Hot coffee inflation in Japan stood at 20.770% in April 2023, according to GlobalData’s report on the prices of stock keeping units (SKUs) supplied through online retailers. In Q4 2023, GlobalData monitored the pricing of 298 hot coffee SKUs from companies such as Nescafé, Little’s and Nescafe Gold that were sold by e-retailers. Buy the report here.

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Pricing is crucial, especially in a challenging economic climate, as competitive pricing and price leadership impact consumers’ choices. GlobalData’s pricing analysis reveals that Amazon Japan offered lowest prices of the total SKUs within the hot coffee category from October through December 2023, followed by Seiyu and Costco Japan. According to the analysis, the price range of $20 and $50 was the most competitive, with 87 SKUs.

The chart below illustrates price leadership among the covered retailers which offer the highest number of low-priced products in the category. Of all retailers, Amazon Japan had greatest share of lowest prices for individual SKUs in hot coffee in Japan in Q4 2023.

Analysis of the quarterly price data showed that no discounts were offered for hot coffee category by the retailers tracked by GlobalData. Among variants, the tracker revealed original; instant and gold blend; decaf; instant as the most popular (by number of SKUs) hot coffee variants. These were priced 41.59% higher than the average price of a hot coffee SKU.

Among the e-retailers tracked by GlobalData, the leading ones, based on the number of SKUs, were Amazon Japan, Seiyu, Costco Japan, Zenplus and The Flying Pig. According to the analysis, Asia Superstore had the lowest average unit price, while the retailer with the widest product assortment was Amazon Japan.

The report brings attention to the intricate pricing dynamics within the hot coffee market, examining both the SKU and retailer levels, and offering invaluable insights for stakeholders. Notably, Amazon Japan, Seiyu and Costco Japan stood out as prominent e-retailers, providing competitive pricing for a substantial number of hot coffee SKUs. However, to comprehensively grasp hot coffee market in Japan, continuous tracking of SKU pricing over time is necessary.

For a more detailed analysis of pricing trends in the Japan hot coffee market, buy the report here.

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