K-culture's popularity boosts foreign tourist spending in wider sectors, regions

Foreign tourists look around a CJ Olive Young store in central Seoul's Myeong-dong, in this undated photo. Courtesy of Olive Young

For Emma, a 22-year-old university student from Indonesia, visiting Korea had been on her bucket list ever since she watched the drama "Guardian: The Lonely and Great God." This year, that dream finally came true. She arrived in Korea on Sunday.

Her parents, who were traveling with her, said they hoped to visit scenic photo spots such as Gyeongbok Palace and the Starfield Library at Coex. However, Emma had very different wishes.

She not only wants to fill her bags with beauty products from Korean cosmetic shops, but also hopes to take a photo with her photocard of Jinu, the male lead of the Netflix animated movie "KPop Demon Hunters," at Mount Nam, a backdrop featured in the hit film. And finally, she wants to enjoy instant noodles by the Han River.

"I saw characters doing that in Korean dramas, so I wanted to experience it myself," Emma told The Korea Times near a train station in downtown Seoul Tuesday.

Driven by the global popularity of K-pop and K-dramas, many foreign tourists are shifting their spending beyond traditional sightseeing. They actively seek out uniquely Korean lifestyle experiences, including instant photo booths and coin-operated karaoke rooms (locally known as coin noraebang), even on their very first visit.

Data supports this trend. According to Shinhan Card, tourists from Taiwan, the U.S., Japan and China have significantly increased their spending on K-content, beauty and medical services since last year.

In particular, credit card transactions by foreign tourists at instant photo booths such as Life4Cuts jumped 65 percent between January and July compared to the same period a year earlier. Nail salons increased by 17 percent, karaoke rooms 18 percent and internet cafes 36 percent.

"Given the continued weakness in household spending, the rise in inbound tourist expenditure is likely to play a significant role in supporting domestic consumption," said Roh Si-yeon, a senior researcher at the Hyundai Research Institute.

Roh estimates that foreign arrivals will boost domestic consumption this year by 2.5 percentage points compared to 2024.

Among the most significant areas of growth was K-beauty. From January to July, retail chains such as CJ Olive Young and Daiso saw increases of 41 percent and 18 percent in foreign credit card transactions, respectively, compared to the same period a year earlier.

The number of dermatology and plastic surgery visits by tourists from the four countries also rose by 11 percent and 16 percent, respectively.

Foreign tourists enjoy the Boryeong Mud Festival at Daecheon Beach in Boryeong, South Chungcheong Province, July 25. Yonhap

These changes in travel practices are redrawing Korea's tourism map.

Until recently, foreign visitors mainly flocked to popular areas like Myeong-dong and Hongdae in western Seoul. But now, newer venues are emerging as hotspots.

For instance, Seongsu-dong in Seoul is rapidly gaining popularity for its trendy pop-up stores and lifestyle select shops.

In neighborhoods like Euljiro, Chungmuro and Sindang, which have recently gained traction among young Koreans, foreign travelers are also exploring distinctive districts filled with hip restaurants and artistic spaces.

And the shift is not limited to Seoul. While more than 60 percent of foreign tourist spending still takes place in the capital, regional destinations across the country are also seeing a noticeable boost. Nationwide, spending at cafes and restaurants by foreign nationals has surged by 23 percent.

By region, Busan saw the largest year-on-year increase in foreign card transactions, rising by 39 percent. Notably, spending at cafes in Sokcho, Gangwon Province, surged by 70 percent after its picturesque seaside cafe street went viral on social media.

"K-content is even helping to revitalize local economies," an official from Shinhan Card said. "With events like the Asia-Pacific Economic Cooperation Summit expected to attract more foreign interest in the second half of the year, policy support could further accelerate tourism growth in areas other than Seoul."