Mujusarang Gift Certificates, 'Highly Effective' in Revitalizing the Local Economy

Survey Results Show 56.3% Report Increased Sales Compared to Pre-COVID-19 Levels

[Muju=Asia Economy Honam Reporting Headquarters Reporter Kim Han-ho] Muju-gun announced on the 23rd that the Muju Love Gift Certificate, introduced in 2019, has greatly contributed to the local economy despite the COVID-19 situation.

According to Muju-gun, as a result of a research project on the "Economic Impact Analysis of Muju Love Gift Certificate" conducted by the Industry-Academic Cooperation Foundation of Jeonbuk National University over two months since January, the annual sales of gift certificate affiliated stores decreased by 24.2% compared to before COVID-19.

In addition, a survey was conducted targeting 282 Muju Love Gift Certificate affiliated businesses and 610 consumers to inquire about the regional economic and consumption promotion ripple effects following the introduction of the Muju Love Gift Certificate. 56.3% of respondents reported that their sales increased compared to before COVID-19 due to the gift certificate.

Among them, 32% answered that sales increased by more than 10%.

Also, the proportion of businesses that responded that sales per person increased after registering as a Muju Love Gift Certificate affiliated store reached 55.7%.

Muju-gun explained that businesses that joined the Muju Love Gift Certificate since 2019 were able to offset an average sales decrease due to COVID-19 by about 10 million KRW compared to those that joined in 2020.

In particular, the estimated sales increase effect for affiliated businesses rose from 14.52 million KRW in 2020 to 31.05 million KRW in 2021.

Furthermore, the research results indicated that the gift certificate absorbed the shock of rapidly decreased sales after COVID-19, enabling small business owners to continue operations, and had effects such as converting online and out-of-region consumption into consumption within the Muju area.

Muju=Honam Reporting Headquarters Reporter Kim Han-ho stonepeak@asiae.co.kr

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