"Pay an Extra 500,000 Won": Outrageous Demands from Booked Hotels... Price Gouging Persists Amid "BTS Boom"

Motel Nightly Rate Soars to 430,000 Won, Five Times the Usual Price
Price Gouging Persists Despite Government and Local Crackdown
Existing Reservation Holders Asked to Pay Additional 500,000 Won at Check-in
Consumer Damages on the Rise

Ahead of the BTS (Bangtan Sonyeondan) concert in Busan, local accommodation prices show no sign of dropping. Despite encouragement from the government, local authorities, and related agencies to eradicate price gouging, the cost of lodging has soared to as much as five times the usual rates.

According to industry sources on June 3, BTS will hold their world tour concert "Arirang" at the Busan Asiad Main Stadium on June 12 and 13. Both shows are sold out, and more than 100,000 BTS fans from Korea and abroad are expected to visit Busan.

The prices for accommodations for concertgoers are also skyrocketing. According to Triple, a hyper-personalized travel platform operated by Nol Universe, a motel in Haeundae, Busan, has set its nightly rate at 430,000 won for June 12, the first day of the concert. This is more than five times higher than the previous Friday average of 80,000 won. Weekend rates have also risen to 450,000 won, which is more than three times the usual price.

Other nearby motels, which were typically priced at 50,000 to 60,000 won per night on off-season weekdays and 100,000 to 150,000 won on weekends, have reportedly increased their nightly rates by three to five times during the concert period. An industry official stated, "Because the prices of accommodations near the concert venue are so high, reservations are shifting to neighboring regions." According to the digital travel platform Agoda, the number of accommodation searches in Busan rose by 47% after BTS announced their world tour schedule.

In situations where it is difficult to find a room even with a premium, cases of consumer harm due to price gouging have also emerged. According to the Korea Consumer Agency, in January, consumer A, who booked a Busan accommodation through an online travel agency (OTA) for the BTS concert period, was asked by the hotel to pay an additional 500,000 won before check-in or to cancel the reservation. The reason given was that peak season rates should apply for major events, and the reservation had been confirmed at a lower rate.

Consumer B, who booked accommodation in Busan in March, found out two months later that the hotel had unilaterally canceled the contract citing "overbooking" and "incorrect pricing." Subsequently, B discovered that the same room was being sold at a price five times higher than their original booking.

The Korea Consumer Agency and the Fair Trade Commission have advised consumers using lodging facilities to protect themselves from unfair damages by: ▲keeping photographic records of the accommodation rate table posted by the business; ▲checking whether the amount charged exceeds the posted rate; ▲not accepting additional payment requests from the accommodation after paying the contracted amount; and ▲thoroughly keeping the reservation confirmation or reservation details.

In front of Goyang Sports Complex in Goyang City, Gyeonggi Province, where BTS's concert was held last April, BTS fans are taking commemorative photos. Photo by Yonhap News.

As public criticism of price gouging spreads, efforts for self-regulation are also emerging within the local community. Notably, ahead of the BTS concert, Busan City is launching the "Busan Citizen Homestay Project," a citizen-participation shared accommodation model. This is a public-private partnership model involving citizen participation and "Wehome," the only legal shared accommodation regulatory exception platform for both Korean and foreign guests in Korea.

Applications for homestays can be made through the dedicated "Busan Seagull Nest Stay" website or the "Visit Korea" national tourism portal. The accommodation period runs from June 12 to June 14 and is operated for two nights and three days at residences of Busan citizens or group members. While the stay is free of charge, a 50,000 won performance deposit must be paid at the reservation stage to prevent "no-shows." The deposit is fully refunded as a 50,000 won Busan Tourism Gift Card, which can be used at traditional markets and local stores upon check-in.

Separately, the Korea Consumer Agency and the Fair Trade Commission, together with relevant ministries, local governments, and the National Tax Service, plan to conduct additional joint inspections on June 8 and 9 to prevent the spread of consumer harm caused by unfair practices of accommodation businesses.

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