‘Beyond crazy’: Japan full of Aussies as we flock back

Australians have wasted no time returning to Japan after a long wait through COVID, lured back to the travel hotspot by bumper ski and cherry-blossom seasons and an attractive return on the yen.

Data released this week from the Japan National Tourism Organisation (JNTO) revealed the number of Australian visitors surpassed pre-pandemic levels in March, despite only opening to tourists five months earlier. Overall tourism to the country is still more than a third lower than the same time in 2019.

The flowering of cherry blossoms – known as “hanami” in Japanese – is a symbol of spring and one of the country’s most magnificent sights.Credit: Christopher Jue

According to the latest Australian Bureau of Statistics figures, Japan is now our fourth most-visited overseas destination. Before the pandemic it sat at number seven.

Australians took more than 42,000 trips to Japan in February 2023, behind only New Zealand (97,000), Indonesia (72,000) and India (70,000).

Japan’s tourism rebound has been felt deeply in the capital. Sydney-based Yu Yamamoto, Japan country manager for Australian coffee chain Single O, says business is booming for the brand’s Tokyo cafe Hamacho. The cafe has seen morning trade climb since borders reopened to independent travellers in October 2022; leading the charge are Australians chasing an early caffeine hit.

“Australians always come early-morning,” says Yamamoto. “We open at half-past seven on weekdays, and that’s normal [in Australia], but not in Japan. Most cafes open at 11am and close at 8-9pm.”

It’s a welcome sight for Hamacho staff, after launching in October 2021 during the height of border closures.

Sydney-based Yu Yamamoto says business is booming for Single O’s Tokyo cafe, Hamacho, with Aussie travellers among its earliest customers.Credit: Christopher Jue

“COVID hit Tokyo badly. Now tourists are coming again. [Local businesses] are relieved. Even our wholesale customers’ cafes are busier, especially the ski resorts,” says Yamamoto, who supplies coffee to venues in tourist hot spots Hakuba, Nozawa and Akakura.

Toni Ambler, managing director for The Travel Corporation (whose brands include Contiki, Trafalgar and Insight Vacations), says demand for Japan tours has been “beyond crazy”. Even with twice as many departures as 2019, most tours have been sold out for months.

“I think Australians are desperate to get over there for cherry blossoms. We’re also seeing a huge spike in winter bookings; departures are filling up quickly,” she says.

Ambler says with the Australian dollar currently fetching 90 yen, compared to as little as 65 yen at the start of the pandemic, a Japan holiday is now more attainable – despite high demand and capacity restraints pushing up hotel rates and airfares in the short-term.

“With the Australian dollar currently fetching 90 yen, compared to just 65 yen pre-pandemic, a Japan holiday is now more attainable.”

Toni Ambler, The Travel Corporation

“Japan is six months behind where we were in terms of staffing shortages... so you can definitely see a spike in prices purely due to demand/supply,” says Ambler.

The Japan Rail Pass, lauded as one of the most economical ways to get around the country, will see a price hike of nearly 70 per cent from October – its first major rise in decades. A seven-day ticket, once $330, will soon cost $550.

But while Australians aren’t seeing the rail and fare bargains that they used to, the industry is “balancing itself out”, Ambler says, with costs expected to drop as we move towards 2024.

Some industry pundits anticipate travel costs dropping a lot sooner.

Professor Rico Merkert, an aviation expert at the University of Sydney, says air capacity from Sydney and Melbourne to Japan is set to return to pre-COVID levels by June, with capacity peaking around June 12.

“With more frequency, more seats and more capacity – if that pent-up demand subsides I think the airfares will have to come down,” says Merkert.

Travel booking platform Kayak say Japan holiday costs, including airfares and accommodation, are set to decline from next month as cherry-blossom season winds down.

Australians flying to Japan in May will save about $413 on average ($1659 for a family of four) compared to April, according to Kayak data, with average return economy flights sliding to $1238 – that’s 21 per cent below October 2022 levels, which spiked ahead of Japan’s international tourism restart.

ANA will increase its Sydney-Tokyo (Haneda) capacity from March 26 with twice-daily services. Australian carriers continue to launch new direct flights to Japan departing Cairns, Brisbane, Sydney and Melbourne. Virgin Australia will operate a new daily Cairns-Tokyo (Haneda) service from June 28; Qantas recently launched the first nonstop Brisbane-Tokyo service.

The JNTO is expecting tourist numbers to continue to grow as COVID restrictions are relaxed further. International visitors currently required to show proof of COVID-19 vaccination, a requirement set to be dropped from May 8.

Planning a trip to Tokyo? Find out where to stay, what to do and the best places to eat and drink in Traveller’s comprehensive Destination Guide.