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The character business market in Japan was valued at **** trillion Japanese yen in fiscal year 2024. Except for fiscal year 2020, during which the market was negatively affected by the COVID-19 pandemic, it has grown steadily in recent years. The market size was expected to reach **** trillion yen by fiscal year 2025.

Merchandising and licensing

The character business can be divided into merchandising and licensing. Merchandising comprises many different types of goods, such as toys, accessories, snacks, clothing, and stationery. Licensing, on the other hand, makes it possible for companies to use characters in other forms of representation, such as publications or advertisements. This also includes musical theater productions, which have become increasingly popular in Japan in recent years. The anime-related live entertainment market, for instance, which includes experiences such as live performances, events, exhibitions, musicals, and cafés, has shown strong growth since the mid-2010s, impeded only temporarily by the COVID-19 pandemic.

Fictional characters in Japanese society

There are many different types of fictional characters that enjoy popularity in Japan. While many originated in the media industry, such as anime, manga, and video game characters, others were created from the outset for marketing purposes. This includes company mascots, which can help to increase brand recognition. Famous Japanese company mascots include Peko-chan and Poko-chan of the confectionery manufacturer Fujiya, Gachapin and Mukku of Fuji TV, and Chiko-chan of the public broadcaster NHK. From 2010 to 2020, an annual contest called Yuru-chara Grand Prix offered local characters of prefectures and municipalities as well as mascots of companies and organizations the opportunity to compete against each other for public votes and recognition. One of the most famous local characters is Kumamon, the mascot of Kumamoto Prefecture and winner of the 2011 competition.