"Big Spenders Arrive" International Flights Resume, Hotels and Casinos Flourish

Paradise, GKL, and Lotte Tour see sharp rise in foreign visitors in November
Chinese tourists remain a variable... Timing of lockdown easing is key

Casino exterior view of Paradise City. (Photo by Paradise)

[Asia Economy Reporter Jeon Jinyoung] As COVID-19 transitions into an endemic phase and international flights resume, the influx of foreigners into hotel casinos is also increasing.

According to the industry on the 7th, Paradise, which has branches in Walkerhill and Paradise City, recorded 53,317 casino visitors in November, a 129% increase compared to the same period last year when international flights were suspended. Notably, Japanese tourists accounted for a large proportion; based on drop amounts in the third quarter of this year, Japanese VIPs made up 40%, Chinese VIPs 4%, and other nationalities such as Thailand and Singapore accounted for 33%.

Grand Korea Leisure (GKL), which operates 'Seven Luck' at Hilton and Busan Lotte, also saw the number of visitors in November rise by 75.8% year-on-year to 44,681.

Lotte Tour Development, which operates a casino at Jeju Dream Tower, also surpassed 10,000 monthly visitors for the first time in November with 13,105 visitors.

Gangwon Land, a casino open to domestic customers, mainly serves Korean clients, so the proportion of foreigners is low; however, an industry insider stated, "The trend remains similar compared to the previous year."

Accordingly, the industry's competition to attract 'big spenders' has officially begun. Paradise plans to strengthen local marketing through its overseas office in Japan and create a gaming environment tailored to customer preferences in line with the reopening. A Paradise representative said, "We plan to conduct various promotions to generate new customers in line with the influx of foreign tourists."

GKL is also enhancing marketing efforts in Japan and aims to strengthen its capabilities in emerging markets such as Vietnam and Southeast Asia.

Lotte Tour Development plans to add VIP charter flights to the casino and expand talent recruitment simultaneously.

A Lotte Tour Development official said, "Last May, we hired 20 overseas sales executives, including a leader in Southeast Asia junket business," adding, "Once direct flight routes are fully resumed, we plan to recruit an additional large number of sales executives, totaling around 30."

However, Chinese tourists, known as the industry's 'true big spenders,' are expected to determine future performance, as they tend to spend more per visit compared to other nationalities. Currently, due to COVID-19 lockdowns, attracting tourists remains challenging.

An industry insider observed, "Since attracting Chinese tourists is currently difficult, the industry is focusing on targeting its main customer base, the Japanese, and acquiring new customers from Southeast Asia," adding, "The timing of the lifting of China's lockdown will be crucial."