Latest Japanese E-Commerce Case Study 2025: MUJI
- あゆみ 佐藤
- 2 days ago
- 6 min read
1. Business Background and the Imperative for Omni-Channel Integration
1.1 A Store-Centric Business Model and Its Structural Challenges
Ryohin Keikaku, the operator of MUJI, had built a highly store-centric business model. As of February 2016, the company operated 312 directly managed stores in Japan, with approximately 90% of revenue coming from physical stores.
Several structural challenges emerged as consumer behavior diversified across digital and physical channels:
Difficulty in Understanding Diversified Customer Journeys
Customers increasingly shifted between multiple touchpoints—purchasing in-store, browsing and buying on the EC site, and gathering information on smartphones.However, MUJI lacked an integrated system to unify these behaviors into a single customer view.
Fragmented Information Across Channels
POS data from physical stores and transaction data from the EC site were stored separately.This prevented the organization from understanding how each customer interacted with MUJI across channels.
Limited Data Utilization by Area Managers
Despite having tens of millions of customer records, legacy analytical tools were overly complex.Area managers and store-level staff—who were not IT specialists—were unable to use data in daily operations.
1.2 MUJI’s Longstanding Philosophy of “Customer Voices as Inputs for Product Development”
Since its founding, MUJI has emphasized incorporating customer feedback into product development as a core cultural value.
Because of this philosophy, management interest has historically focused not only on sales growth but also on:
How to maintain active communication with customers and reflect their voices in product development, store operations, and service design.
This cultural foundation enabled MUJI to position digital tools—such as the MUJI passport app—not merely as technology upgrades but as mechanisms for deepening customer dialogue.Consequently, the company approached omni-channel initiatives proactively and strategically.
2. Development History and Feature Design of MUJI passport
2.1 Launch in May 2013 and Initial Feature Set
MUJI passport launched on May 15, 2013. By August 2014—only one year later—the app achieved 2.13 million downloads and 13 million total uses, demonstrating rapid adoption.
The early version of the app included several foundational features:
Digital Membership Card & MUJI Mile Accumulation
Customers earned “MUJI Miles” by presenting the app at checkout.
1 mile per ¥1 spent, with 20,000 miles redeemable for 200 MUJI Shopping Points.
Check-In Function
Customers could earn miles by checking in at stores.
This turned simple store visits—not only purchases—into incentivized actions, driving both new visits and repeat traffic.
Unified Purchase History Across Channels
Customers could view in-store and online purchase records in one app interface.
This provided customers themselves with a cross-channel view of their relationship with MUJI.
From the outset, MUJI passport was intentionally designed as a “digital membership card + unified transaction history hub.”
2.2 The August 2014 Renewal and Expansion Through Big Data
On August 20, 2014, MUJI conducted a major upgrade to enable personalization through big data analysis.
Key enhancements included:
Personalized Recommendations
By integrating store purchases, EC browsing logs, and check-in history, MUJI delivered push notifications tailored to individual preferences.
Delivery Status Notifications
Customers could track the status of online orders directly in the app, improving post-purchase convenience.
Price-Down Alerts for Favorite Items
Items placed in the wishlist triggered notifications when discounted—boosting purchase conversions.
News and Campaign Distribution
The app delivered customized information about product launches, promotions, and brand updates.
3. Enhancing Customer Experience Through Integrated Points and Centralized Information
3.1 Omni-Channel Loyalty System
One of MUJI passport’s most impactful contributions was the unification of loyalty points across in-store and online channels.
Channel | Mile Accumulation | Usage |
In-store | 1 mile per ¥1 | Redeem for points usable in-store and online |
EC site | 1 mile per ¥1 | Same as above |
20,000 miles = 200 points
1 point = ¥1, usable across both channels
This transparent and consistent design created a customer experience in which:
“No matter where I purchase, I earn and use points in the same way.”
3.2 High In-Store App Presentation Rate (Approx. 30%)
By August 2023, 3 out of 10 customers presented MUJI passport during checkout—an unusually high penetration rate for a retail app.
Factors contributing to this include:
Migration from paper to digital loyalty cards
Unified points across all MUJI-operated services
Exclusive app benefits (coupons, birthday perks, early-access information)
3.3 Inventory Visibility and Click-and-Collect
MUJI passport, integrated with the EC site, introduced features that improved purchase decision-making:
Store Inventory Checking
Customers could check real-time store inventory from product pages—reducing wasted trips.
Online Purchase + In-Store Pickup
24/7 ordering
No shipping fees
Ability to verify or try items when picking up
By merging EC convenience and store utility, MUJI elevated the standard omni-channel shopping experience.
4. Corporate Benefits: Visualizing Customer Behavior and Enhancing Decision-Making
4.1 Multi-Million-Record Data Enables a Clear Customer View
MUJI passport collects behavioral data including:
Store check-in locations and timestamps
Detailed purchase histories
EC browsing behavior
Engagement with push notifications
Integrating these enables MUJI to perform advanced analyses for store strategy, trade area planning, and marketing.
4.2 BI Tools Democratize Data for On-Site Decision-Making
MUJI introduced a new BI tool to allow even non-technical area managers to use customer data.
This shift enabled:
Data-driven trade area analysis
Predictive modeling for new store openings
Customer segmentation (age, frequency, category preferences)
Area managers transitioned from intuition-based operations to quantitative decision-making.
4.3 “Customer Time” as a New KPI
MUJI began measuring “customer time”—the total duration a customer engages with MUJI before, during, and after purchase.
Before purchase: browsing the app, engaging with SNS
During purchase: in-store or EC transactions
After purchase: tracking deliveries, writing reviews, sharing on SNS
This focus shifted the company from maximizing momentary sales to maximizing customer lifetime value (LTV).
5. MUJI passport Pay and the Shift to Cashless Retail
5.1 Introduction of Contactless Payments in November 2020
In November 2020, MUJI launched MUJI passport Pay, expanding the app into contactless in-store payments.
Key features include:
Credit card registration within the app
Barcode-based payment without presenting a physical card
Automatic mile accumulation with each payment
The service started with 162 stores and expanded thereafter.
5.2 “Super-App” Integration Simplifies Checkout
Before MUJI passport Pay:
Card payment → Loyalty card scan → Mile accumulation
After:
Open app → Show payment barcode → Payment + miles completed instantly
Benefits include:
Faster checkout
Reduced operational errors
Lowered physical contact during the COVID-19 period
6. User Growth and Adoption Trends
6.1 Rapid Expansion Over Time
Year | Metric |
2013–2014 | 2.13M downloads, 13M uses |
2017 | 5.3M users |
2021 | 24.51M domestic downloads |
2023 | 13.69M annual active users |
2024 | 15.69M annual active users |
2025 | 17.50M annual active users |
The earlier figure of “5.3 million users as of 2025” is inaccurate; that number reflects 2017, not recent years.
6.2 Global Expansion
MUJI passport / MUJI App is available in 11 countries and regions, including China, Taiwan, South Korea, and Hong Kong.
As of 2021:
Japan: 24.51M downloads
Global total: 59.29M downloads
This positions MUJI passport as a leading omni-channel case study in Asia.
7. Strategic Insights and Best Practices for the Retail Industry
7.1 The Primacy of Customer-Centric Design
MUJI passport’s success stems from prioritizing customer convenience and fairness, such as:
Unified loyalty points
Transparent inventory information
Simple, streamlined checkout with MUJI passport Pay
7.2 Empowering On-Site Teams Through Data Democratization
MUJI transformed from a top-down, intuition-driven organization to one where every level of staff can use data in decision-making.
7.3 Risk Reduction Through Phased Feature Expansion
MUJI adopted a staged deployment:
2013: Membership and miles (core functions)
2014: Data-driven personalization
2020: Payment integration
This gradual evolution allowed MUJI to avoid major implementation risks while compounding user value.
8. Future Outlook
In May 2025, MUJI announced a major renewal of MUJI passport:
Renaming to MUJI App
Launching MUJI GOOD PROGRAM, a new membership scheme
Refining the points system and enhancing recommendation algorithms
Future possibilities include:
More advanced AI/ML personalization
Integration with subscription and recurring delivery services
These developments indicate that MUJI will continue strengthening its omni-channel foundation.
Conclusion
MUJI passport (now MUJI App) represents one of Japan’s most successful transitions from store-centric retail to a fully integrated omni-channel model.
Its success lies not in the introduction of an app alone, but in:
Unified customer and purchase data
Data democratization across headquarters and on-site staff
A long-term shift toward customer-lifetime-oriented KPIs
MUJI’s transformation proves that omni-channel strategy requires not just systems, but organizational culture change and capability development.This case will continue to serve as a critical reference point for Japanese retailers pursuing digital and organizational modernization.
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