Summer Vacation, Overseas Still Uncertain... Domestic COVID-Clean Vacation Spots Emerging

Jeju and Sokcho Attract Tourists
Hotels and Resorts Reach 90% Weekend Booking Rate
Pension and Camping Site Visitors Up 36% YoY
Home Shopping Hotel and Resort Package Deals a Big Hit

Lotte Resort Sokcho panorama. (Photo by Lotte Resort)

[Asia Economy Reporter Seungjin Lee] Although the European Union (EU) has allowed entry to nationals from 14 countries including Korea, Japan, Australia, and Canada, concerns over the resurgence of COVID-19 have led travelers to turn their attention to domestic destinations.

According to the hotel industry on the 1st, the weekend reservation rates for major hotels in the Jeju area such as Shilla and Lotte are reaching 70-80% this month. Considering that most hotels operate only 80-90% of their total rooms to prevent COVID-19, this effectively means reservation rates are close to 100%.

The region attracting the most travelers recently is Gangwon Province, including Sokcho. Since March, when COVID-19 began to spread in earnest, Gangwon has rapidly emerged as a popular travel destination. It is favored due to relatively fewer confirmed cases and the abundance of campsites, hotels, and resorts, which allow travelers to minimize contact with others.

In the case of Lotte Resort Sokcho, the average weekend reservation rate in July has exceeded 90%. It has consistently recorded rates between 80-90% since March. The recent weekend room occupancy rates at Kensington Resort Seorak Valley and Seorak Beach, located in Goseong, Gangwon, have also surpassed 90%. According to a survey by Gmarket on domestic hotel and residence sales from May 26 to June 25, regions with relatively fewer COVID-19 cases such as Jeju (up 57%), Chungcheong (up 44%), Gangwon (up 42%), and Jeolla (up 13%) showed higher preference.

Pensions and campsites are also popular. Gmarket’s review of domestic pension and campsite usage over the past month (May 26 to June 25) showed a 36% increase compared to the same period last year. By region, the popularity ranking was Gyeonggi (up 62%), Jeolla (up 44%), Chungcheong (up 37%), and Jeju (up 28%). As travelers turn to domestic destinations for the vacation season, home shopping channels, which had suspended travel product sales for a while, have significantly increased related product offerings.

GS Shop Jeju Kumho Resort. (Photo by GS Shop)

GS Shop began selling a 2-night, 3-day tour package to Ulleungdo from the 25th of last month. GS Shop achieved a "big hit" with a 300% achievement rate against its target for the 'InterContinental Seoul COEX Hotel Package,' a 5-star hotel accommodation voucher launched for the first time on TV home shopping last month. The 'Kumho Resort Free Accommodation Voucher Package,' which can be used at Jeju, Tongyeong, and Seorak branches, also gained great popularity.

Lotte Home Shopping signed a memorandum of understanding (MOU) with Korail Tourism Development and plans to introduce various themed experiential domestic travel products through home shopping, including tourism, leisure, culture, and specialty products. They are also considering selling Jeju travel packages that include hotel accommodation vouchers.

The e-commerce industry is also expanding sales of domestic travel products. SSG.com launched a real-time hotel reservation service on the 1st and has begun actively targeting domestic demand. Gmarket is conducting a regular special exhibition for 'domestic detached pensions and pool villas.'