"'Dynamite' Economic Ripple Effect at Least 1.7 Trillion Won" (Comprehensive)

Korea Culture and Tourism Institute Analyzes Big Hit Sales and Bank of Korea Input-Output Tables
Direct Sales Scale Only 245.7 Billion KRW... Production Induced Effect 1.2324 Trillion KRW
"Minimum Estimated Scale Excluding Foreign Tourist Attraction and On-site Concerts"

[Image source=Yonhap News]

The group BTS, whose song "Dynamite" topped the main US Billboard singles chart, is predicted to generate an economic ripple effect worth 1.7 trillion KRW.

The Korea Culture & Tourism Institute's Cultural Industry Research Center announced on the 7th that after analyzing Big Hit Entertainment's (BTS's agency) revenue scale, the Bank of Korea's input-output tables, Korea Customs Service's import-export trade statistics, and Google Trends search volume, the direct sales revenue from "Dynamite" amounts to 245.7 billion KRW. A center official explained, "This result was calculated by estimating the direct effect based on last year's Billboard 'Hot 200' No. 1 album 'Map of the Soul: Persona.'"

The induced production effect is predicted to be 1.2324 trillion KRW, the induced value-added effect 480.1 billion KRW, and the induced employment effect 7,928 people, respectively. These figures exclude the effect of attracting foreign tourists due to the spread of COVID-19.

The center official added, "In calculating the direct sales revenue, considering the reality that on-site concerts were impossible, we excluded touring concert revenues and applied online concert revenues instead," and explained, "If we additionally consider foreign tourist attraction, on-site concerts, and the uplift effect on national image and brand, the economic ripple effect will be even greater."

Park Yang-woo, Minister of Culture, Sports and Tourism, also commented, "The actual achievements of BTS far exceed these numbers," and said, "They provided a kind of healing to people worldwide suffering from COVID-19 and once again became a source of cultural pride for the Republic of Korea."

The economic effect may vary depending on Billboard chart rankings and the possibility of performances. BTS is expected to continue rising steadily, as "Dynamite" was released recently and additional full-length albums may be released. A center official said, "(In the long term) it will indirectly affect not only consumer goods but also durable goods consumption," and added, "The figures estimated this time can be considered a minimum scale."

[Image source=Yonhap News]

Thanks to BTS's success and the box office hit of the film "Parasite," South Korea's international index entered the top 10 for the first time since 2007. According to the 2020 Global Innovation Index announced by the World Intellectual Property Organization (WIPO) under the United Nations on the 2nd, South Korea ranked 10th, one step higher than last year. It is the second highest in Asia after Singapore (8th).

The rise in the "Creative Goods and Services Index" related to cultural industry achievements, from 42nd to 19th, had a significant impact. A center official reported, "'Film production' rose from 22nd to 13th, 'Cultural and creative service exports' from 54th to 53rd, 'Entertainment and media market' from 19th to 18th, and 'Creative product exports' from 16th to 14th."

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