Expansion of Interpretation Services at Department Stores and Duty-Free Shops, Increased Discounts and Events
Hotels Also Offer 'BTS Package'... Surge in Reservation Inquiries
With BTS celebrating their 10th anniversary, it is expected that 'ARMY' (BTS fans) from around the world will flock to South Korea, prompting the distribution industry to make thorough preparations to welcome foreign tourists. In the endemic era, department stores, which are focusing on increasing sales from foreigners to compensate for the decrease in domestic travelers going abroad, as well as duty-free shops and hotels anticipating improved performance due to tourism revitalization, are all preparing for the wave of purple that will ripple through Seoul this month.
Models are showcasing products at the BTS official merchandise store 'Space of BTS' located in Shilla Duty Free Seoul Branch in Jangchung-dong, Seoul. [Photo by Shilla Duty Free].
Expanded Interpretation and Tax Refund Services, Increased Discounts and Events
According to the distribution industry on the 2nd, the industry views the second half of this year as a turning point for the expansion of foreign tourists, with the '2023 BTS Festa' event celebrating BTS's 10th anniversary. The event will be held from June 12 to 25 across Seoul, including Sebitseom and Namsan Seoul Tower, to commemorate the 10th anniversary on June 13.
Prior to this, the distribution industry expanded interpretation and tax refund services and prepared discounts and events for foreigners. Hyundai Department Store increased the foreigner-only tax refund desks at The Hyundai Seoul to 3 seats on weekdays and 5 seats on weekends. They added Chinese and Japanese languages to the kiosk guidance in addition to Korean and English, and increased the languages used on in-store signs and information materials. The Hyundai Seoul and Trade Center branches expanded their global lounges. Foreign tourists are offered up to a 10% discount.
Lotte Department Store rehired foreign language interpreters and is conducting gift certificate giveaways for foreign customers at the main and Jamsil branches. Shinsegae Department Store expanded the foreigner-only desk and tax refund area at its main branch on the 18th of last month. The foreigner-only desk was relocated from the basement level 1 of the main building to the 2nd floor of the new building, significantly increasing the area.
In the first quarter of this year, the proportion of foreign sales at domestic department stores recovered to 2-2.5%, reaching pre-COVID-19 levels. This is due to the number of tourists from various countries such as Southeast Asia, the Middle East, Europe, the United States, Japan, and Taiwan recovering to over 70% compared to 2019. The industry expects that with this event as a catalyst, the proportion of foreign sales will further increase as foreign visitors, including Chinese tourists in the second half of the year, begin to flow in actively.
The duty-free industry is also preparing to welcome foreigners. Shilla Duty Free Seoul branch is placing high hopes on the BTS official merchandise store 'Space of BTS,' which has been operating since June last year. Sales this year have already tripled monthly on average compared to last year. Lotte Duty Free produced duty-free shop guides in English, Chinese, Japanese, Vietnamese, and Thai. They also prepared discount benefits by payment method for Japanese and Chinese tourists. Shinsegae Duty Free recently created Instagram accounts in English and Japanese.
Hotels Also Offer 'BTS Packages'... Inquiries Flood in as Reservations Open
With the BTS 10th anniversary event coinciding with bridge holidays, the atmosphere is hot at major luxury hotels in Seoul. The Conrad Hotel Seoul in Yeouido, Seoul, which collaborated with HYBE to launch the 'BTS Debut 10th Anniversary Theme Package,' experienced a surge of inquiries from domestic and international ARMYs, with official phone lines crashing from 9 a.m. on the first day of reservations, June 1. As the only domestic hotel collaborating with HYBE, Conrad Hotel Seoul provides guests during the BTS 10th anniversary event period with BTS lightstick keyrings, limited edition 10th anniversary T-shirts, picnic mats, and more. Purple leather bear keyrings and engraved wine glasses will also be given. A representative from Conrad Hotel Seoul said, "As soon as package reservations started, inquiries from ARMYs flooded in via official phone lines, social media messages, and emails," adding, "Most of the inquiries are from the 10-20 age group."
The Four Seasons Hotel in Gwanghwamun, Seoul, also benefited from the 'BTS halo effect.' The room reservation rate from June 12 to 25 is already at 90%, with foreigners accounting for over 80% of that. The Four Seasons Hotel stated, "Many customers seem to want to visit major domestic tourist spots and go shopping while they are in Seoul for the BTS 10th anniversary event," adding, "Thanks to the BTS 10th anniversary event, there is even a promotional effect for Korean tourism, which is a boon for the domestic hotel industry."
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