The latest Japan Finance Corporation (JFC)’s survey finds that 76.6% of the surveyed companies said that purchase cost has risen over the last year, which was 31.7 higher points than the last year. The ratio was particularly high in hotels and ryokans, as 93.8% of those said so, which rose from 49.5% last year.
Almost all hotels and ryokans (94.6%) said that rise in purchase cost affects worse business.
The ratio of hotels and ryokans that increased sales prices was 48.9% only, which were higher than 35.5% on average. Major reasons for rise in sales price were ‘for passing rise in purchase cost to sales price (72.1%),’ ‘for improving value-added products or services (39.5%),’ ‘for raising labor cost (37.2%)’ and for changing products or services (27.9%).’
For the next year, 92.2% said that purchase cost will continue rising, while only 54.4% said that they plan to increase sales prices, and 45.6% said keeping sales price.
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