Japan Watch Market

Japan Watch Market Insights Forecasts to 2035

• The Japan Watch Market Size Was Estimated at USD 7.1 Billion in 2024
• The Market Size is Expected to Grow at a CAGR of Around 5.12% from 2025 to 2035
• The Japan Watch Market Size is Expected to Reach USD 12.3 Billion by 2035

According to a research report published by Decision Advisor  & Consulting, the Japan watch market size is anticipated to reach USD 12.3 billion by 2035, growing at a CAGR of 5.12% from 2025 to 2035. The watch market in Japan is driven by growing emphasis on both traditional and smartwatches, shifting consumer preferences, rising demand for quartz timepieces because of their low cost, and an increase in brick-and-mortar stores.

Market Overview

The 'watch market' is defined as the labor involved with the design, manufacturing, distribution, and selling of timekeeping devices that are worn on the wrist or carried. The sector refers to analog, digital, smart, and hybrid watches. The market includes luxury, mid-range, and mass market segments, where TUBE watches focus on demand profiles for gear, style, and technology. Supply and demand in the watch market are driven by different types of shifts, including fashion cycles, technological advances, changes in consumer lifestyles, and levels of disposable income.

Additionally, the market's focus on sustainability, personalized options, and connectivity has increased with traditional and digital timepieces. Japan's watch market is influenced by factors such as increased disposable income, luxury spending, and demand for smart and hybrid watches. Some leading domestic brands, such as Seiko, Citizen, and Casio, combine traditional craft with innovations like solar-powered and Bluetooth-enabled watches, as well as eco-friendly construction. Several government programs that foster competitiveness in manufacturing and promote exports indirectly benefit value-watchmakers. Technology that focuses on sustainability, precision engineering, and wearable connectivity that benefits growth potential. There are potential opportunities for growth in online retail, collectibles, and luxury sales driven by tourism. Japan became the second-largest marketplace for Swiss watches this year (in 2024), and Casio recently introduced an eco-friendly solar watch, both of which illustrate the balance of tradition and innovation.

Report Coverage

This research report categorizes the market for the Japan watch market based on various segments and regions, and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Japan watch market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition, have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Japan watch market.

Driving Factors

The watch market in Japan is driven by a growing consumer demand for luxury, smart, and hybrid watches, supported by household names in the country such as Seiko, Citizen, and Casio. Increases in disposable income, interest in tech-savvy and eco-friendly watches, and expanding online distribution will fuel sales. The watch market in the country is also supported by Japan's strong manufacturing base, professional expertise in precision engineering, and increasing exports. Moreover, the increasing demand for collectible and limited-edition watches, both domestically and abroad, will also help expand the market.

Restraining Factors

The watch market in Japan is mostly constrained by market saturation, declining consumer interest in traditional watches by younger generations, and increasing competition from foreign luxury and smartwatches. High production costs, a rapidly aging society, and reliance on exports also make it difficult for local manufacturers to achieve stable, sustainable growth.

Market Segmentation

The Japan watch market share is classified into type and distribution channel.

• The quartz segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Japan watch market is segmented by type into quartz, mechanical, smart watches, and others. Among these, the quartz segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The main reason for this domination is Japan's long history and technological know-how in quartz timekeeping, which were developed by companies like Seiko, Citizen, and Casio. Due to their accuracy, affordability, low maintenance requirements, and dependability, quartz watches continue to be very popular among both local and international consumers.

• The online retail stores segment accounted for the largest revenue share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Japan watch market is segmented by distribution channel into online retail stores, offline retail stores, and speciality stores. Among these, the online retail stores segment accounted for the largest revenue share in 2024 and is expected to grow at a significant CAGR during the forecast period. Japanese consumers' strong preference for in-person purchasing experiences, where they can assess craftsmanship, authenticity, and brand reputation, particularly for luxury and high-end watches, is the driving force behind this dominance. Exclusive boutiques and department stores are run throughout Japan by major local companies, including Seiko, Citizen, and Casio, as well as international luxury brands.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Japan watch market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Seiko Holdings Corporation
• Citizen Watch Co., Ltd.
• Casio Computer Co., Ltd.
• Orient Watch Co., Ltd.
• Grand Seiko Corporation
• Credor
• Minase Co., Ltd.
•  Kurono Tokyo
• Knot Inc.
• Naoya Hida & Co.
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments:

• In March 2025, Citizen presents two limited-edition models, marking the 30th anniversary of “The CITIZEN,” with washi paper dials and high-precision Eco-Drive.
• In March 2025, Seiko unveils three new Prospex diver's watches, commemorating the 60th anniversary of its first diver's watch.
• In August 2024, Citizen announces a limited-edition lineup to commemorate the 35th anniversary of the Promaster line
• In April 2024, Grand Seiko opens the “Grand Seiko Museum Ginza,” with over 100 historical timepieces on display in Tokyo.

Market Segment

This study forecasts revenue at the Japan, regional, and country levels from 2020 to 2035. Decision Advisor has segmented the Japan Watch market based on the below-mentioned segments:

Japan Watch Market, By Type

• Quartz
• Mechanical
• Smart Watches
• Others

Japan Watch Market, By Distribution Channel

• Online Retail Stores
• Offline Retail Stores
• Speciality Stores

FAQ’s

Q: What is the Japan watch market size?

A: Japan watch market size is expected to grow from USD 7.1 billion in 2024 to USD 12.3 billion by 2035, growing at a CAGR of 5.12% during the forecast period 2025-2035. 

Q: What are the key growth drivers of the market?

A: Market growth is driven by a growing consumer demand for luxury, smart, and hybrid watches, supported by household names in the country such as Seiko, Citizen, and Casio. Increases in disposable income, interest in tech-savvy and eco-friendly watches, and expanding online distribution will fuel sales. The watch market in the country is also supported by Japan's strong manufacturing base, professional expertise in precision engineering, and increasing exports.

Q: What factors restrain the Japan watch market?

A: Constraints include market saturation, declining consumer interest in traditional watches by younger generations, and increasing competition from foreign luxury and smartwatches. High production costs, a rapidly aging society, and reliance on exports also make it difficult for local manufacturers to achieve stable, sustainable growth.

Q: How is the market segmented by distribution channel?

A: The market is segmented into online retail stores, offline retail stores, and speciality stores.

Q: Who are the key players in the Japan watch market?

A: Key companies include Seiko Holdings Corporation, Citizen Watch Co., Ltd., Casio Computer Co., Ltd., Orient Watch Co., Ltd., Grand Seiko Corporation, Credor, Minase Co., Ltd., Kurono Tokyo, Knot Inc., and Naoya Hida & Co.

Q: Who are the target audiences for this market report?

A: The report targets market players, investors, end-users, government authorities, consulting and research firms, venture capitalists, and value-added resellers (VARs)