DestinationsSome businesses have already implemented a pricing system where tourists have to pay more than locals.

Tourists may be charged more than locals in Japan soon

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Japan is considering dual pricing for tourists and residents to address over-tourism and a weakened yen.
Japan is considering dual pricing for tourists and residents to address over-tourism and a weakened yen. Photo Credit: Adobe Stock/vacant

You've heard of tourist traps where shopkeepers selectively charge tourists considerably more for a product than they would charge a local. And now Japan is considering doing the same.

As Japan experiences a record influx of foreign visitors, businesses and local authorities are contemplating the introduction of a dual pricing system for tourists and residents. This comes as the country grapples with the challenges of over-tourism and a weakened yen.

In the first half of this year, Japan welcomed a record 17.78 million foreign tourists, with June arrivals primarily from South Korea, China, Taiwan, and the United States. This surge has prompted discussions about implementing different pricing structures for various attractions and services.

The Hokkaido Tourism Organization has proposed a trial run of two-tier discounts this autumn, aiming to ensure that Japanese residents can still afford to visit popular resorts like Niseko. Similarly, the mayor of Himeji is considering raising entrance fees for foreign tourists at the UNESCO-listed Himeji Castle from US$6.50 to about US$30, while keeping fees for residents at around US$5.

Osaka Prefecture has also suggested imposing fees on foreign visitors to counter over-tourism, though this proposal faces opposition ahead of the 2025 Osaka World Exposition.

One establishment has already implemented such a system. Tamatebako, a seafood restaurant in Tokyo, charges foreign tourists 7,678 yen (US$49.95) for a weekday all-you-can-eat-and-drink buffet, compared to 6,578 yen (US$42.80) for Japan residents. The owner cites the additional costs of providing English-language assistance as justification for the price difference.

While the concept remains controversial, a survey by Loyalty Marketing found that over 60% of 1,200 respondents approved of separate pricing for foreign tourists.

As Japan continues to navigate the challenges of its tourism boom, the debate over dual pricing is likely to intensify, with proponents arguing for its necessity in managing over-tourism and opponents warning of potential backlash from international visitors.

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