Instagram's Impact on the Economy in Japan

Instagram's popularity amongst Japanese businesses looking to give themselves an online presence is growing. We examined the opportunities the platform is bringing to Japan’s Small and Medium Sized Businesses (SMBs) among different target audiences – SMBs in domestic tourism, young entrepreneurs and women working in SMBs.

With nearly two thirds (65%) of SMBs on Instagram who we interviewed for this research using their account at least once a week, the platform has become very popular among Japanese SMBs. As a result, many SMBs see Instagram as a great place to inform, attract and build relationships with current and prospective customers.

Instagram commissioned Ipsos to conduct research into the ways SMBs are using and benefiting from the platform and making the most of what Instagram offers to reach a broader range of customers within their own cities, throughout Japan and abroad. The study combined insights from SMBs who use Instagram for business purposes, with the views of Instagrammers age 13+.

Instagram, in collaboration with Ipsos have created 4 infographics (available in Japanese and English) highlighting many of the key findings from the research in business areas including:

  • Overview of Japanese SMBs - Across Japan, Instagram is helping to drive the growth of many SMBs using its platform while helping to build relationships with their customers. Nearly half (48%) of SMBs in Japan agree Instagram helps them find new customers.
  • Young Entrepreneurs – The younger generation (under 35s) working in SMBs, in particular, are embracing the platform and strongly believe that Instagram helps them launch, nurture, and grow their businesses. Instagram helps young entrepreneurs achieve their business goals (42% agree), particularly amongst new businesses (i.e. those under 5 years old).
  • Domestic Tourism - Instagram drives opportunities to the business side of the travel industry. With over half (54%) of SMBs in travel related industries (including Travel/Tourism, Food/Beverage, Ticket booking/Reservation) agreeing that Instagram helps businesses in their industry in a unique way or in ways that a website cannot (56%).
  • Female Entrepreneurship - Over half (56%) of females in SMBs have identified Instagram as the platform that most helps grow their business.

Please download the infographics below for insights and get in touch for more information.

Find the study in in Japanese