K-pop sensation BTS, the most popular K-pop group in the world, is a major contributor to the South Korean economy. Have you ever wondered how much money does BTS bring to Korea?
BTS, also known as Bangtan Boys, has grabbed several number-one spots in music charts and created several records. The seven-member South Korean boy band has become a global economic force, generating billions in revenue.
Not only this, in 2018, BTS became the youngest recipient of the South Korean Order of Cultural Merit for their contributions in spreading the Korean culture and language. Here we bring you the revenue contributed by BTS to Korea’s GDP.
How much money does BTS bring to Korea?
Hyundai Research Institute released a report in 2019 regarding the BTS effect on the economy of South Korea. According to the report, the BTS contributed US $4.9 billion, about 0.3 percent to South Korea’s GDP in 2019.
Reportedly, BTS’ contribution to the country’s economy is almost comparable with Korean Air, whose percent contribution to South Korea’s GDP is 0.7%
As per the Bank of Korea Economic Statistics System, South Korea’s BOP (Balance of Payments) for music and entertainment in the first quarter of 2019 was US $114.7 million.
There isn’t the latest report about the financial contribution of BTS to Korea’s GDP, but according to Fortune Magazine’s prediction, BTS is expected to have contributed $29.1 trillion to the South Korean economy between 2014 and 2023.
How much does BTS contribute to Korean economy percentage?
BTS has been breaking barriers and records in the music industry around the world. Besides contributing financially to the country, BTS also enriches Korea’s culture and tourism.
The K-pop group also helped in the job creation in 2020 after its song “Dynamite” made it to No.1 in the Hot 100 chart with US $1.43 billion in the production sector. Out of which 480 billion Won were added to the value. The song reportedly added 7,928 jobs.
Other than this, the BTS band also has an influence on consumer goods such as clothing, cosmetics, and food. Reports indicate that the K-pop band made contributions of US $2.02 billion through clothing, US $2.8 billion through cosmetics, and US $3.9 billion through food in 2019.
BTS’ two-day fan meetings held in Seoul and Busan in June 2019 generated a total economic effect of US $408 million to both cities, accounting for 1.6% of Busan’s 2018 GDP, and 0.9% of Seoul’s 2018 GDP.
How does BTS contribute to Korea’s economy?
Besides paying taxes to the government, the group also indirectly contributes to the country’s economy. At events, attendees purchase t-shirts featuring quotes, logos, or photos of BTS members. Additionally, the significant amount of food served during these events adds a modest percentage to the country’s GDP.
Did you know an online concert held by BTS during the pandemic brought in more than $70 million in ticket and merchandise sales?
The rise in popularity of BTS is driving interest in Korean television, movies, fashion, and cuisine. An estimated $5 billion is brought into South Korea annually via BTS, which equates to roughly half of the country’s total economy.
Moreover, people traveling to South Korea to attend BTS shows not only enrich the cultural experience but also boost the country’s tourism sector.
Fans are also purchasing everything that BTS touches. The group has not held back when it comes to brand partnerships. Along with Hyundai on the Palisade model, which resulted in six-month backorders, they have worked with Samsung Galaxy on a BTS phone, FILA on a sportswear collection, Baskin-Robbins, Coca-Cola, Louis Vuitton, and McDonald’s on a special Happy Meal.
FAQs: How much money does BTS bring to Korea?
Here are the frequently asked questions related to BTS’ contribution to the South Korean economy.
#1. How much does BTS contribute to Korean GDP?
According to the reports, BTS contributed 1-2 percent to the country’s GDP in 2019, in addition to its international influences. Forbes Korea named BTS the most influential celebrity in Korea in 2018 and 2020.
#2. How much tourism does BTS bring to Korea?
The South Korean government credits BTS for the recovery of the country’s shrinking tourism industry. Reports cite that BTS attracted 1 in every 13 foreign tourists who visited South Korea in 2019.
As per the reports, BTS’ three-day concert finale in Seoul for their Love Yourself World Tour in October 2019 was estimated to have an economic value of almost US $862 million and brought in 187,000 foreign visitors to South Korea.
Also Read:
Conclusion: How much money does BTS bring to Korea?
Since its debut in 2013, BTS has played a pivotal role in shaping the South Korean economy, making substantial contributions both directly and indirectly.
However, the temporary dissolution of the group, as its members were conscripted into mandatory South Korean military service, has had a profound impact on the economy.
This hiatus means that there will be no new tours or concerts for several years, impacting not only the entertainment industry but also related sectors such as tourism, merchandise sales, and overall cultural exports.