Japan’s Golden Week Sees Surge in Domestic Travel Amidst Weaker Yen
As Japan gears up for Golden Week, the nation’s annual string of national holidays, a noticeable shift in travel patterns is evident. With outbound travel remaining subdued due to factors like a weaker yen and high airfares, local travelers are opting for domestic destinations, driving up demand for popular spots such as Atami near Tokyo, Okinawa, and Hokkaido.
According to the Japan National Tourism Organization, while outbound travel has seen a significant decline, a record number of tourists are visiting Japan, signaling a resurgence in domestic tourism. Japan Airlines Co. and ANA Holdings Inc. are responding to this trend by allocating more seats to inbound travelers and focusing on regions with stronger domestic demand.
One factor contributing to the rise in domestic travel is the perceived affordability of local destinations compared to overseas trips. With concerns about overpriced amenities abroad, travelers like Tomoyo Shimoya are finding options like the Hatoya Hotel, offering an affordable overnight stay with breakfast and dinner included.
The resurgence of destinations like Hatoya reflects a broader trend of interest in local spots, with travelers drawn to their retro vibes and traditional offerings. This renewed interest has led to a recovery in Japanese travelers’ spending within the country, reaching pre-pandemic levels in 2023.
Despite the positive outlook for domestic tourism, challenges remain for airlines like ANA and Japan Airlines, as the lackluster outbound travel dampens their profit potential. However, both airlines are adjusting their strategies to cater to the growing domestic market during Golden Week.
Looking ahead, the government faces calls to encourage outbound travel by promoting passport acquisition and addressing concerns about the weaker yen. While outbound tourism may take time to rebound fully, there are signs of optimism, with younger travelers already booking trips for the coming months.
As Japan Airlines CEO Mitsuko Tottori expressed concerns about the impact of the weaker yen on outbound travel, the industry remains hopeful for a recovery, emphasizing the importance of addressing key challenges to ensure the long-term growth of Japan’s tourism sector.