Japan’s capsule-toy market is set to expand to approximately ¥196 billion in FY2025. The market has grown approximately 2.7x in 3 years, driven by the simultaneous expansion of sales channels, diversification of products and higher price points.
Japan’s domestic capsule-toy market is expanding rapidly, reaching approximately ¥196 billion in FY2025, according to figures released by the Japan Capsule Toy Association. That represents a substantial increase over the approximately ¥72 billion recorded in FY2022. The market is estimated to have grown 39.0% year on year in FY2025, and the association believes it could exceed ¥200 billion if event merchandise and original corporate products are included.
The increase in sales locations is one factor behind the market’s expansion. The number of locations grew to more than 700 nationwide as of 2024 and to 900 or more as of the end of January 2026. Machines have been installed not only in large commercial facilities, but also in fashion malls, department stores, train stations and street-front stores.
Product supply has also expanded. More than 400 new products were released each month in FY2022, approximately 500 in FY2023 and approximately 700 in FY2024. New entrants have continued to join the market, and the number of new product releases over a one-year period has increased approximately 1.4x.
Price points have risen, with the core range shifting from ¥300–400 in FY2022 to ¥400–500 in FY2024. Products priced at ¥200 are reportedly almost gone. The core purchasing demographic has shifted toward people in their 30s and 40s, while in FY2024 the number of collaboration products aimed mainly at women in their 20s and 30s increased, driven by support for favorite idols and characters.
The competitive landscape has also changed as the market has expanded, with saturation among specialty stores reportedly emerging around major cities in the Tokyo metropolitan area. Developing distinctive store concepts and original products is being prioritized as a means of differentiation.