The first "modern-style" department store in Japan was
Mitsukoshi, founded in 1904, which has its root as a
kimono store called Echigoya from 1673. However,
Matsuzakaya has an even longer history, dating from 1611. The kimono store changed to a department store in 1910. In 1924, the Matsuzakaya store in
Ginza allowed street shoes to be worn indoors, something innovative at the time. These former kimono-shop-turned-department-stores dominated the market in its early department store history. They sold, or instead displayed, luxurious product which contributed to their sophisticated atmospheres. Some Japanese department stores were developed by
railway companies. There have been many
private railway operators in the nation and, from the 1920s, they started to build department stores directly linked to their lines'
termini. Both
Seibu and
Hankyu were developed by rail companies. Since the 1980s, Japanese department stores have been facing fierce competition from
supermarkets and
convenience stores. Still,
depāto are bastions of several aspects of
cultural conservatism in the country. Giving gift certificates for
prestigious department stores is used as a
formal present in Japan. From 1991 to 2008, sales per square meter dropped significantly: 43% in Osaka and 45% in Tokyo. Despite this, in the early 2010s, in Osaka in particular, there was a 50% increase in total floor space in the two key shopping districts of
Umeda (around JR
Osaka Station) and Minami (
Namba-
Shinsaibashi). In Umeda, West Japan Railiway Isetan(
ja) opened a new flagship-style store, triggering major expansion by its neighbors
Hankyu (from 61,000 to 84,000 m2) and
Daimaru (from 40,000 to 64,000 m2), while
Hanshin remained at 54,000 m2. In Minami,
Takashimaya expanded from 56,000 to 78,000 m2, and in Abeno,
Kintetsu grew from 48,000 to a whopping 100,000 m2, making it the largest department store in Japan. The resulting market saturation led West JR–Isetan to close in 2015, less than 4 years after opening; two-thirds of the space was converted to midsize shops and rechristened "LUCUA 1100"(
ja). ==Product and service range==