Consumers often wonder why Japan travel is getting so expensive despite the sharp depreciation of the Japanese yen against so many major currencies, especially the US dollar.
Even without international airfare included, Japan tour packages are costing a lot more today than before the COVID-19 pandemic. The high cost is being felt by independent travelers as well.
You may attribute the high cost of Japan travel post-pandemic to the following factors:
1. Increased Demand Post-Pandemic
Following the easing of COVID-19 travel restrictions, Japan has experienced a significant surge in tourism. The country’s unique cultural attractions and the allure of destinations like Tokyo, Kyoto, and Osaka have drawn travelers worldwide. This heightened demand, especially during peak seasons like the cherry blossom period in March and April, has led to increased prices for flights and accommodations.
2. Limited Flight Options and Airline Pricing
The pandemic led to a reduction in flight routes and frequencies, and while travel demand has rebounded, airline capacities have not yet fully returned to pre-pandemic levels. This imbalance between supply and demand has resulted in higher airfare prices. Additionally, the absence of budget airlines on transpacific routes means less competition, allowing full-service carriers to maintain elevated prices.
3. Rising Operational Costs
Global inflation and increased fuel prices have led to higher operational costs for airlines and hospitality providers. These increased expenses are often passed on to consumers through elevated prices for flights, accommodations, and other services.
4. Overtourism and Regulatory Measures
The surge in tourist numbers has led to overcrowding in popular destinations, prompting local authorities to implement measures to manage the influx. For instance, some regions are considering dual pricing systems, where foreign tourists are charged higher fees than locals at certain attractions. Such measures aim to preserve cultural sites and manage visitor numbers but can contribute to higher costs for international travelers.
In summary, the combination of increased demand, limited flight availability, rising operational costs, and regulatory measures to manage overtourism has contributed to the escalating expenses associated with traveling to Japan.
However, in all fairness, Japan as a developed economy with so much to offer to the visitor is still very affordable in comparison to other developed countries in Europe and North America. Look at how much a room at a 5-star hotel in Manhattan or downtown Paris cost versus the cost for the same room immediately before the pandemic, you’d find it easier to understand why Japan travel is costing so much more today.
How to Save Money on Japan Travel
Go in winter when demand is weak. That means December, January and February. If you can stand the cold and sometimes wet weather, you’ll be able to save a bundle on airfare and hotels. You’ll get discount on admission charges as well at some popular tourist attractions, especially in Kyoto.