An estimated 1.7 trillion won ($1.43 billion) worth of economic effect is expected to be created by K-pop sensation BTS' conquest of the Billboard Hot 100 chart last week, government data showed Monday.
Last week, BTS debuted at No. 1 on Billboard's main singles chart with its latest English-language single "Dynamite," becoming the first South Korean singer or group to achieve the feat.
According to a report co-published by the Ministry of Culture, Sports and Tourism and its affiliate Korea Culture and Tourism Institute, the accomplishment is projected to generate 1.23 trillion won in value created in the production sector and 480 billion won in added value. About 8,000 more jobs are also likely to be created by BTS' first-place entry into the Hot 100 chart.
The value is measured by aggregated revenues of the septet's label Big Hit Entertainment, customs and central bank statistics, and Google Trend data.
The study estimated that Big Hit will earn a total of 245.7 billion won from global sales of "Dynamite," based on revenue from the group's previous album "Map of the Soul: Persona."
Exports of consumer goods stemming from the debut of "Dynamite" are forecast to increase by 371.7 billion won, including 276.3 billion won from overseas sales of cosmetics and 74.1 billion won from food.
The ministry said it has excluded the win's impact on the local tourism industry, such as an increase in foreign visitors to South Korea, as the COVID-19 pandemic has disrupted overseas travel for months and led to a series of cancellations of concerts.
The economic effect produced by BTS' stellar performance will likely expand further regarding South Korea's improved image and brand value later, the ministry added. (Yonhap)
A source from the research center explained, “In the process of calculating the scale of direct sales, we excluded the profits from concert tours after considering the reality that live concerts are impossible, and we implemented profits from online concerts. If we take attracting foreign tourists and live concerts into account, and if we additionally consider the synergistic effects of the uptrend in the nation’s image and brand, the economic effect will be even greater.”
Park Yang Woo, the Minister of Culture, Sports, and Tourism, commented, “The results BTS have actually achieved greatly exceed this number. Not only have they provided a type of remedy to people all over the world suffering from COVID-19, but they have also become the pride of South Korea’s culture once again.”
With the strength of BTS and the film “Parasite,” South Korea has entered the top 10 of the Global Innovation Index for the first time since 2007. In the 2020 Global Innovation Index released on September 2 by the United Nation’s specialized agency World Intellectual Property Organization (WIPO), South Korea rose one place from last year to rank No. 10. Following Singapore at No. 8, South Korea ranked the second highest among Asian countries.
The results could be largely due to rising from No. 42 to No. 19 in “index of creative goods and services,” which is related to cultural industry performance. A source shared, “South Korea rose from No. 22 to No. 13 in ‘film production,’ No. 54 to No. 53 in ‘export of cultural and creative services,’ No. 19 to No. 18 in ‘entertainment and media market,’ and No. 16 to No. 14 in ‘export of creative products.'”
Source: The Korea Herald, @TheKoreaHerald, Naver via Soompi