400,000 Won Per Night for a Motel? BTS Fans Flock to Ulsan by KTX Amid Price Gouging for Accommodations

Accommodation Costs in Busan Surge Up to 7.5 Times Ahead of June Concert
Fans Boycott After Unilateral Reservation Cancellations and Price Gouging
1,300 Alternative Accommodations Secured, but Stability Still Lacking
"Strict Penalties for Additional Charges and Price Collusion"

Photos of BTS concert held last month in Las Vegas, USA. Provided by Big Hit Music

As BTS's concert in Busan approaches, hotel rates in the city have surged, leading fans to move their accommodations to nearby cities such as Ulsan, Yangsan, and Changwon—a phenomenon now being dubbed "evacuation-type viewing." With controversy mounting over excessive price hikes and reservation cancellations at certain lodging businesses, there are growing concerns that Busan City’s plans for local economic revitalization may be disrupted.

According to the Korea Fair Trade Commission and the Korea Consumer Agency on June 1, accommodation rates in Busan during the upcoming BTS World Tour "Arirang" concerts on June 12 and 13 have risen by an average of 2.4 times compared to typical weekends. Some accommodations were found to have increased prices by up to 7.5 times.

On online communities and social media, fans are actively sharing information about abandoning Busan accommodations and instead booking rooms in Ulsan, Yangsan, or Changwon, then using public transportation to travel to the concert on the day itself. The journey from Busan Asiad Main Stadium, the concert venue, to Samseon-dong in Nam-gu, Ulsan, takes about an hour by car. An emerging alternative is to use KTX Ulsan Station or the Donghae Line commuter train to commute to Busan, while handling lodging and meals in nearby cities.

This concert marks BTS’s first large-scale solo performance in Busan in three years and eight months, following the "2030 Busan World Expo Bid Concert" in October 2022. The final concert on the 13th coincides with BTS’s debut anniversary, and with the show taking place in the hometowns of members Jimin and Jungkook, it is attracting considerable attention from both domestic and international fans.

Busan City had planned to use the event to boost tourism and local consumption, operating a Welcome Center at Busan Station Eurasia Platform, hosting a drone lighting show at Gwangalli Beach, creating a fan experience zone at Song Sanghyeon Square, organizing themed city tour buses, and holding food and beverage events at Busan Port Pier 1, all aimed at increasing the length of visitor stays.

However, price increases in the lodging industry have emerged as a major variable. The investigation showed motel rates rose by an average of 3.3 times, hotels by 2.9 times. Motel rooms that typically cost around 50,000 won surged to 200,000–300,000 won, business hotels to 400,000–500,000 won, and some luxury hotel rooms are now being sold for 2 million–3 million won. Within a 5-kilometer radius of the concert venue, accommodation rates jumped an average of 3.5 times; around Busan Station, they increased by 3.2 times, with the price surge most pronounced near key transportation hubs.

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Fans’ backlash has focused less on price hikes themselves and more on the issue of reservation cancellations. There have been repeated cases of lodging businesses unilaterally canceling rooms that were reserved months in advance at regular rates, only to resell them at much higher prices. Among some fans, a boycott movement has emerged, with people vowing to "only attend the concert in Busan and avoid making other purchases."

As the controversy grew, BTS leader RM addressed fans on a community broadcast, saying, "Even if we want to solve this, there’s nothing we can do. I just wish people would be more reasonable." President Lee Jaemyung also criticized the practice at a UNESCO World Heritage Committee preparation meeting on May 27, stating, "Busan’s image is being damaged by the lodging price gouging controversy," and adding, "Canceling a room reserved for 100,000 won and then reselling it for 1 million won is a nuisance to the entire community."

Industry observers are concerned that such practices could have a long-term negative impact on the concert industry and the local economy. According to the Center for Arts Management Support, ticket sales in Korea’s live performance market totaled 1.7326 trillion won last year, with pop music concerts accounting for 981.7 billion won (56.7%). NH Investment & Securities previously estimated the direct and indirect consumption effect of the BTS world tour at approximately 8 trillion won.

The government and local municipalities are also taking action. The Ministry of Economy and Finance and the Ministry of Culture, Sports and Tourism held a task force meeting on May 28 to address price gouging, securing over 1,300 alternative accommodations by utilizing university dormitories, religious facilities, and public institution training centers in Busan, Yangsan, and Changwon. The Ministry of the Interior and Safety, National Tax Service, Fair Trade Commission, and National Police Agency plan to conduct intensive inspections on June 8 and 9, focusing on whether lodging businesses are complying with price display regulations and investigating potential collusion.

A Fair Trade Commission official stated, "Lodging businesses are required to adhere to posted accommodation rates, and consumers have no legal obligation to pay additional fees unilaterally demanded after a reservation is confirmed. Unjustified price increases through sharing price information among businesses could be considered collusion under the Fair Trade Act, and we will respond strictly to any unfair trade practices."

This content was produced with the assistance of AI translation services.