Why Travel to Japan Now: Great Rates, Rich Culture, and Fewer Crowds

ervinloke8
Jul 21
8 min read

Updated: Jul 23

Japan welcomed a record-breaking 36.87 million international visitors in 2024, marking a 47.1% increase from the previous year. But that’s not all—tourist spending also hit new heights, reaching 8.14 trillion yen (US$50.8 billion). What does this mean for you as a traveler?

Simply put: Japan isn’t just back—it’s thriving. With the Japanese yen at historic lows, your money goes much further, making Japan one of the most accessible and rewarding destinations in 2025. Whether you're looking for luxury ryokan stays, solo travel experiences, or scenic wellness retreats, there's something for everyo

The travel landscape has transformed dramatically with Tokyo and Osaka now ranking as the world's #1 and #2 top trending destinations for summer travel in 2025 (25). While various factors contribute to this surge, the strengthening of foreign currencies against the Japanese yen has played a significant role – Singaporean visitors hit record highs in 2024 thanks to a 40% rise in the Singapore Dollar versus the Japanese Yen (25). Additionally, Japan's tourism trade surplus climbed 58% in the year ended March, surpassing the country's surplus from patent royalties for the first time (26).

As seasoned travelers ourselves, we're excited to see what's next for Japan's flourishing tourism sector, with forecasts suggesting international visitor arrivals will surpass 40 million in 2025 (12). In this article, we'll explore how this tourism boom is reshaping Japan's economy, cultural experiences, and regional destinations – giving you the inside track on what to expect if you're planning your own Japanese adventure.

How Has Japan's Weakened Yen Transformed Travel?

You may have heard the yen is weak—but what does that actually mean for your travel experience?

Since 2021, the Japanese yen has dropped around 25% against the US dollar, creating what many are calling a "discount Japan". You now get more for less—from luxury dining to high-end hotels. The average visitor spent 220,000 yen (US$1,376) in 2024, far more than pre-pandemic years.

And it’s not just American tourists benefitting. Singaporeans, Koreans, and Chinese travelers are visiting Japan in record numbers thanks to favorable exchange rates.

Are Hotels in Japan Ready for the Tourism Surge?

Short answer: They’re trying to be. But it’s getting tight.

In 2024, hotel occupancy rates in Tokyo hit 87.6% annually, and prices surged 33% across major cities. With demand outpacing supply, more than 80 new hotels are opening in 2025. Developers are also targeting second-tier cities like Fukuoka, Hiroshima, and Sapporo to spread demand beyond Tokyo and Kyoto.

If you’re planning a trip, book your accommodations early—especially during peak seasons.

Japan luxury travel trends attract high-spending tourists

Beyond budget-conscious travellers, Japan has witnessed a remarkable influx of luxury tourists. High-net-worth individuals from North America and Europe are increasingly choosing Japan for premium experiences such as:

Private geisha dinners and exclusive cultural performances
Helicopter tours of Mount Fuji and remote regions
Ultra-luxury ryokan stays costing upwards of $1,000 per night

These luxury travelers spend an average of 650,000 yen ($4,063) per visit—nearly triple the overall visitor average. This segment has become crucial for Japan's tourism-based economic recovery, particularly as the country works to maintain growth despite the eventual stabilization of currency exchange rates.

Is Authenticity the New Luxury in Japan Travel?

Beyond economic factors, the renaissance in Japan's tourism is increasingly driven by travellers seeking authentic cultural experiences rather than merely sightseeing or shopping. This shift toward meaningful engagement represents a fundamental change in how visitors interact with Japan's rich heritage.

Cultural travel Japan sees renewed interest

The concept of omotenashi (heartfelt hospitality) now takes centre stage as visitors crave deeper connections to Japanese culture. Adventure tourism has become a key pillar in the government's 2023-2026 tourism plan, specifically designed to increase regional tourism and visitor consumption (1). Japan National Tourism Organization actively promotes these experiences to attract visitors to rural areas where adventure activities typically command higher prices than standard sightseeing (1). Travelers increasingly gravitate toward SAVE (Scientific, Academic, Volunteer, and Educational) tourism experiences, seeking knowledge-based encounters with Japan's historical landmarks and diverse ecosystems (2). Currently, the Japan adventure tourism market is thriving as both international visitors and Japanese citizens express growing desire for distinctive experiences within the nation (3).

Solo travel in Japan 2025 becomes mainstream

We've witnessed an extraordinary surge in independent travellers exploring Japan at their own pace. In 2024, 35% of tourists were solo travellers, marking a 12% increase from 2023 (4). Remarkably, 72% of these independent adventurers are female, with most seeking reputable accommodations and guided tours to enhance safety while meeting fellow travellers (4). The majority (97%) fall between ages 18-28, with budget-conscious preferences that align perfectly with Japan's expanding hostel scene (4). Solo travel offers unparalleled freedom—visit that quirky cat café or linger at a temple without group consensus (5).

Japan wellness retreats and nature escapes rise in popularity

Japan ranks as the second-best wellness destination worldwide and number one in Asia, offering an exceptional blend of ancient traditions and modern practices (6). With nearly 67% of the country covered in forests, Japan ranks fifth globally for natural beauty (7). Wellness seekers are drawn to:

Traditional onsen (hot springs) with healing minerals
Forest bathing (shinrin-yoku) experiences
Zen meditation and temple stays

The rising interest in wellness and nature-based tourism especially benefits rural regions through sustainable and eco-friendly experiences (3). This trend aligns perfectly with Japan's cultural philosophy that encourages appreciation for both the moment and the act itself(8).

Should You Travel Beyond Tokyo and Kyoto in 2025?

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As tourism numbers skyrocket, a geographical imbalance has emerged across Japan's tourism landscape. Currently, approximately 73% of overnight stays concentrate in just five prefectures: Tokyo, Osaka, Kyoto, Hokkaido, and Fukuoka (9). This concentration has prompted both travellers and officials to look beyond the well-trodden paths.

Where Should You Visit Instead?

Savvy travellers are increasingly discovering Japan's hidden treasures.

Kanazawa – A quieter, equally historic alternative to Kyoto, with geisha districts and castles
Wakayama – Beautiful beaches without Okinawa’s tourist rush
Naoshima – A dream for art lovers, with open-air installations and contemporary museums

The New Golden Route offers an ambitious alternative to the standard Tokyo-Kyoto path, taking visitors through the Bonsai Art Museum in Omiya, therapeutic waters of Ikaho Onsen, and the snow monkeys of Nagano before reaching the historically preserved townscapes of Takayama (10).

In lieu of crowded Kyoto streets, Kanazawa offers similar cultural richness without the masses—featuring well-preserved architectural heritage including a castle and geisha districts (11). Meanwhile, those seeking beaches might consider Wakayama Prefecture instead of packed Okinawa shores, where waters remain similarly clear yet far less crowded (10).

How Is Japan Promoting These Hidden Spots?

The Japan National Tourism Organization has intensified efforts to redistribute visitors throughout the country. Their successful Hokuriku campaign resulted in a remarkable 93% increase in visitors to this region during the first 10 months of 2024 (12). Moreover, JNTO actively promotes their "Model Destinations" program featuring 11 lesser-known locations including Mount Hachimantai in Iwate, the Alps of Nagano/Gifu, and cycling routes in Setouchi (13).

For art enthusiasts, the tiny island of Naoshima in the Seto Inland Sea offers a living museum where "world-class contemporary art and striking architecture are woven seamlessly into the landscape" (14).

Are There Perks for Exploring Lesser-Known Regions?

The accommodation industry has responded strategically to these shifting patterns. Japan Airlines and Hoshino Resorts collaborated in October 2024 to promote underrecognized regions through package deals combining flights with accommodation at Hoshino facilities (9).

Furthermore, Japan's tourism development plan includes establishing at least one luxury resort hotel in each of the country's 35 national parks by fiscal 2031 (15). This initiative aligns with broader economic goals—ensuring local communities receive sufficient economic benefits from tourism helps counteract any negative impacts residents might experience (16).

Future Outlook: Can Japan Sustain the Boom?

With Japan's tourism renaissance in full swing, the question on everyone's mind is whether this remarkable boom can be sustained throughout 2025 and beyond. Looking ahead, both exciting opportunities and significant challenges await this island nation.

Japan tourism forecast 2025 aims for 40M+ visitors

The numbers tell a compelling story—Japan is projected to welcome 40.2 million international visitors in 2025, representing 108.9% of 2024 figures and 126.1% of pre-pandemic 2019 levels (17). This anticipated growth puts the country firmly on track toward its ambitious goal of 60 million annual visitors by 2030 (18). Although growth rates appear to be moderating as the initial post-COVID recovery stabilizes, tourism spending is expected to reach an unprecedented 8 trillion yen (approximately $56 billion USD) in 2024 (18).

Digital nomads Japan policies under review

In response to evolving travel patterns, Japan launched its Digital Nomad Visa program in March 2024 (19). This initiative allows foreign nationals to stay up to six months while working remotely for overseas companies. To qualify, applicants must demonstrate an annual income of at least 10 million yen and maintain equivalent health insurance coverage (19). Unlike traditional work visas, this streamlined option bypasses the Certificate of Eligibility process, potentially opening Japan to a new demographic of long-term visitors (19).

Best time to visit Japan 2025 based on crowd data

For those planning Japan visits in 2025, timing will be crucial. The Osaka World Expo running from April through October is expected to draw approximately 28 million visitors (20). Traditional peak periods will see even greater saturation—cherry blossom season (April-May) and autumn foliage (November) remain extraordinarily popular (21). To avoid the heaviest crowds, consider January-February (except New Year holidays) or the often-overlooked window between May and mid-July (22).

Sustainability and infrastructure challenges ahead

As visitor numbers climb, Japan faces mounting sustainability challenges. In 2025, the Mount Fuji hiking fee will double to 4,000 yen to manage overcrowding and fund conservation (23). Similarly, discussions are underway to increase the departure tax from 1,000 to 5,000 yen (23). Infrastructure strains have become evident—from airport congestion to shortages of accommodation and even basic amenities like public trash bins (24). Though determined to reach its tourism targets, Japan must balance growth with preservation of the very cultural and natural treasures that attract visitors in the first place.

Final Thoughts: Is Now the Time to Visit Japan?

If you’re considering a trip to Japan, 2025 is an incredible time to go—but it requires some smart planning.

You’ll benefit from a favorable exchange rate, immersive cultural experiences, and access to increasingly diverse destinations. Just be aware of peak seasons and book ahead.

Whether you’re a first-timer or a returning visitor, Japan’s mix of tradition, innovation, and natural beauty is more accessible and exciting than ever. And if you venture off the beaten path, you’ll find something truly special.

Pack your yen—and your curiosity!

Quick Takeaways: Why Japan in 2025 Should Be on Your Radar

Record-setting travel boom: 36.87 million visitors spent over $50 billion in 2024—supercharged by the yen’s 25% drop since 2021.
New travel trends: Cultural immersion, solo travel, and wellness retreats now lead traveler preferences.
Beyond the big cities: Regional gems like Kanazawa, Wakayama, and Naoshima are thriving with art, nature, and fewer crowds.
Big goals, big shifts: Japan is targeting 40M+ visitors in 2025, while rolling out a Digital Nomad Visa and hiking tourism fees to stay sustainable.
Best travel windows: Skip the cherry blossom chaos—go in January-February or May–July for a more relaxed, authentic trip.

The transformation from post-pandemic recovery to sustainable growth will define Japan's tourism future, making strategic planning essential for both visitors and the industry.

References

[1] - https://www.ttgasia.com/2023/10/09/japan-levels-up-on-adventure-activities-to-entice-travellers/ [2] - https://www.credenceresearch.com/report/japan-save-tourism-market [3] - https://www.imarcgroup.com/japan-adventure-tourism-market [4] - https://www.touristjapan.com/solo-travel-trend-in-japan/ [5] - https://jasumo.com/how-to-plan-a-solo-trip-to-japan-in-2025-your-ultimate-guide-to-adventure-and-connection/ [6] - https://theindependent.sg/japan-takes-silver-for-global-wellness-dominates-asia-with-perfect-fusion-of-tradition-and-trend/ [7] - https://www.travelandleisure.com/japan-named-best-wellness-destination-in-asia-8765092 [8] - https://globalwellnessinstitute.org/geography-of-wellness/wellness-in-japan/ [9] - https://www.weforum.org/stories/2025/05/how-japan-is-redesigning-tourism-to-benefit-local-communities/ [10] - https://www.japan.travel/en/guide/off-the-beaten-track/ [11] - https://www.smh.com.au/traveller/inspiration/beyond-tokyo-and-kyoto-the-other-mustsee-parts-of-japan-20230227-h2a4gv.html [12] - https://www.digitalmarketingforasia.com/tourism-in-japan-latest-trends/ [13] - https://www.travelandleisureasia.com/sg/destinations/asia/japan-overtourism-cause-impact-solutions-path-ahead-tourism/ [14] - https://www.cntraveler.com/story/where-to-go-in-japan-that-isnt-tokyo-kyoto-or-osaka [15] - https://housingjapan.com/blog/japans-tourism-surge/ [16] - https://www.ttgasia.com/2024/09/18/tourism-in-japan-still-seen-in-a-positive-light-despite-overcrowding/ [17] - https://www.jtbcorp.jp/en/newsroom/2025/01/09_jtb_2025-travel-trend-outlook.html [18] -https://grjapan.com/sites/default/files/content/articles/files/20240917%20GR%20Japan%20Industry%20Insight%20Overtourism.pdf [19] - https://www.globalcompliancenews.com/2024/09/18/https-insightplus-bakermckenzie-com-bm-employment-compensation-japan-launch-of-digital-nomad-visa-effective-31-march-2024_09052024/ [20] - https://www.japan-suki.com/en/articles/travel-to-japan-in-2025 [21] - https://www.klook.com/en-SG/blog/best-time-to-visit-japan/ [22] - https://www.rexby.com/YamaTrips.Japan/t/the-best-time-to-visit-japan-in-2025-based-on-price-and-crowd-level [23] - https://www.princetonpoliticalreview.org/international-news/japans-double-edged-sword-the-hidden-costs-of-japans-tourism-surge [24] - https://www.scmp.com/week-asia/economics/article/3309399/unprepared-japan-struggles-airport-chaos-bin-shortages-amid-tourist-boom [25] - https://www.webintravel.com/japans-strong-rebound-singapores-softer-inbound-and-other-trends-driving-tourism-in-apac/ [26] - https://asia.nikkei.com/Economy/Japan-s-tourism-trade-surplus-surges-58-topping-patent-royalties