas where they are likely to be dense.
○The trend of tourism within neighborhoods (so-called micro-tourism) continues to develop, but future trends need to be
monitored closely.
○The rate of decrease in tourists, who used to concentrate on holidays, national holidays, Golden Week, and the beginning of
the New Year, is particularly large. They tend to avoid crowded periods.
（FigureⅡ-31）Total Number of Travelers by Prefecture （FigureⅡ-33）Percentage of Intra-Regional Travelers within
(by Destination) the Regional Block by Area of Residence
（10,000 people）
1,600
(Comparison between 2019 and 2021)
2019 2021
1,400
（％）
1,200

1,000 100.0
800
90.0
600

400
80.0
200

0
70.0
H A I M A Y F I T G S C T K N T I F Y N G S A M S K O H N W T S O H Y T K E K F S N K O M K O
o o w i k a u b o u a h o a i o s u a a i h i i h y s y a a o h k i a o a h o u a a u i i a k
k m a y i m k a c n i i k n i y h k m g f i c e i o a o r k t i a r m k g i c k g g m t y g i 60.0
k o t a t a u r h m t b y a g a i u a a u z h g t k g a a t m y o a u a m h u a a a a a o n
a r e g a g s a i a a a o g a m k i n n u i a o a o y o a a s g s w e i o s m z s a

50.0
i i i a h k g m a t a a a o o a r n m h u h a k a o a h w
d t i i i w a w s k m i e a i c i a k t k i a
o a m a a h a a m h m i o i m
a i a i a a
87.5 82.8
40.0 81.0 77.1
Source: Japan Tourism Agency "National Tourism Survey ” Domestic Overnight trips for Tourism and 72.6
Recreation Purposes
30.0 62.7 59.3
54.5 53.3
（FigureⅡ-29）Percentage Change in Domestic Travelers by Day of the 51.5
20.0
（％） Week in 2021 (compared to 2019) (47 city-ward destinations)
-50 10.0
-57.7 -58.3 -58.0 -59.5
-61.6
-64.4 0.0
-60 2019 2021 2019 2021 2019 2021 2019 2021 2019 2021 2019 2021 2019 2021 2019 2021 2019 2021 2019 2021 （year）
-70.8 Hokkaido Tohoku Kanto Hokuriku- Chubu Kinki Chugoku Shikoku Kyushu Okinawa

-70 -74.3 Shinetsu

-77.3

-80
Source: Japan Tourism Agency “National Tourism Survey”
Domestic Overnight trips for Tourism and Recreation Purposes

Source: Prepared by the Japan Tourism Agency using mobile data

Note１：The 47-city-ward destinations refer to visits to the surveyed areas (47 city-wards in the prefectural
capitals of Japan).
Note２：Data for January 1 to September 30, 2019 and January 1 to September 30, 2021. 11
[PartⅡ] New Tourism Exchange Markets (Workation, Second Hometown Creation)

○With the growing preference for regional areas and the spread of telework as a result of COVID-19 outbreak, initiatives to
develop new exchange markets, such as workcations* and "second hometown" creation (repeated travel to and from
the region) are also being promoted.
※Workcation is a term coined by combining the words "work" and "vacation. It refers to working in a place different from one's usual
workplace or home, using telework. etc. while also spending time on one's own.
（FigureⅡ-43）Awareness and Understanding of Workation （FigureⅡ-49）The need to Have a Hometown Other Than the
• Workcation awareness among employees is 80.5%.(79.1% in 2020） Hometown where One Was Born and Raised
• The workcation experience rate was 4.2%.(4.3％ in 2020）
• Do you want a place where you can feel as if you were returning to your
4.2%
Having hometown where you were born and raised?
experienced • 56% of respondents would like to have a second hometown, more than the
majority.
19.6% 9.3%
Haven’t heard Not yet experienced
Wouldn’t Would like to
or known while the company like to have have it, 21%
is equipped with it, 19%
8.5%
workations
Not known
58.5% Wouldn’t
although having like to have
heard Not yet experienced and it so much,
Would like
25%
the company has not to have it a
little, 35%
offered wokation

Source: Japan Tourism Agency survey (conducted in November 2021) Source: Prepared by the Japan Tourism Agency based on the "Survey on New Styles of Returning Home"
(conducted in September 2021), surveyed by " Jalan Weekly"

Case of Workations[Unilever Japan] Case of Second Hometown Creation[Hokuto City, Yamanashi Prefecture]

• In collaboration with eight local governments, employees participate in activities such as • Rice cultivation is conducted as employee training for multi-generational gatherings in
local events and contribute to the community by giving lectures at elementary schools, etc. an area that had become a wasteland due to abandoned cultivation.
• It also benefits the company through employee development and the creation of new • While visiting the region many times over a period of nearly a year and engaging in
business ideas. rice farming, visitors participate in solving local problems. 12
 [Part Ⅱ]Increased Importance of “Sustainable Tourism” in Post Covid-19

○The outbreak of COVID-19 has triggered a growing worldwide need for travel that is more in touch
with the natural environment rather than crowded, well-known tourist destinations.
○There is a global trend heightened toward greater awareness of sustainable behavior in the way
people spend their time on travel destinations, and efforts toward sustainable tourism will be important in
the future.
※Sustainable tourism is defined by the UNWTO as "tourism that fully takes into account its current and future economic, social, and
environmental impacts while addressing the needs of visitors, the industry, the environment, and the communities that host them.

（FigureⅡ-61）Increased Awareness of Sustainable Tourism （FigureⅡ-63）Number of Hotel Searches on Tripadvisor YoY

among Global Travelers Due to Impact of the Pandemic changes index)
Travelers in the world who responded, "The pandemic has made me want to
travel more sustainably than I do now：61％ 0 50 100 150 200 250

On-farm Facilities 235

Camp Grounds 208

Vacation Rentals 207

Examples of Sustainable Practices: Recycling, Reducing the amount of garbage, Using public
transportation, etc. Hotels near Lakes 181
Source：Booking.com”Sustainable Travel Report 2021”
Note１：Conducted online in March 2021 for 29,349 persons aged 18 and older in 30
countries and territories. Family Resorts 84
（FigureⅡ-62）How to Spend Time on Travel Destinations
0 20 40 60 80 100 （％） Hotels in the City Center 81
Changed behaviors in travel to increase sustainability,
52
and began walking, riding bicycles, and hiking whenever
34
possible
Budget Hotels 69
Would like the money spent during the trip to go back to 68
the local community 49

Desire to have an authentic experience that is 72

Low-cost Hotels 67
representative of the local culture during the trip 47

Would like to get advice from a travel agent on how to 41

behave more sustainably while traveling 22
Source： Prepared by the Japan Tourism Agency based on Tripadvisor ”beyond COVID-19: The Road to
If there is a way to offset the carbon footprint of the 56 Recovery for the Travel Industry” (May 2020)
accommodations to be used, it would be nice to do it 34

Travelers in the World Japanese Travelers

Source: Prepared by the Japan Tourism Agency based on data from Booking.com's "Sustainable Travel" survey (2019)
Note１： Conducted from February to March 2019. 18,077 participated from 18 markets
worldwide (more than 1,000 each from Brazil, Canada, China, France, Germany, India,
Indonesia, Italy, Japan, Mexico, the Netherlands, South Korea, Spain, Taiwan, the
United States, and the United Kingdom; 883 from Israel).
Note２：The chart shows the percentage of respondents who answered "yes."
13
[PartⅡ] Increased Importance of “Sustainable Tourism” in Post-Covid-19

○In anticipation of the post-COVID-19, it is necessary to promote sustainably the creation of a tourism area that is
"good to live in and good to visit" so that local residents can feel the benefits of tourism while preserving local resources such
as the natural environment, culture, and local industry.

Future Sustainable Tourism Initiatives by the Japan Tourism Agency

Examples of Creating Sustainable Tourism Areas in Japan
Preservation of Cultural
Properties through
Admission Fees
• The Sanbutsu-do Hall of Rinnoji
Temple in Nikko underwent its
first major conservation
renovation since the Showa
period.
• The state of conservation and
repair of cultural properties that
are normally closed to the public
is opened to the public, and the
admission fee is used to cover
part of the repair costs.
Refinement of Local
Industries as Tourism
Content
• In the Tsubame-Sanjo area, the
factories and other facilities that
gather in the community are
opened to the public, and events
are held to allow visitors to tour
and experience the work.
• The initiative aiming to increase
the number of local fans
contributes to issues related to
the preservation of traditional
crafts, such as the lack of
successors to artisans.
○ Prevention of Overtourism
・Outbreak of Congestion ⇒ Diversification of Timing, Time, and
Location of Visitors
・Violation of Manners ⇒ Raising Visitor Awareness
+ Spreading the Benefits to Local Residents
○ Conservation and Revitalization of the Natural
Environment, Culture, and Other Local Resources
・ Maintenance of wooden paths, restrooms, etc. ⇒ Conservation
of natural environment using user fees
・ Protection of cultural assets ⇒ Preservation and repair of
cultural assets through the use of admission fees, etc.
○ Creating a Sustainable Tourism Area
・Transient efforts relying on subsidies ⇒ Continuous collaboration among
related parties to create a self-reliant and self-supporting community
①Establishing a Management Structure ＜Measure Image＞
The "Japanese Sustainable Tourism Guidelines (JSTS-D)" (R2.6) and
"Guidance" (R4.3), conforming to international standards, were developed as
tools for local governments and DMOs to conduct sustainable regional
management based on multifaceted and objective data measurement and
medium- to long-term planning, taking account of both tourists and local
residents.

②Creation and Devising of Content ＜Measure Image＞

Support is provided from the creation of content using the region's unique
tourism resources (nature, food, history/culture, livelihood, etc.) to the
development of sales channels, taking into consideration the burden on the
region.

③Improvement of the Environment for Reception

Visualization of Congestion（Kyoto) ＜Measure Image＞
Information is provided on the predicted comfort level of sightseeing by time
Rinnoji Temple Main
Tour of a Factory of day around popular sightseeing spots, real-time information, and useful
Hall (Sanbutsu-do)
information for sightseeing while avoiding dense areas.
14
[Part Ⅱ] Structural Challenges the Tourism Industry Is Facing

○While the jobs-to-applicants ratio of the "hospitality and serving occupations," which include ryokan and hotel managers
and others involved in the accommodation services, rose consistently from 2.3 times in 2013 to 4.0 times in 2019, it declined
in 2020 and 2021 due to a sharp drop in tourism demand caused by the spread of COVID-19, falling to 1.9 times in
2021.
○The rate of turnover, one of the factors contributing to labor shortages in the accommodation services, reached 3% in 2016
and 2017, but trended slightly lower in 2020 and 2021, when the tourism industry as a whole was stagnant due to the spread
of COVID-19.
○The results of a survey of approximately 6,600 hotels nationwide regarding concerns about future hotel operations showed that
the most common concerns were "employee recruitment and training" and " deteriorating buildings and facilities. “
（FigureⅡ-74）Changes in the Jobs-to-Applicants Ratio （Figure II-81）Results of Questionnaire Survey on "Concerns
for Hospitality and Serving Occupations and Worries about Future Hotel Operations"
（times）
4.5 0 10 20 30 40 50 60 （%）
70
3.6
4.0
3.5
3.1
3.9 4.0
Employee Recruitment and Training 61
2.6 4.0
3.0 2.3
2.5 2.2 1.9
Deteriorating Buildings and Facilities 56
1.4 1.5 1.5
2.0
1.0 1.1 1.2 1.1 1.0
Setting Appropriate Accommodation Unit Prices Based on Occupancy Rates 53
1.5 0.8
1.0 Increased Competition from Neighboring Hotels 51
0.5
Wage Increases for Employees ( Minimum Wage, Social Security
0.0 Contributions for Part-Time Workers, etc.) 43
2013 2014 2015 2016 2017 2018 2019 2020 2021
Hospitality and Serving Occupations All Occupations
Rising Costs of Building Maintenance 39
Restricted Occupancy Rate due to Housekeeping Workload (Limiting the
Source: Ministry of Health, Labour and Welfare" Statistics on Employment Security Operations" Number of Guests to be Accepted) 31
Note 1: Figures are for regular employees including part-time workers, excluding new graduates and jobs
for new graduates. Rising Costs of Outsourcing 29
Note 2: "Part-time" refers to those whose prescribed weekly working hours are shorter than the
prescribed weekly working hours of regular workers employed at the same establishment.
Note 3: "Regular employment" means an employment contract with no fixed term or an employment term
Decrease in Revenue due to Last-Minute Cancellation Occurrences 27
of 4 months or longer. Increased Burden due to Renewal of FFE (Furniture, Fixture, and
25
（FigureⅡ-75）Trends in Turnover Rate Equipment)
Adapting to Digitalization and Mechanization 22
Response to SDGs (Sustainable Development Goals) 20
Stable Securement and Procurement of Linen 10
Others 4
Nothing in Particular 2

Source: Xymax Real Estate Research Institute "Questionnaire Survey on Hotel Operations (2022)

Source: Ministry of Health, Labour and Welfare "Monthly Labor Survey".

Note 1: The turnover rate is the ratio (%) of the number of regular workers who left their jobs during
the survey period due to retirement, transfer, etc. (including transfers between offices within the
same company) to the total number of regular workers at the end of the previous survey period.
The annual figure is a simple average of the monthly turnover rates. 15
[Part Ⅱ] Structural Challenges the Tourism Industry Is Facing

○Labor productivity (value added per employee) in the accommodation services is lower than the average for all
industries; the gap with the average for all industries tended to narrow until FY2017 but widened significantly in
FY2020; when the spread of COVID-19 caused a downturn in overnight travel.
○In this regard, the value of labor productivity in FY2020 is thought to have been pushed down because the value
added decreased by about 50% compared to FY 2019 while the number of employees decreased by only about 15%
due to the use of employment adjustment subsidies and other measures.

（Figure II-82）Trends in Labor Productivity （FigureⅡ-83）Trends in Value Added and the Number of
Employees in the Accommodation Services

（100 million yen） （10,000 people）

（10,000 yen）
40,000 80
900
66 67
800 705 725 739 730 715 35,000 62 70
690 727 688 61
666 58 58 59
700 30,000 55 60
540 52
600 518 510
474 456 476 25,000 50
500 421 428
400 20,000 40
242 35,465 34,335
300
15,000 30,742 30
200 26,230 27,552 26,503 25,948 25,990
100 10,000 20
0 12,696
5,000 10
2012 2013 2014 2015 2016 2017 2018 2019 2020
（Financial Year）
Accommodation services All industries 0 0
2012 2013 2014 2015 2016 2017 2018 2019 2020
（Financial Year）
Value added Number of
（left axis） Employees（right axis）
Source: Prepared by the Japan Tourism Agency based on the Ministry of Finance "Financial
Statements Statistics of Corporations by Industry" Source: Prepared by the Japan Tourism Agency based on the Ministry of Finance "Financial Statements
Note 1: Labor productivity is calculated as value added divided by the number of employees. Statistics of Corporations by Industry“
Note 1: Value added is the sum of personnel expenses (i.e., total of employee salaries, employee
bonuses, directors' salaries, directors' bonuses, and welfare expenses), interest expenses, etc.
rent on movable and immovable property, taxes and dues, and net operating income.

16
[PartⅡ] Improvement of Structural Challenges the Tourism Industry Is Facing
-Revitalization and High Value Added of Sightseeing Spots
○In order to achieve a V-shaped recovery of tourism from the COVID-19 disaster, it is necessary to strongly
promote the revitalization and high-value-added development of exhausted sightseeing spots and the
establishment of sustainable management of sightseeing spots. In addition, it is necessary to solve
longstanding structural challenges in the tourism industry, which plays a central role in the promotion, and to
revitalize the tourism industry.
○In this way, the fruits of regional revitalization through tourism can be enjoyed by local communities, industries,
and residents, By linking to the further refinement of sightseeing spots, it is possible to create a virtuous cycle of
sustainable regional revitalization through tourism.
○The tourism industry is facing structural issues such as low productivity and lagging digitalization, etc. In order to solve these
problems, it is necessary to promote DX as well as to improve the treatment of workers in the tourism industry.
The Direction of Regional Revitalization and Tourism Industry in Post-COVID-19 (Image)
Tourism demand plummets due to Old business model has reached an
コロナ禍で観光需要が激減
COVID‐19 旧来型事業モデルの行き詰まり
impasse
現状・課題
Current Status and Issues

地方の観光地・産業の疲弊、地方の稼ぐ力の低下
Impoverishment of local tourist destinations and industries, decline in local earning power

観光地の再生・高付加価値化
Revitalization and high‐added value of tourist spots
Region
人口流出に歯止め
Stop population outflow
観光客受入への理解・協力
地域
Refinement of tourism
resources and stay 税収増

Tourists
Understanding and cooperation in 関係者一体となった Increase of tax income Fulfillment of
environment with all 観光体験
sightseeing
accepting tourists
旅
観光資源・滞在環境
concerned parties の充実
experience
の磨き上げ

行
Improvement of total life

観光地を核として
circumstance
生活環境全般の向上
Fostering love and pride to
Creating a virtuous cycle of
地域への愛着・誇りの醸成
者
the community Provision of
目指すべき Increase
訪問増 of visit
地域活性化の
regional revitalization with high value-
高付加価値な
added service Increase of
今後の
Future Directions to tourism areas as the core
サービスの提供
Improvement 消費増
consumption

好循環を創出
生産性の向上
of productivity
be Aimed for 方向性
Residents
住民
Participation into making
Increase of
設備投資to
investment
の増加
facilities
Industries
産業
Accommodation services・
Tourism industries
適正な
Receipt of fair
観光地域づくり・
sightseeing area and
Improvement
労働分配率 of 対価収受
compensation
観光産業へ参加
tourism industry
labor allocation
の向上等
ratio, etc.
宿泊業・旅行業
Food/commerce &
industry/entertainment
飲食・商工・娯楽・交通等
/traffic etc.

Increased
雇用の安定 Securing 収益増
Stability of employment
Increase of income
担い手
persons in
revenue
所得増 の確保
charge

Source: Prepared by the Japan Tourism Agency 17

[Part Ⅱ]Improvement of Structural Challenges the Tourism Industry Is Facing

○Local governments, DMOs, etc. is strongly supported in the preparation of regional plans for the revitalization of sightseeing spots and the renovation projects based on these
plans, towards the areawide revitalization and high-value-adding of sightseeing spots in the region as a whole with a focus on accommodation facilities, which are the face of sightseeing
areas.
○In order to realize a full-fledged recovery of tourism supporting the regional economy, comprehensive support is provided from the creation of content to the development of sales
channels utilizing the region's unique tourism resources, such as nature, food, history, culture, art, livelihood, and transportation, aiming to create a signature product that can be
profitable for the region.
○Digital transformation in the tourism field is promoted to increase consumption and promote revisits, as well as to develop human resources to support these
efforts, thereby creating a region that generates income.

Revitalization of Sightseeing Areas and High
Value-Added Sightseeing Services Working
Together with Local Communities
High Value-Added Accommodations
• Support for Large-Scale
Renovation of
Accommodation Facilities
Contributing to the Area-
wide Revitalization of
Sightseeing Spots
Renovation of Tourist Facilities
Creation of Signature Products that Digital Transformation in Tourism Field
Generate Income for the Region Using the
Region's Unique Tourist Resources Improved Productivity in the Tourism Industry
• Property Management System for Advanced Information
Measure Image Managementand Efficient Staffing
Nature
• Creation of Hands-on Activities Utilizing the
Region's Unique Nature
(Source: Ryokan Jinya)
Food
• Development of New Menus Based on
Improving Convenience for Tourists and Promoting Round Trips

Local Specialty Food Experiences and • Real-Time Information Transmission through Digital
• Support for Renovation Regional Characteristics Signage, etc.
• Utilizing Tourism Apps to Increase Consumption by
of Souvenir Shops, Avoiding Congestion and Dispersing Human Flows
Restaurants, etc. History・Culture・Arts
Removal of Abandoned Buildings to Improve Tourism • Creating Programs for Tourists to Experience Advanced Management of Sightseeing Areas
Attractiveness
Culture and Arts Rooted in Local • Encouraging repeat visits and Direct
• Support for Removal of Communities increasing consumption Marketing,
Abandoned Buildings through marketing (CRM) Push-based
and
Contributing to Scenic that uses travel,
Improvement of Local Industry（Occupation） accommodation, and
Seasonal
Information
Sightseeing Spots, etc. purchase data of travelers (Source: Kesennuma Crew Card App

• Creating Experience/Learning Programs Tourism Digital Human Resource Development

Renovation of Public Facilities for Tourism
based on the Local Occupation and Utilization
Purposes • Promoting and Developing Digital Human
Resources with Destination
• Support for Renovation Traffic Management/Marketing Organizations (DMOs) at
of Well-located Public the Core
Facilities, including the • Creating Unique Regional Content by • Digitalization of Tourism Areas, Marketing, and
Addition of Cafes, etc. Capitalizing on the Region's Symbolic Traffic Use of Data in Tourism Industry Management,
etc., Led by Digital Human Resources
18
[PartⅡ]Digital Transformation in Tourism Field

○Tourism industry lags behind other industries in DX (Digital Transformation) efforts.

○Businesses cite a lack of human resources, finances, and awareness of the need for
IT/digitalization as reasons for their lack of progress.

（FigureⅡ-89）Efforts for Digital Transformation (by Industry) （FigureⅡ-93）Reasons for Lack of IT and Digitalization Response
0 20 40 60 80 100

Construction Work（n=3627） 13.5 3.63.6 18.9 60.5

（％）
Manufacturing（n=3663） 15.7 3.73.4 20.0 57.2
0 5 10 15 20 25 30 35 40 45 50
Electricity・Gas・
20.6 5.45.7 17.5 50.8
Heat Supply and Water（n=756）
Information and Communications The need is not recognized 44.7
(Communications)（n=312）
34.9 9.0 7.1 17.0 32.1
Information and Communications
30.3 7.2 6.8 18.8 36.8 There is insufficient knowledgeable and
(Information Services)（n=1026） 44.3
skilled personnel
Information and Communications
(Services Incidental to Internet)（n=234）
29.9 4.78.1 19.2 38.0
Budget is not enough to cover the expenses 29.5
Transport and Postal activities（n=1393） 12.11.83.016.9 66.2

Wholesale and Retail Trade（n=1846） 15.1 3.14.4 19.4 57.9 There are other priorities 22.8
Finance and Insurance（n=743） 32.2 6.75.8 19.7 35.7
Real estate and Goods rental and Leasing No idea where to start or how to do it 22.4
13.9 4.25.2 20.8 56.0
（n=577）
Scientific Research, Professional and Technical There is no one to talk to, or no idea whom
20.9 8.54.0 19.8 46.9
Services（n=177） 7.2
to consult with
Accommodations, Eating and Drinking Services
10.03.72.7 17.8 65.8
（n=828）
Living-related and Personal Services and
11.8 3.53.015.3 66.5
Amusement Services（n=636）

Education, Learning Support（n=656） 13.3 4.16.3 19.4 57.0 Source: Japan Tourism Agency survey (conducted in May 2021)
Note 1: The survey was conducted among workers in the accommodation industry (company
Medical, Health Care and Welfare（n=2870） 5.4 2.0 12.0 78.7 employees, company executives, managers, part-time workers, and contract employees).
1.9 Note 2: Results for those who responded that IT and digitalization are insufficiently responded to
and ineffective.
Services, N.E.C.（n=796） 16.1 4.13.9 16.6 59.3

Others（n=246） 17.5 2.82.4 15.9 61.4

Implementing in FY2018 or before
Implementing since FY2019
Implementing since FY2020
Not implemented, but considering Implementation in the future
Not implemented with no plans for the future

Source: Prepared by the Japan Tourism Agency based on the Ministry of Internal Affairs and
Communications "2021 White Paper on Information and Communications"
19
[Part Ⅱ] Digital Transformation in Tourism Field

○In the tourism sector, the digitalization of travelers is progressing with the spread of online travel and accommodation
reservations and smartphones although accommodation facilities and tourism areas are lagging behind in their response.
○It is important for the entire local community to work together in building a system to obtain and analyze data on
tourists from multiple perspectives and to understand their needs, behavior, and consumption with a high degree of
accuracy, thereby improving the production value and the quality of employment in the region while individual
businesses, Destination Management/Marketing Organizations (DMOs) and other entities are promoting digital Transformation.

Concrete Examples of Digital Transformation in Tourism Areas

Improved Convenience for Travelers and Promotion
of Round-trips
• Kyoto City provides "Kyoto
Sightseeing Comfort Map,"
which introduces tourist spots
for comfortable sightseeing and
times of the day when tourist
crowding is low, using location
information from smartphones
and other devices.
• In addition to analyzing live
camera images and working to
improve the accuracy of
comfort level forecasts, the city
has begun distributing live
camera images.
• Hotel AMANEK in Beppu Onsen,
Oita Prefecture, has introduced
the HEYAZUKE System, which
allows room-based billing at
about 40 restaurants in the city
using guest room card keys and
paying at once upon check-out.
• The cashless system contributes
to the convenience of empty-
handed city walking and to
increased consumption in the
community as a whole.
Advanced Management of Tourism Areas
• (Association)Kesennuma
Regional Strategy introduced
the "Kesennuma Crew Card," a
point card.
• Utilizing the collection/analysis
of usage data and CRM
(Customer Relationship
Management), development of
new food menus and
experiential content, etc., as
well as direct transmission of
the latest information to
members, is being promoted to
attract repeat customers.
• (Association) The Gero Onsen
Tourism Association has
digitalized the customer
information from
accommodation facilities, which
had been collected in analog
form, to utilize data on the
number of overnight guests and
their attributes over the entire
region.
• The CRM application is being
utilized to increase tourism
consumption, such as through a
stamp rally for members to tour
the city.

Creation of Experience Products

Image of Kyoto Sightseeing Comfort Map HEYAZUKE System Based on Oyster Needs Gero Onsen Village CRM App
20
[Part Ⅲ] Measures Taken in FY2021／[Part Ⅳ] Measures to Be Taken in FY2022
Developing Domestic Exchanges and New Exchange Markets
・Stimulating tourism demand through " New Go To Travel
Campaign " and support for regional travel projects.
・Popularizing workcation and "second home creation “
(repeated travel to and from the region )
Realization of a Community that Can Experience
the Affluence via Expanded Exchanges
・ Strengthening the revitalization of area-wide sightseeing spots,
including support for renovation of accommodation facilities,
removal of abandoned buildings, etc.
・Creating local "signature products" that can generate
income through collaboration with a wide range of local
stakeholders
Transformation the Tourism Industry
・Resolving structural issues in the tourism industry (Study on a
mechanism to support strengthening the management capacity
of the accommodations and travel services)
・ Transformation tourism services through the use of digital
technology (avoiding congestion at sightseeing spots, the
introduction of property management systems, etc.)
Restoring and Qualitatively Transforming International Exchange
・Strengthening efforts to increase consumption and promoting
the attraction of visitors to local areas (creating luxury inbound
sightseeing spots in local regions)
・Strengthen efforts for sustainable tourism ( improving the
environment for welcoming foreigners, etc.)
・Conducting strategic promotion of inbound tourism utilizing
digital marketing
21