With two fewer weekend shopping days in September, Japan’s department store sales fall 4.7%

October 18, 2008
By Ken Worsley

According to data released today by the Japan Department Stores Association, sales at the nation’s 279 department stores fell 4.7% in September, to about 524 billion yen. The 279 stores surveyed is one lower than a month ago, and sales have now been down for seven consecutive months on a year-on-year comparison basis.

One mitigating factor that has been ignored in media reports seen thus far is that September 2008 had 10 weekend days and holidays, while there were 12 weekend days and holidays in September 2007.

Clothing: 37.1% of total sales, down 4.8%
Personal Effects: 13.4% of total sales, down 8.8%
Miscellaneous Goods: 15.3% of total sales, down 5.5%
Household Goods: 5.0% of total sales, down 12.4%
Food: 23.2% of total sales, up 0.2%
Services: 1.1% of total sales, down 11.2%
Other: 1.8% of total sales, up 7.2%
Gift Certificates: 2.7% of total sales, down 10.0%

Of the major categories, only food sales saw an increase in September, and that was by just 0.2%. In August, all categories showed a decline as overall sales fell 3.1%.

In September, shoes and handbags saw an 8.8% decrease in sales, and it has been speculated that the luxury market has been taking a hit. Sales of shoes and handbags at department stores have declined for 13 straight months. Connected with that, sales of art and jewelry fell 6.4%, showing a decline for the 19th consecutive month.

Filed Under Department Stores, Economic Reports, Retail