5 Ways Japanese People Spend Money During the Winter Holidays

End of Year and New Year holidays in Japan are a special time spent with family and friends, filled with various events and traditional celebrations. This period begins with Christmas, followed by New Year's Eve and New Year's Day, during which many people tend to spend more money than usual on special meals and gift exchanges. Additionally, it is customary to purchase new items and give "otoshidama," or cash gifts, to children as the new year approaches.

In this article, we will present a ranking of how people in Japan typically spend their money during the New Year holidays, based on a survey conducted by Marketing Applications Inc. We hope this ranking will provide you with helpful insights for planning your own holiday season.

Japanese Holiday Expenses

1. Food at home
2. Dining out
3. Otoshidama
4. Christmas presents
5. Shopping

1. Food at home (Christmas, New Year's Eve, New Year's dishes)

The New Year holidays are a time for Japanese families to enjoy special meals together. Traditional dishes such as roast chicken and cake for Christmas, soba noodles for New Year's Eve, and osechi ryori (New Year's cuisine) and zoni (soup with mochi) for New Year's Day are commonly served. These festive meals often require more effort and expense compared to regular meals, especially osechi ryori, which typically includes a variety of expensive ingredients. Additionally, families often gather during this time, necessitating the preparation of larger quantities of food. As a result, food expenses during the holiday season tend to increase significantly.

2. Dining out

The holiday season is filled with events like year-end parties (bounenkai) and New Year gatherings (shinnenkai), increasing dining out opportunities. Bounenkai with friends or colleagues serve as important occasions to celebrate the end of the work year, typically held at restaurants or izakayas (Japanese pubs). Similarly, shinnenkai festivities celebrate the beginning of the new year and also often involve dining out. Families may also choose to enjoy meals together outside the home during this time, where special dishes or set menus are frequently offered, resulting in higher dining expenses than usual. The numerous bounenkai and shinnenkai events contribute significantly to increased spending on dining out.

3. Otoshidama (Cash gifts for children)

Otoshidama is a traditional Japanese custom where cash gifts are given to children from parents or grandparents; it is also common among relatives and close friends. The amount given varies depending on the child's age and familial relationships but represents one of the larger expenditures during the holiday season. For children, receiving otoshidama is one of the joys of welcoming the new year, while for adults it serves as an opportunity to express hope or gratitude toward the next generation. Families with multiple children or many relatives tend to have higher otoshidama expenses. This practice not only provides children with cash but also gives them an experience in managing their own spending.

4. Christmas presents

Like many other countries, giving gifts to family and friends during Christmas has become an established tradition in Japan. For children especially, receiving Christmas presents is one of their greatest joys. Popular gifts include toys, games, and clothing tailored to various ages and interests. Additionally, gift exchanges among adults have become increasingly common; items like accessories and household goods are often exchanged as well. Choosing presents involves considering what will delight the recipient—a process that can lead to increased spending during this festive time. Christmas presents serve as an opportunity to strengthen bonds between givers and receivers, making them an important part of the holiday celebrations.

5. Shopping

The end-of-year period is often when people buy new appliances, furniture, clothing, and other items in preparation for cleaning up their homes or welcoming the new year. Many stores hold sales during this time which encourages increased shopping activity compared to usual periods. It has become a common practice among Japanese households to refresh their spirits by purchasing new items as they enter a new year. Especially during sales events when products can be purchased at discounted prices, shopping expenses tend to rise significantly. Furthermore, buying gifts or souvenirs for visiting relatives or friends also contributes to increased shopping expenditures during this period—making shopping an essential part of preparing for a fresh start in the new year.

Conclusion

The New Year holidays in Japan are marked by special events and traditions within many households that lead to increased spending during this time. The rankings presented here reflect how deeply rooted Japanese culture and customs remain even as holiday practices evolve over time. These expenditures highlight Japan's cultural emphasis on cherishing time spent with family and friends while contributing elements that create unique memories during this festive season. By managing your holiday spending thoughtfully, you can ensure a fulfilling celebration with loved ones.