Suk Soo-sun's Design Management Story: Convenience Stores as Hallyu Propagators

*Editor’s note: The number of global Hallyu (Korean Wave) fans is approaching approximately 225 million, according to the 2024 report by the Korea Foundation. The surge in fans marks the dawn of the "Digital Silk Road" era, where communication transcends the limitations of time and space, enabling real-time interaction across the globe. Truly, we are in the era of "Hallyu 4.0."

Suk Soo-sun's Design Management Story: Design Strategy in the Age of AI (1)

Contributed by Suk Soo-sun (professor at Yonsei Graduate School of Communication & Arts)

The current status of foreign tourists visiting Korea reveals significant changes in various aspects. The number of foreign visitors has been increasing every year, and in 2019, more than 17 million people visited Korea.

Due to the COVID-19 pandemic in 2020, there was a sharp decline in the number of tourists, but fortunately, with the easing of quarantine measures, tourism resumed in 2022 and 2023, and the number of foreign tourists has gradually recovered. From January to October 2024, the accumulated number of visitors reached 13.74 million, marking a 54.7% increase compared to the same period last year, and reaching 94% of the number for the same period in 2019, showing a 30.1% increase from the previous year.

This result indicates that the number of foreign visitors is recovering rapidly, returning to 97% of the level in the same month of 2019, clearly proving Korea's fast recovery in tourism.

Among the foreign tourists visiting Korea, China and Japan make up a significant portion, clearly reflecting the high share of Asian tourists. Additionally, countries like the United States, Taiwan, and Hong Kong have also established themselves as important markets, exerting a great influence on the Korean tourism industry.

▲ Foreign tourists take commemorative photos at Gyeongbokgung Palace in Seoul on Dec. 19, 2024. (Yonhap)

Recently, the trend among foreign tourists has shifted towards more individualized tourism, with a focus on personal preferences and interests, mainly driven by the MZ generation. With the growing influence of K-Culture, tourists' nationalities interested in Korea have diversified, leading to more segmented marketing and personalized services.

One notable change among foreign visitors is their growing interest in experiencing Korea's diverse culture. They enjoy unique attractions such as convenience store lunches, K-food, and cultural experiences.

In particular, as the influence of K-pop and K-dramas increases, there is growing interest in related content, and the demand for tourists visiting Korea continues to rise.

Tourism patterns are also changing. Foreign tourists, primarily from Seoul, are exploring historical sites, modern shopping districts, and beautiful natural landscapes, eager to experience the everyday culture they encountered through K-content.

The development of digital technology has made it easier for tourists to access information through online booking systems and mobile apps, enabling them to plan their trips more conveniently.

Sharing information and reviews on social media significantly influences the choices of tourists.

Foreign visitors are primarily focused on shopping, food, and cultural experiences, and are deeply immersing themselves in the charm of Korea. The interest in Korean culture and daily life experienced through K-content highlights the need for the Korean tourism industry to actively seize these opportunities.

▲ Seven Eleven has created five distinct spaces in a 80-pyeong area of the Dongdaemun Shopping Complex 'Dondong', including a 'Fashion and Beauty Zone', a 'K-Food Code', a 'Seven Select Zone' offering private label (PB) products, an 'Experience-based K-Culture Zone', and a 'Liquor Museum' specialized in alcoholic beverages. Photo courtesy of Seven Eleven. (PHOTO NOT FOR SALE) (Yonhap)

In other words, the increase in tourists from Asia and the influence of K-Culture further emphasize the importance of the Korean tourism industry. We have now reached a point where customized services and content offerings are essential.

Korea must continue to seek ways to meet the expectations of foreign tourists by offering attractive travel destinations and diverse content. These changes are expected to help the Korean tourism industry respond to the needs of a wide range of customers and enhance its competitiveness in the global market.

Recently, convenience stores have become a must-visit destination for foreign tourists. With the rise of specialty stores themed around K-pop, K-fashion, and K-beauty, convenience stores have evolved beyond simple shopping spaces into places where visitors can experience Korean culture. Foreign tourists now consider convenience stores as an essential stop during their visits to Korea, playing a key role in introducing the country's various attractions.

The convenience store industry is introducing new services for customers from various regions, including Southeast Asia, Europe, and the Americas. The foreigner-exclusive travel card service allows tourists to register their passport information in the app and charge it for mobile transportation and payment services, as well as tax refund benefits, creating a convenient shopping environment.

Additionally, there are VAT discount benefits of up to 8%, and services for verifying duty-free shopping status for both foreigners and locals. Last year, an immediate refund system and unmanned currency exchange services were introduced, enhancing the shopping experience for foreign tourists and helping convenience stores establish themselves as essential destinations during their visit to Korea.

▲ A foreigner selects ramen at a convenience store in Seoul on Aug. 6, 2024. On this day, the Ministry of Agriculture, Food and Rural Affairs announced that Korea's agricultural and food exports reached a record high of 7.77 trillion won from January to last month. Among the items, ramen accounted for the largest share with 959.7 billion won. (Yonhap)

Social media plays a crucial role in increasing the popularity of Korean food and spreading it worldwide. With growing interest in K-food across various platforms, its influence is expanding.

Therefore, I would like to propose that convenience stores be positioned as a forward base for enhancing the convenience of foreign tourists and delivering a deeper understanding of Korean culture. To achieve this, cooperation from policymakers and relevant authorities is necessary.

Firstly, I hope convenience stores can establish themselves as 'lifestyle solution' centers, alleviating restrictions on identity verification and Korean app services. Korea still has many restrictions on foreign use of services such as Kakao Taxi. 

Additionally, I hope a comprehensive tourism service guide program can be developed to provide information about halal-certified food and local tourism experiences at convenience stores.

▲ This image, provided by BGF Retail, shows Halal-certified instant meals made with halal-certified ingredients. (PHOTO NOT FOR SALE) (Yonhap)

At Myeongdong Art Breeze, located at the forefront of Hallyu in Myeongdong, new experiential tourism programs are introduced every week. There are various one-day learning programs such as learning calligraphy and K-pop dance, but the person in charge says there are not enough ways to promote them.

Many foreigners still feel that the tourism infrastructure is lacking by about 2%, considering the influence of Hallyu. It is time to actively utilize convenience stores as hubs for spreading Hallyu.

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