As the number of inbound tourists to Japan continues to increase sharply, the nation's tourism industry faces accommodation problems. Increasing the number of hotel rooms will involve difficulties. Both the government and private sector need to consider ways to prevent the issue from having a negative impact on tourism.
The number of visitors to Japan in 2015 is estimated to have topped 19 million, an increase of nearly 50 percent from 2014. The big factor behind the sharp rise is a doubling of the number of Chinese tourists on shopping sprees. For the first time since 1970 — the year the Osaka Expo was held — inbound tourists are believed to have outnumbered Japanese who traveled abroad. If the trend continues, the government's target of attracting 20 million visitors annually by 2020, when Tokyo hosts the Summer Olympic Games, will likely be achieved this year. It is considering moving forward the target year for achieving its next goal of 30 million visitors by 2030.
While Japan appears to be on a steady path toward turning itself into a major tourist destination, one big problem stands in the way — a shortage of hotel rooms in major cities. Expanding the accommodation capacity will be indispensable if the nation is to welcome 30 million inbound tourists each year. The national average of room occupancy ratio at city hotels between January and August of last year was 78 percent, but the figure was 83 percent in Tokyo and 87 percent in Osaka. Some prospective tourists reportedly gave up coming to Japan because they could not secure hotel reservations. A think tank estimate shows if 25 million people visit Japan in 2020, there will be a shortfall of some 4,000 hotel rooms in Tokyo and some 20,000 in the Kansai region — even when hotel development plans are taken into account.