Oshikatsu: The Fandom Economy Transforming Japan

 Oshikatsu: The Cultural Movement Reshaping Japan's Economy

Deconstructing Oshikatsu: From Niche Fandom to National Economic Force

Oshikatsu (推し活), a portmanteau of 'oshi' (推し), meaning favorite, push, or support, and 'katsu' (活), short for 'katsudo' (activity), represents more than just a hobby; it is a deeply ingrained cultural and economic phenomenon in contemporary Japan

. It refers to the active and often obsessive support of a favorite person, character, or thing through a combination of emotional investment and financial expenditure. Unlike passive consumption, oshikatsu involves a participatory mindset where fans actively contribute to their idol's success and visibility through a wide array of activities. This movement has evolved from a niche subculture associated with otaku communities into a mainstream force that shapes Japanese youth culture, personal identity, and even national economic trends

. Its journey from online slang to a recognized socio-economic driver is a testament to its profound resonance with modern Japanese society.

The origins of the 'oshi' concept can be traced back to Japan's idol culture boom in the 1980s and 1990s, popularized by groups like Morning Musume and AKB48

. However, the modern term 'oshikatsu' emerged much later, gaining traction around 2016 on social media platforms before becoming a widespread hashtag on Twitter (now X) in 2018. Its ascent to mainstream status was solidified when it was nominated for Japan’s Buzzword Awards in 2021, an event that cemented its place in the national lexicon and underscored its growing cultural significance. The practice is rooted in a unique cultural framework where support is framed not as a transaction but as a voluntary gift or offering, akin to 'ofuse'—monetary contributions made at temples without expectation of return. His mindset underpins modern practices like 'nagesen', or online tipping, which distinguishes the oshikatsu economy from Western models based on direct rewards.

The scope of Oshikatsu has expanded dramatically beyond its initial focus on real-life idols. Today, an 'oshi' can be a virtual YouTuber (VTuber), a fictional character from an anime or manga, a musician, a sports star, or even an inanimate object like a local mascot or a train station

. This broad applicability demonstrates its deep integration into various facets of Japanese pop culture and identity. The activities associated with oshikatsu are diverse and multifaceted. They include attending live events and concerts, purchasing merchandise such as CDs, posters, acrylic stands, and collectibles, creating and sharing fan art and fiction online, running social media campaigns to promote one's favorite, and engaging in collective rituals like visiting 'sacred sites' (seichi) linked to their idol. Fns also create personalized items like the 'ita-bag', a transparent tote bag used to display a collection of badges, keychains, and photo cards, which has become a symbol of pride and social currency within fan communities. These actions collectively serve to deepen the fan-artist relationship and increase the 'oshi's public visibility and fame.

The motivation behind these behaviors is complex, stemming from a desire for emotional fulfillment, community building, self-expression, and escapism

. For many young Japanese adults, particularly those who find traditional social structures 'bothersome', parasocial relationships with idols provide a crucial sense of belonging and validation. Research indicates that oshikatsu fulfills core psychological needs for autonomy, competence, and relatedness, becoming part of a fan's 'ikigai' or reason for being. This deep emotional connection fosters a powerful sense of loyalty and commitment, driving the intense spending and promotional efforts characteristic of the culture. As Oshikatsu has grown, it has also begun to challenge traditional societal norms. One notable example is the reversal of conventional gender roles in household finances, where women, particularly older women, have become the primary financial supporters of younger male idols, subverting the traditional breadwinner model. This shift reflects broader changes in Japanese society, including delayed marriages and increased disposable income among older demographics, who now have the means and leisure time to pursue passionate hobbies

. Ultimately, oshikatsu is a dynamic and evolving movement that encapsulates the intersection of emotion, commerce, and community in modern Japan, transforming fan devotion into a tangible and increasingly powerful economic force.

The Quantifiable Impact: A Multi-Trillion Yen Engine for Consumer Spending

The economic footprint of Oshikatsu is not merely anecdotal; it is a quantifiable and substantial force within the Japanese economy. Multiple surveys and analyses from reputable firms consistently place the market size in the multi-trillion yen range, positioning it as a critical driver of domestic consumer spending at a time when overall consumption trends have been sluggish

. The most frequently cited estimate for the total annual expenditure generated by oshikatsu participants in Japan is approximately 3.5 trillion yen. Some sources provide slightly higher figures, such as an estimate of 3.9 trillion yen reported by A3 Inc. in October 2025, indicating a rapidly expanding market. This figure is significant because it translates into a direct contribution of 2.1% of Japan's total annual retail sales, highlighting the sector's profound influence on the country's retail landscape. Furthermore, economists have observed that oshikatsu-related purchasing power has contributed to a notable 2% increase in Japan's annual retail turnover, providing a vital spark for revitalizing consumer demand.

This massive economic output is fueled by a large and dedicated participant base. As of January 2025, an estimated 14 million people, representing 11% of Japan's entire population, were actively engaged in oshikatsu activities

. This number represents a significant increase from previous years, signaling the movement's continued expansion and mainstream adoption  The scale of participation is further underscored by nationwide surveys: a survey by A3 Inc. found that one in three respondents had an oshi, while another conducted by JR East Marketing & Communications revealed that 57.4% of people aged 15–45 identified as having a favorite. The demographic spread of oshikatsu is another key indicator of its economic importance. While historically associated with youth, participation has surged across all age groups. A landmark 2024 survey by Harumeku revealed that 46% of women in their 50s financially support an oshi, and VideoResearch data from March 2025 indicated that about 30% of people in their 50s have a favorite. This trend among older demographics is attributed to factors like delayed marriage and childbearing, which free up both time and disposable income, allowing them to invest in passions they may have neglected during their child-rearing years.

At the heart of this economic engine is the high level of spending per individual participant. Independent surveys consistently converge on an average annual expenditure of approximately 250,000 yen (roughly £1,300 or $1,700 USD) per fan

. This figure is staggering and underscores the intensity of the emotional commitment fans feel towards their favorites. Data from Hakuhodo indicates that oshikatsu participants allocate a significant portion of their personal finances to these activities, dedicating 37% of their disposable income and 39% of their leisure time to supporting their 'oshi'. This deep integration into personal lifestyle and budgeting decisions makes the oshikatsu economy remarkably resilient. A survey by Intage Inc. found that over half of oshikatsu participants reported that their spending remained unaffected by inflation or the weakening yen, suggesting that this form of consumption is driven by strong emotional motivation rather than purely economic rationalityThis resilience is a key feature that economists and policymakers monitor closely, as it points to a stable and reliable source of non-essential consumer demand even in challenging economic times.

Total Annual Market Size

~3.5 Trillion JPY

Alternative Market Size Estimate	~3.9 Trillion JPY
Participant Base (as of Jan 2025)	~14 Million People (11% of Population)
Average Annual Spending per Participant	250,000 JPY (~$1,700 USD)
Contribution to Retail Sales	2.1% of Total Annual Retail Sales
Contribution to Retail Turnover	2% Increase
Participation Rate in the 50s Age Group	30-46% have an oshi

The economic impact extends far beyond simple retail sales. The influx of money into the entertainment industry supports a vast ecosystem of jobs, from artists and producers to merchandisers and event organizers. Companies directly tied to this sector, such as merchandising giants Bandai Namco Holdings Inc. and Sanrio Co., have seen their earnings and stock performance bolstered by oshikatsu-driven demand for character-branded products

. Even companies outside the entertainment industry are benefiting, as brands collaborate with popular IPs for themed merchandise, leading to significant sales increases, as seen with Sukiya's collaboration with the anime 'Haikyu!!' . he ripple effect is felt across travel, hospitality, and food services, as fans undertake pilgrimages ('seichi') to visit locations featured in their favorite anime or to attend concerts, boosting local economies

. This comprehensive economic footprint, from direct spending to indirect job creation and cross-sector stimulation, firmly establishes Oshikatsu as a cornerstone of Japan's consumer-led economic strategy.

Drivers of Growth: Wages, Demographics, and the Psychology of Fan Devotion

The explosive growth of the oshikatsu economy is not a random occurrence but is propelled by a powerful confluence of macroeconomic trends, shifting demographics, and deep-seated psychological needs within contemporary Japanese society. A primary catalyst is the recent resurgence in wages, particularly among younger demographics. In the previous year, workers under 30 experienced the highest wage increase in 34 years, with some new employees earning starting salaries exceeding 300,000 yen per month

. Nomura Securities analyst Kohei Okazaki explicitly links these rising incomes to the surge in oshikatsu spending, noting that 20-somethings, who are expected to receive further wage hikes in spring 2025, are already demonstrating proactive spending habits. This trend provides the essential fuel for a consumption-based economic model, enabling fans to translate their passion into tangible purchases and experiences. The Bank of Japan has taken note of this dynamic, observing that high-priced oshikatsu-related purchases, such as multiple sets of trading cards or expensive VIP concert tickets, help support local retail economies.

Alongside rising incomes, a significant demographic expansion has broadened the oshikatsu market. Historically viewed as a youth-centric phenomenon, oshikatsu has proven to be highly attractive to older generations. Surveys reveal a dramatic increase in participation among middle-aged and senior citizens. A 2024 survey by the marketing firm Harumeku found that 46% of women in their 50s financially support an oshi, while a separate survey by Hamelc showed that 69.6% of those women spend money on their favorite idol

. VideoResearch data corroborates this, showing that about 30% of people in their 50s have a favorite. This shift is largely attributed to social and economic factors such as delayed marriage and childbearing, which leave older generations with more disposable time and income after their children have finished their education. Older fans often bring a different spending profile, focusing more on experiential consumption like traveling for concerts and supporting K-pop acts, which contributes significantly to the regional tourism and hospitality sectors

. This diversification of the participant base ensures the sustainability and long-term growth potential of the oshikatsu economy, moving it beyond a fad dependent solely on the disposable income of teenagers.

Beyond economics and demographics, the true engine of oshikatsu lies in its ability to fulfill profound psychological needs. The practice serves as a powerful coping mechanism for the stress and pressures of daily life in Japan

. For many, especially young adults who may feel disconnected from traditional social structures or find real-life relationships 'bothersome', parasocial relationships with idols offer a safe and predictable source of emotional comfort, validation, and purpose.  Rakuten survey found that oshikatsu provides emotional fulfillment through joy, stress reduction, and personal motivation, while also fostering tight-knit online and in-person communities that satisfy the human need for social connection  This behavior is not superficial; it taps into fundamental psychological requirements for autonomy, competence, and relatedness, making it a core part of a fan's 'ikigai' or reason for being. The act of supporting an 'oshi' creates a sense of shared narrative and collective identity, reinforcing a feeling of belonging that can be difficult to find elsewhere in modern society.

Furthermore, oshikatsu reflects a broader societal shift in Japan towards monetizing intangible human connections

. This trend manifests in various paid services, such as friend rentals, non-sexual cuddling, and dates with cross-dressing escorts, all of which cater to a growing market for emotional and escapist experiences. Shkatsu sits at the nexus of this trend, commodifying the emotional bond between a fan and their idol. This creates a virtuous cycle where the emotional investment drives spending, and the financial support enables the artist to continue creating content, thereby deepening the parasocial relationship. The rise of the 'gift economy' in the digital space, exemplified by Japan's leadership in online tipping via YouTube Super Chat, further reinforces this dynamThis culturaltural predisposition to give voluntarily, modeled after temple offerings ('ofuse'), allows fans to feel a direct and meaningful impact on their favorite creators' livelihoods, strengthening the emotional tether that binds the community together

. The symbiotic relationship between rising incomes, expanding demographics, and unmet psychological needs ensures that oshikatsu is not just a passing trend but a durable and powerful economic force.

The Expanding Ecosystem: Merchandise, Experiences, and Digital Monetization

The economic activity generated by Oshikatsu is not confined to a single channel but exists within a diverse and rapidly evolving ecosystem encompassing traditional merchandise, immersive experiences, and sophisticated digital monetization strategies. At its foundation remains the purchase of physical goods, which continues to be a major driver of revenue. This includes official merchandise like CDs, DVDs, posters, acrylic photo stands, and trading cards, as well as limited-edition collectibles and apparel

. The popularity of these items has created a robust secondary market and spawned ancillary businesses. A prime example is the 'ita-bag', a clear tote bag used by fans to display their collections of badges, keychains, and photo cards. What began as a conspicuous display of fandom has transformed into a cultural artifact and a product category in its own right. Recognizing this trend, major retailers like the 300-yen shop chain 3COINS and the discount store Don Quijote have launched dedicated oshikatsu product lines, including specialized tote bags designed for showcasing collections, demonstrating the commercial viability of catering directly to this fanbase  Similarly, even traditional office supply manufacturers like LIHITLAB have innovated by launching products such as the 'Oshi Activities File' to organize concert tickets and memorabilia, tapping into the same market with a 3 billion yen sales hit in one year.

A significant and growing component of the oshikatsu economy is experiential consumption. Fans are increasingly willing to spend substantial sums to transform their admiration into tangible, memorable experiences. This includes traveling domestically and internationally for concerts, meet-and-greets, and fan events

. The costs associated with such trips—including flights, hotels, and dining—can amount to tens of thousands of yen, injecting significant funds into the tourism and hospitality sectors. To meet this demand, institutions have started to formalize fandom-based travel. For instance, JR Tokai Railway has been offering dedicated 'oshikatsu travel' packages since 2021, with participant numbers doubling to 10,000 in 2024. Another innovative service is 'oshikatsu insurance', offered by MyInsurance since 2020, which covers losses due to event cancellations, reflecting the seriousness with which fans approach these investments. Beyond travel, fans flock to themed cafes and restaurants, which offer exclusive menus, interactive ordering tablets, and opportunities for secret menu items or video calls with celebrities. The development of 'phygital' experiences, which blend physical activities with digital platforms, further enhances this trend. Venues use QR codes for idol greetings, augmented reality (AR) filters for exclusive content, and live streaming to blur the boundaries between performer and audience, creating deeper engagement and increasing spending Fujifilm's's 'MeSEUM' platform is a perfect example of this evolution, allowing fans to curate and print official images from live events into custom photo books, transforming fleeting digital memories into cherished physical keepsakes.

The most transformative element of the oshikatsu ecosystem is its sophisticated digital monetization, particularly the rise of Virtual YouTubers (VTubers). This digital-native fandom model has created a new, highly profitable industry built entirely around monetizing parasocial relationships. Agencies like COVER Corporation and Anycolor operate massive ecosystems centered on their VTubers, generating revenue through a diversified portfolio that includes merchandising, streaming/content, concerts/events, and licensing/collaborations

. In FY2025/3, COVER Corporation reported a staggering ¥43.4 billion in revenue, with merchandising alone accounting for 47% of that total, or ¥20.5 billion. Streaming and digital content, fueled by the Japanese penchant for online tipping ('nagesen'), contributed another 22%, or ¥9.3 billion, driven by YouTube Super Chats  This model thrives on a 'gift economy' mindset, where fans donate money not for tangible rewards but to sustain their favorite creators' ability to produce content, a practice modeled on the traditional 'ofuse' of voluntary offerings. This emotional transactional model fosters unparalleled loyalty compared to Western platforms like Patreon. The global reach of this phenomenon is immense, with four of the top five most-watched female streamers worldwide in 2024 being affiliated with COVER Corporation, underscoring the international commercialization of oshikatsu culture. Companies are continuously innovating to deepen this digital engagement, with COVER launching HoloEarth, a metaverse platform developed in-house, and Anycolor developing a system to publish fan-made games using VTuber IP, further blurring the line between consumer and creator

. This dynamic and adaptable ecosystem—from physical goods to immersive experiences and cutting-edge digital platforms—ensures the sustained growth and resilience of the oshikatsu economy.

Beyond Borders: Oshikatsu's Global Reach and Government Strategy

The economic impact of oshikatsu extends far beyond Japan's borders, playing a pivotal role in the nation's soft power projection and global cultural exports. The Japanese government has strategically recognized the commercial potential of its pop culture and integrated fandom into its overarching 'Cool Japan' initiative, a national strategy aimed at promoting Japanese culture globally to drive economic growth

. Launched officially in 2010, the Cool Japan strategy seeks to convert global fandom into tangible economic benefits through inbound tourism, content exports, and food exports . Hikatu is a natural and organic manifestation of this policy, driving demand for 'contents tourism' (kontentsu tsūrizumu)—travel motivated by narratives and characters from popular culture. This has led to the promotion of 'sacred sites' (seichi) associated with anime and manga, turning locations from fictional worlds into real-world destinations for international fans. The strategy aims to create a virtuous cycle where global interest in Japanese content fuels tourism and foreign currency earnings, which are then reinvested domestically to further strengthen the creative industries.

The results of this strategy have been remarkable, particularly in the animation industry. In 2024, the Japanese animation industry reached a record JPY 3.8 trillion ($25 billion), with overseas revenue accounting for JPY 2.17 trillion ($14 billion), or 56% of the total

. This marked the second consecutive year that international sales surpassed domestic sales, a historic milestone for the industry. The government has set ambitious targets to grow the overseas market for Japanese content to 20 trillion yen (~$130 billion) by 2033, leveraging the global success of anime, manga, and video games as central pillars of this economic plan. The influence of oshikatsu-style fan engagement is evident in this global success. Spotify, for instance, noted that nearly 50% of royalties earned by Japanese artists on its platform in 2024 came from outside Japan, with most revenue generated from songs performed in Japanese, indicating strong international demand driven by dedicated fanbases. Opp trio Number_i, a group heavily supported by oshikatsu-fueled domestic success, leveraged their popularity to secure a spot performing at the Head in the Clouds festival in Los Angeles, illustrating how domestic enthusiasm can unlock international opportunities.

However, the Cool Japan strategy is not without its challenges and criticisms. Despite the impressive export figures, some initiatives have faced difficulties. The original Cool Japan Fund, established in 2013, suffered significant financial losses due to project failures, raising questions about the effectiveness of top-down, government-led investment in creative industries

. There is also a discernible gap between government promotion and actual tourist behavior. A 2024 JNTO survey revealed that only 7.5% of inbound tourists visited sites related to anime or film, while 98.1% ate Japanese cuisine, suggesting that while pop culture is influential, it is not always the primary motivator for travel  Critics have also pointed out that past initiatives sometimes lacked strategic direction, failed to engage target audiences overseas, and misallocated public funds, leading to skepticism about the program's overall effectiveness. Directorabio Gigi notes that overt government involvement or corporate backing can actually reduce enthusiasm among youth, who often prefer supporting independent, under-the-radar idols over state-sanctioned stars.

Despite these challenges, the organic nature of oshikatsu itself presents a powerful alternative. The grassroots energy of fan communities, driven by genuine passion rather than government mandates, appears to be a more effective engine for global cultural diffusion. The success of VTubers like those from Hololive, whose viewership is dominated by international audiences, shows how a digitally native fandom can achieve global reach without heavy reliance on traditional government promotion

. The New Cool Japan Strategy, announced in 2024, acknowledges this by emphasizing digitization, experience value, and public-private partnerships to create a more agile and market-responsive ecosystem

. The ultimate goal is to harness the authentic enthusiasm of millions of fans to build a sustainable global brand for Japan, ensuring that the passion channeled into oshikatsu abroad translates into lasting economic prosperity at home.

Critical Analysis: Risks, Criticisms, and the Future of the Oshikatsu Economy

While oshikatsu undeniably serves as a potent economic engine for Japan, a comprehensive analysis must also address its darker side, including significant financial risks for individuals, ethical concerns surrounding the monetization of emotion, and criticisms of corporate exploitation. One of the most prominent issues is the potential for financial burden and addiction. A survey by Toyo Keizai found that nearly 50% of respondents in their 20s, and over 40% in their 30s and 40s, view oshikatsu as a financial strain

. For teenage girls, the situation can be even more acute, with research indicating they may spend up to half of their disposable income on underground male idols or performers in concept cafes Psychiatristst Nishimura Kotaro warns that oshikatsu can evolve into a form of "relationship addiction," comparable to gambling or alcohol dependency, particularly in environments like some men's concept cafes that employ pressure tactics to encourage high spending. This raises serious concerns about the mental well-being of participants and the potential for social withdrawal and loss of life balance if the pursuit of fandom becomes disruptive.

The very nature of oshikatsu, which commodifies parasocial relationships and emotional connections, brings forth ethical dilemmas. The culture reflects a broader societal trend in Japan where intangible human bonds are increasingly turned into paid services, such as renting friends or paying for companionship

. While this provides a valuable outlet for social connection for many, it also raises questions about the exploitation of emotional vulnerability and the potential erosion of genuine, un-commercialized social ties. Critics argue that corporations are adept at capitalizing on the deep emotional commitment of fans, effectively turning parasocial relationships into monetizable assets. This is particularly evident in the volatile VTuber industry, where agencies like Anycolor report that nearly half of their revenue comes from talents who debuted in their first two years of operation, creating a high-risk, high-reliance business model  A single talent controversy, such as the termination of Selen Tatsuki, can cause a significant 20% drop in a regional branch's quarterly performance, highlighting the fragility of these systems and the reputational risk inherent in managing human-centric brands. The aggressive legal actions taken by agencies against defamation cases against their talents further illustrate the lengths to which they will go to protect these valuable assets.s

Looking to the future, the oshikatsu economy is poised for continued innovation, particularly in the realms of technology and business models. The expansion into the metaverse, exemplified by COVER Corporation's HoloEarth platform, represents a significant step towards creating more immersive and interactive phygital experiences for fans

. Platforms like MetaLab's 'FAVii' are already experimenting with virtual spaces where fans can decorate rooms with digital goods from their favorite artists, indicating a clear trajectory towards deeper digital co-creation. However, the long-term sustainability of the oshikatsu economy depends on balancing commercial interests with the well-being of its participants. Companies are beginning to implement measures such as purchase limits and psychological safety protocols to mitigate risks. The future success of this model may lie in empowering fans as co-creators, as seen with Anycolor's 'holo Indie' initiative, which allows fans to develop and sell derivative games using VTuber IP, thereby creating a more inclusive and rewarding ecosystem.

In conclusion, the answer to whether Oshikatsu can boost Japan's economy is a resounding yes. It is not merely a cultural curiosity but a durable, multi-trillion-yen phenomenon that has become a cornerstone of domestic consumer spending. It successfully channels passion and emotion into a sustainable economic market, providing a crucial spark for growth in a stagnant economy. However, it is not a panacea. Its strength lies in its emotional resilience, yet it is vulnerable to the financial realities of its participants. The most successful strategies appear to be those that leverage organic fan enthusiasm rather than attempting to control it. Ultimately, Oshikatsu offers a powerful lesson in the economic value of community, narrative, and shared passion. For Japan's economy to thrive, understanding and ethically engaging with the principles of oshikatsu—authenticity, community, and shared narrative—will remain essential.