Summary

Capsule toys in Japan have seen a surge in popularity, reflecting a shift in the economy where toy manufacturers are increasingly targeting adult consumers with unique and affordable items amidst a stagnant economy and low birth rates.

Abstract

The capsule toy market in Japan, traditionally stable at around $187 million to$ 246 million, has recently grown to approximately $336 million. This growth has been particularly noticeable among adult consumers, with a variety of capsule toys that appeal to a wide demographic, including miniature barcode readers and replicas of food items. The trend, partly driven by the low birth rate and the pandemic's impact on retail, indicates a strategic shift by manufacturers to cater to adults seeking affordable indulgences. The author's personal experience in a Tokyo department store, witnessing the diverse clientele engrossed in these toys, underscores the cultural and economic significance of this phenomenon. The popularity of capsule toys is seen as a symbol of the broader economic challenges Japan faces, such as low disposable income and the prioritization of convenience in urban living.

Opinions

The author initially underestimated the popularity of capsule toys among adults but came to recognize their widespread appeal after observing a variety of customers interested in them.
Capsule toys are perceived as a nuisance by the author when encountered at sushi restaurants, leading to unnecessary conflicts with the author's daughter.
The author expresses guilt over the environmental impact of plastic toys but rationalizes the purchase as a special treat for their daughter.
The author reflects on the differences between their childhood experiences and those of their daughter, noting the impact of urban living and the choice of convenience over space.
The author is impressed by the range of capsule toys available, including those from the popular Sumikko-gurashi series, and acknowledges the clever marketing strategy that attracts consumers despite the economic stagnation.
The author vows to buy a larger toy for their daughter in the future, indicating a desire to provide more substantial experiences beyond the convenience of small, disposable items.

Capsule Toys Are Booming — and They Symbolize the Stagnant Japanese Economy

Looking for funny souvenirs in Japan? Here’s what you want

Why don’t you call your boss with these? Photo by Author.

Capsule toy stores are increasing in Japan. According to available data, the market size has been stable at around $187 million to $246 million (250億円 to 330億円) over the past two decades. Recently, however, it has grown to $336 million (450億円).

I wasn’t aware of their popularity—especially among adults—until recently. But last week, I witnessed the trend firsthand (my analysis is at the end of this article).

Capsule toy store in Akihabara. Photo from Wikimedia Commons.

That day, I was meeting my best friend in Shinjuku. We chit-chatted at a French restaurant, enjoying smoked salmon couscous and blue cheese meat pie, and after finishing a cup of coffee, heading to a department store.

I wanted to check すみっコぐらし (sumikko-gurashi, a set of little characters produced by San-X) items there since my daughter was into them. And I happened to walk into a forest of capsule toys, which seemed very new and similar to the photo above.

What the heck were all these machines??! This is supposed to be the fashionable district in Tokyo, isn’t this?!

For me, capsule toy machines are evil. They sit at the entrance of conveyor belt sushi restaurants, which causes meaningless battles with my daughter (no, you’re gonna get bored with the plastic toy today and end up throwing it away tomorrow!)

But those in Shinjuku seemed a bit different from what I knew: miniature barcode readers, bells you might have been tempted to hit again and again at a ‘family restaurant’ in Japan, and small traffic lights. I wondered who were the target consumers?

Then, my smart friend filled me in that she had seen newly installed capsule toy machines everywhere, even in her neighborhood.

“Seriously? Who buys them?” I was still skeptical but walked into the woods of toys and took a further look.

The deep forest went on with cute little bento toys, fake ice cream, and even plastic Yoshinoya beef bowls! I glanced at other customers. Girls in their uniforms, a little boy with his father, couples, men, women—everyone was examining the trinkets carefully. “Wow, they’re popular,” I conceded.

Sumikko-gurashi animals were in full swing with six machines. Seeing my wishy-washy attitude, my friend put ¥300 ($2.20) in coins, turned the handle with the noise gacha-gacha—which is the name Japanese people call these machines—and opened the capsule. It was a cute little bear-like character with wings.

Next, it was my turn. Plastic toys made me feel a bit guilty, but my friend was offering the bear to my daughter. One more tiny toy wouldn’t hurt.

We left the department store with two little fictional animals. I googled and pondered why capsule toys are attracting adults on my way home. There are a few factors:

With the low birth rate, toy manufacturers have started focusing on adults. Unique toys such as ‘family restaurant bells’ have become popular.
This never-ending pandemic (well, at least in Japan) drove many retail stores to close and accelerated unstaffed operations.
The average amount of disposable income has been shrinking due to low salaries in Japan, but ¥300 can still attract consumers.

Given these reasons, capsule toys seem to symbolize the stagnant Japanese economy.

I looked back on my childhood. My home had a backyard and I played piano with my favorite huge stuffed collie dog. How about my four years old?

Although she has been enjoying English-based education at an ‘international’ kindergarten unlike me, she lives in an apartment with a balcony covered with artificial turf. Her favorite toys are all handy.

The situation is not directly comparable since my parents’ home is in a neighboring prefecture and ours is in Tokyo. Still, I felt sorry for her. I could have lived in a decent house if I wished, but I chose this convenient life and tried to save money.

My daughter was thrilled with the two little Sumikko-gurashi animals that day. But secretly, I vowed to splurge on a huge stuffed animal next time.

Tonkatsu and Shirokuma from *Sumikko-gurashi*. Photo by Author.

If you enjoyed this article, discover other works of the author at Japonica.

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