Cumulative Visitors This Year Reach 10.58 Million, Up 4.5% YoY
Domestic Visitors Down 5.9%, Foreign Visitors Surge 218%
Expansion of International Air and Ship Routes Impact
Local Travel Industry Sees Increase in Foreign Demand and Share
Jeju, which had been struggling with a decline in tourists after the transition to endemic (periodic outbreaks of infectious diseases), is regaining vitality. Although the number of domestic visitors to Jeju, which peaked after COVID-19, continues to decrease, foreign visitors are filling the gap. The local travel industry, including hotels and foreigner-only casinos, is also expecting a boom as foreign demand significantly increases.
According to the Jeju Special Self-Governing Province Tourism Association on the 3rd, the number of tourists who visited Jeju this year until the 1st of this month was tentatively counted at 10,582,012. This is a 4.5% increase compared to 10,124,395 during the same period last year. During this period, the number of domestic visitors was 9,079,155, down 5.9% from 9,651,438 in the same period last year, but the number of foreign visitors rose by 217.8% to 1,502,857 from 472,957 last year. On a monthly basis, domestic visitors last month were 1,000,529, down 2.9% from the same period last year, while foreign visitors increased by 119% to 181,938.
If this trend continues, the cumulative number of visitors to Jeju this year is likely to turn to an upward trend compared to last year. The cumulative number of visitors last year was 13,370,529, a 3.7% decrease from the previous year. On the other hand, as of the 17th of last month, the cumulative number of visitors this year reached 10,004,149, surpassing 10 million 12 days earlier than last year.
The decrease in domestic visitors and increase in foreigners in Jeju is closely related to the operation status of transportation means such as airplanes and ships. For example, during the Chuseok holiday period last month, the supply of domestic flight seats to Jeju was 292,515, down 5.5% from the previous year, and passenger ships also decreased by 9.4% to 60,674 seats. On the other hand, the supply of international flight seats increased by more than half to 35,340 seats compared to last year. The supply seats of large international cruise ships traveling between China and Japan also increased more than fourfold (411%) to 24,998 seats this year compared to last year.
A travel industry official said, "Low-cost carriers (LCCs) and the aviation industry have concentrated flights to Southeast Asian routes after COVID-19, making it difficult to find round-trip seats to Jeju, and prices have risen significantly, causing domestic demand to decrease." He added, "Conversely, international flights have expanded direct routes connecting Jeju with Japan and Greater China, increasing foreign inflow."
In fact, Jeju's overseas direct flights resumed at the end of 2022 after COVID-19 and have expanded to more than 195 flights per week as of August this year. In mid-July, the Tokyo-Jeju route reopened after more than three years, and at the end of last month, the Jeju-Shanghai direct route was added with eight flights per week. In early next month, the route connecting Changchun, a representative city in Northeast China, will resume operating twice a week.
The proportion and influence of foreigners supporting Jeju's tourism industry are also growing. For example, Jeju Dream Tower Complex Resort, operated by Lotte Tour Development, recorded sales of 129.65 billion won in the third quarter of this year as both the hotel and foreigner-only casino showed favorable performance. Following the second quarter (sales of 104.11 billion won), it achieved sales exceeding 100 billion won for two consecutive quarters.
The main foreigner casino surpassed 100,000 visitors (107,533) for the first time on a quarterly basis since its opening in 2021, and the hotel also sold more than 110,000 rooms (a total of 110,566 rooms) for the first time in a quarter. The proportion of foreign guests at the Grand Hyatt Jeju within the Jeju Dream Tower Complex Resort was about 20% in January last year but increased significantly to over 70% in August. During the Chinese National Day holiday (October 1-7), more than 95% of the hotel's total 1,600 rooms were booked, with a maximum of 1,524 rooms reserved per day.
Na Seung-du, an analyst at SK Securities, said, "With foreign visitors to Jeju reaching about 200,000 per month, Jeju Dream Tower Casino has sufficiently built a solid foundation, recording monthly sales of over 30 billion won." He added, "The National Day special demand in October and ongoing attempts to improve Korea-China relations could also act as positive factors."
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