DAISO’s Ambitions in Its 23rd Year of Overseas Expansion After Starting with a Mobile Truck

984 Stores in 25 Countries and Regions Overseas! Where Does DAISO’s Appeal Lie?

The “100 yen shop” market continues to grow. According to Teikoku Databank, the domestic 100 yen shop market, centered around the four major companies, is expected to be around 1.2 trillion yen for fiscal year 2023, which is 1.5 times the value of 10 years ago.

DAISO is showing enthusiasm for overseas expansion, with 984 stores in 25 countries and regions as of the end of February 2024, and has received favorable reviews. What is the appeal of Japanese 100 yen shops, both domestically and internationally? We asked Koichi Goto from DAISO’s Global Public Relations Department about the impact of yen depreciation and the surprising items that are selling well abroad.

‘First Choice is the 100-Yen Shop’ The Major Changes in Shopping Trends

In Japan, where salaries remain stagnant but price hikes are relentless, 100 yen shops are a true oasis. With a single price point and a wide range of products, they offer an entertainment value that often leads to impulse buys. And since everything is just 100 yen, there’s no guilt in making bulk purchases. The demand for 100 yen shops is reportedly increasing year by year, with higher expectations from customers.

“In the past, it was about how we could provide items sold at the market for 100 yen. But now, the shopping flow has changed to where the first action is to look at the 100 yen shop, and if it’s not there, then search elsewhere.

In response to that, the biggest challenge is how quickly we can capture customer needs and develop products that meet those needs” (Koichi Goto, Daiso Global PR Department / hereafter the same).

Daiso develops 1,200 new products every month. The ability to quickly sense trends and commercialize them comes from the vast experience of developing countless products over 50 years, and that speed is what can be said to be Daiso’s strength.

Exactly the Real ‘Cool Japan’—The Secret to Overseas Popularity is Affordable ‘Japanese Culture’ and ‘Japanese Food’

There are many stores overseas similar to 100 yen shops, including America’s ‘Dollar Stores.’ So, why is Daiso so popular abroad?

“From what we’ve heard from customers, Daiso is considered something different from other brands. For example, while Daiso products in the U.S. are priced from $1.75, they are seen as very affordable and of good quality locally. Additionally, Japanese culture itself is well-received, and there are comments about how nice it is to be able to easily buy Japanese-themed gift items.”

Daiso’s overseas stores generally carry the same product lineup as in Japan. For example, small plates used for soy sauce are sometimes repurposed as accessory holders. While this is a testament to the imagination of the users, it can also be seen as a way of providing Japanese culture.

“Since the lifestyle culture is different from Japan, it can be challenging to appeal beyond just the novelty; we need to communicate how to use the products. Therefore, we use social media to promote their uses.”

We handle approximately 76,000 types of products, with about 90% being private brands and the remaining 10% mostly food items.

“Currently, there is a really high level of interest in Japanese food abroad, and many counterfeit products are circulating. While major food manufacturers likely have their own distribution channels overseas, we encourage manufacturers who are unsure about how to expand internationally to consider using Daiso. We hope to contribute to the revitalization of Japanese food culture in any way we can.”