Alone for Seollal, Choosing 'Netcance' Over Returning Home... Immersed in OTT

Luxury Hotels' Customized Products for 2030
OTT Service Setup is Essential
Providing VR Game Consoles
Watching Mid-Season Dramas Lying on Bed
Contactless Service Calls via AI Devices

[Asia Economy Reporter Minyoung Cha] "This Lunar New Year, I just want to relax at a hotel watching Netflix without any worries." Kim Hyemin (pseudonym), a third-year office worker living in Yeongdeungpo-gu, Seoul, decided to spend her first-ever 'solo Lunar New Year' this year. Given the increased risk of COVID-19, she also gave up on traveling to her hometown. She said, "For three days and two nights, I plan to binge-watch my favorite drama series, ‘Kingdom,’ and order only room service."

According to industry sources on the 10th, as the popularity of domestic and international online video services (OTT) such as Netflix, Watcha, Wavve, and KakaoTV rises, having smart TVs and set-top boxes has become essential even in 4- to 5-star luxury hotels. In small and medium-sized hotels rated 3 stars or below, which often lack facilities like swimming pools, saunas, and fitness centers, OTT services have long established themselves as killer content.

In particular, Netflix, which enjoys overwhelming popularity, has even coined a new term called ‘Net-cance’ (a portmanteau of Netflix and vacation). In the ‘2021 Hotel Vacation Trend’ survey conducted by HotelsCombined targeting 2,000 men and women aged 20 to 59, respondents in their 20s selected OTT subscriptions like Netflix as their most preferred service. Among 20-somethings, 40% chose Net-cance, enjoying hotel OTT services as their vacation theme.

Some hotels have introduced packages that rent out unfamiliar virtual reality (VR) gaming devices to cater to 20s and 30s guests seeking fresher experiences. LG Uplus partnered with the Westin Chosun Hotel Seoul to offer a package providing overseas travel experiences through VR devices, available until May. By wearing VR headsets, guests can virtually travel around the world, walking through places like the United States and Europe. This satisfies travel demand suppressed by COVID-19 vicariously.

Contactless services for the MZ generation (a combination of Millennials and Generation Z), who tend to avoid face-to-face conversations, are also popular. KT is providing its AI butler service ‘Giga Genie’ in collaboration with eight hotels including Novotel Ambassador Dongdaemun, L’Escape Hotel, Ambassador Residence, and Mayfield Hotel. Guests can use voice recognition to request amenities, check out, enjoy music services, and control TV, lighting, curtains, and heating/cooling systems.

As demand to use OTT services during camping trips increases, cable TV provider D’Live is also experiencing strong sales of its portable ‘D’Live OTT Box.’ As of the end of last year, total cumulative sales reached 510,000 units. Since its debut in 2016, sales surged last year, fueled by Netflix’s popularity amid COVID-19.

A cable TV industry official said, "From a hotel’s perspective, OTT services are positive because they attract younger customers with relatively low investment costs," adding, "Whenever there is news about popular dramas or movies like ‘Okja’ or ‘Kingdom,’ sales at establishments are immediately affected."

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