Clifford Chance

The Regulation of Sales Promotion in Japan

25 October 2012

From discounters, general merchandise stores, department stores, supermarkets, convenience stores to traditionals (or "mom-and-pops"), Japan's retail market boasts a broad and diverse range of retailers of all shapes and sizes.  Japan is a highly competitive market for retail, and sales promotion is an essential marketing tool.  It can take many different forms: free gifts, discounts, prize competitions, money-off vouchers, loyalty schemes, etc.  Retailers doing business in Japan should know that regardless of their size, they are subject to certain restrictions and regulations aimed at preserving fair trade and protecting consumers.

The local legal framework is generally business friendly but sales promotion is still subject to fairly intricate regulations.  This briefing note provides an overview of the regulations that apply to certain sales methods and practices used by retailers to sell their products.

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