Seongdong-gu, COVID-19 Damage Analysis Using Big Data

Decline in Resident Population Leads to Decreased Commercial Sales, Customized Support Through Analysis

[Asia Economy Reporter Jongil Park] Seongdong-gu (Mayor Jeong Won-oh) is utilizing the ‘Seongdong-gu Big Data Center’ to provide tailored support through practical analysis of the local economy amid the prolonged economic impact on small business owners caused by COVID-19.

Launched in March last year, the ‘Seongdong-gu Big Data Center’ is staffed with public big data analysis experts who identify and analyze tasks to support Seongdong-gu’s major projects. The center introduces scientific ICT (Information and Communication Technology) across all areas of district administration to improve citizen services and increase work efficiency.

The recent COVID-19 economic status analysis revealed that, except for medical-related industries, all sectors suffered significant sales declines, with the travel industry experiencing a drop of over 80% compared to the previous year.

First, Seongdong-gu’s ‘daytime population’ decreased after the COVID-19 crisis alert level was raised. During the same period, public transportation usage also dropped by 12.5% (39,768 people) compared to normal levels, followed by a sharp decline trend that slightly recovered after March.

In Haengdang 1-dong, where the Enter Six shopping mall and Wangsimni Station, a transportation hub in Seongdong-gu, are located, the daytime population on February 29, during the severe COVID-19 crisis stage, recorded 20,546 people, a 17.53% (4,369 people) decrease compared to the normal baseline on January 11.

This decrease in daytime population affected sales in commercial districts.

Looking at sales changes by administrative dong in Seongdong-gu, Sagun-dong saw the largest sales decline at 17.2%, followed by Haengdang 1-dong at 13.3% compared to the previous year. Sagun-dong, home to Hanyang University, experienced sales damage in nearby commercial areas due to the postponement of the March semester start. Haengdang 1-dong, where Wangsimni Station is located, saw sales affected by reduced public transportation usage and decreased large shopping mall visits due to social distancing.

Examining sales decline by industry, travel (80.3%), cosmetics (38.6%), and lodging (35.0%) showed the most significant drops compared to the previous year. Except for medical-related sectors such as hospitals and pharmacies, all industries suffered serious sales losses.

In response, the district provides closure support funds to multi-use facilities facing difficulties, such as karaoke rooms, PC rooms, academies, and private tutoring centers. Direct support measures for small business owners affected by COVID-19 include employment retention subsidies, emergency funds, and special loans.

Additionally, through the Good Rent Campaign, the district alleviates tenants’ economic burdens and promotes various support measures by sector, such as delivery service support for traditional markets to revitalize them.

Jeong Won-oh, Mayor of Seongdong-gu, stated, “The impact of sales decline among self-employed individuals due to COVID-19 varies greatly by region and industry, so tailored support is necessary. Through this analysis, we plan to provide timely and customized support to offer practical help in the future. We will all unite with one heart and strive to overcome this crisis wisely.”

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