According to the tourism and hospitality sectors on June 15, the BTS concert held on June 12-13 attracted a steady stream of global fans to Busan, creating a positive ripple effect across hotels and tourism businesses. Visitors engaged in a variety of activities beyond just attending the concert, including lodging, dining, shopping, and sightseeing, solidifying K-pop as a key driver of local tourism.
◆ Hotel occupancy reaches 95% as K-pop drives tourism growth
Paradise Hotel Busan, which participated as the official intellectual property hotel for 'BTS THE CITY ARIRANG BUSAN,' introduced themed rooms, photo zones, interactive events, and special food and beverage offerings starting June 5, ahead of the concert.
The hotel reported an occupancy rate of approximately 95% from June 11 to 13, with about 70% of guests being international visitors. Fans from the United States, Japan, and Southeast Asia flocked to the hotel, filling it with tourists eager to enjoy activities before and after the concert.
Photo zones set against Haeundae, the 'Arirang Garden,' and themed rooms featuring brand merchandise captured the attention of fans. The hotel's dining establishments offered special menus inspired by BTS, and social media engagement events were held to extend the festive atmosphere beyond the concert venue.
This initiative represents a significant step beyond traditional lodging, combining performances, accommodations, dining, and tourism content into a new model of experiential tourism. Fans stayed in Busan, visiting local attractions and contributing significantly to the regional economy.
◆ K-pop concerts prove significant economic impact on local economies
The economic benefits of K-pop concerts on local economies have been well-documented. The Hyundai Economic Research Institute estimated that the economic impact of the BTS concert held in Busan in 2022 exceeded 500 billion won. At that time, the local community projected that the overall economic ripple effect, including tourism, lodging, dining, transportation, and retail, could reach around 1 trillion won.
A joint study by the Ministry of Culture, Sports and Tourism, the Korea Culture and Tourism Institute, and the Korea Tourism Organization revealed that foreign tourists attending the BTS concert in Gwanghwamun in March stayed an average of 8.7 days and spent an average of 3.53 million won each. This figure significantly surpasses the average spending of 2.45 million won by general foreign tourists in the first quarter of this year.
The tourism industry analyzes that the recent Busan concert also generated substantial economic value across various sectors, including lodging, dining, shopping, and transportation, as tens of thousands of global fans gathered.
◆ Concerns over inflated hotel prices persist despite tourism boom
However, beneath the festive atmosphere lies a troubling reality. After the concert dates were confirmed, some accommodations in Busan significantly raised their room rates, sometimes by several times the usual price. Instances of existing reservations being unilaterally canceled were shared in online communities, sparking outrage among fans.
Although local authorities conducted joint inspections, the classification of the lodging industry as a free market made it practically impossible to enforce price controls. Consequently, the recurring issue of inflated prices during major events has resurfaced.
A tourism industry representative stated, "While the economic impact of the BTS concert on Busan's tourism industry is encouraging, the unscrupulous practices of some businesses can quickly tarnish the hard-earned image of the city. It is just as important to establish a reliable tourism infrastructure as it is to attract visitors."
They added, "As demand for tourism linked to K-content continues to grow, local governments and the industry must work together to eradicate exploitative practices aimed at short-term profits and build a sustainable tourism ecosystem."
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.