Railways and airlines have traditionally been competitors, competing for the same passengers. However, in recent years, collaboration has been increasing alongside the growth of inbound tourism demand in Japan.
For example, in 2021, overseas JAL Mileage Bank members became able to exchange their miles for the JR-WEST RAIL PASS. This marked one of the initiatives jointly promoted by JR West and JAL to encourage travel across western Japan.
Looking ahead to the 2030s, the two companies are working to directly integrate their booking systems, allowing travelers to arrange both rail and air transportation in a single booking process.
Previously, travelers needed to book flights first and then separately reserve Shinkansen or limited express trains. With this new system, international visitors to Japan will be able to organize their entire journey on one platform.
As an early example, dynamic package products combining flights between Haneda and Nanki-Shirahama with JR West’s Limited Express Kuroshio and regional rail passes are already being introduced.
While flights are generally slightly faster in terms of travel time, how do they compare on price?
For example, on the Osaka–Fukuoka route, last-minute airfare and the standard Shinkansen fare are roughly similar, both costing around ¥16,000. However, if flights are booked early and outside peak travel periods, airfare can sometimes drop to around ¥9,000, making air travel the cheaper option depending on the conditions.
Under the Japanese government’s goal of attracting 60 million international visitors by 2030, stronger integration between transportation and tourism is becoming increasingly important.
One key challenge will be how to combine and coordinate relatively stable Shinkansen fares with airline prices, which can fluctuate significantly depending on timing and demand.
Currently, around 70% of inbound travelers’ overnight stays are concentrated in the Tokyo metropolitan area, Kansai, and Nagoya, making regional distribution another major issue.
Attention is now focused on whether collaboration between railways and airlines can help solve this challenge by encouraging international visitors to travel beyond Japan’s major urban centers.
