Japan’s top pen maker Pilot has raised prices on its bestselling Frixion pen for the first time in nearly 20 years. CEO Fumio Fujisaki says deflation-era mindsets are changing as inflation nudges consumers to pay more for everyday items
Japan’s largest pen maker, Pilot Corporation, has implemented a 10% price hike on its bestselling Frixion pen, the first since it launched in 2006. This is a result of rising inflation which is pushing companies across Japan to reconsider decades of near-static pricing.
The decision is historic for the company and its chief executive, Fumio Fujisaki, who joined Pilot in 1984 and became CEO in 2024. “Japan has suffered deflation and raising prices has been very difficult for us . . . We have had to change our mindset,” Fujisaki, 63, told the Financial Times (FT).
For Fujisaki, it’s the first time in his 40-year career that the company has raised the price of a best-selling product. Until now, Pilot had only increased prices on its high-end fountain pens in response to gold cost fluctuations.
Inflation returns to Japan
Pilot’s pricing adjustment reflects a broader trend.
Japan is confronting the return of inflation after decades of stagnation following the 1980s asset bubble burst. The country’s core inflation rate, excluding fresh food and energy, is expected to remain above 2% next year, giving the Bank of Japan room to raise interest rates.
In fact, the central bank recently set its main policy rate at 0.75%, the highest since 1995.
Consumers are feeling the squeeze. This month, Japan Post raised postage rates by 30%, the first increase in 30 years. Companies, however, have often been hesitant to pass costs directly to customers.
Testing the middle-class wallet
The Frixion pen accounts for more than 40% of Pilot’s domestic pen sales, and its previous price of ¥230 ($1.47) remained unchanged for almost two decades. Fujisaki admitted that increasing prices carries risks. “It is too soon to judge customer reaction,” he told FT, noting that competitors maintaining their current prices could threaten Pilot’s market share.
As Japan’s top pen maker, Fujisaki believes Pilot should take the lead in managing prices. “If we raise prices, other companies may follow suit,” he said. He also pointed out that “the prices of eggs and natto [fermented soyabeans] have already gone up — this [kind of everyday item] is the remaining part.”
Shareholders have been urging Pilot to seize the opportunity and adjust pricing. Fujisaki is also pursuing greater efficiency and introducing more premium, branded products that can command higher prices.
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