Revenge Spending Brightens Hotel Industry in Family Month

Lifting of Social Distancing
Children's Day and Parents' Day Holidays
Occupancy Rate Near Full Capacity

Grand Josun Jeju unveils a suite room specialized for families with children.

[Asia Economy Reporter Yuri Kim] As the first holiday since the lifting of social distancing measures due to COVID-19 approaches, families are flocking outdoors, bringing smiles to the hotel industry after a long time. For families with young children, it is difficult to plan overseas trips immediately due to their children’s unvaccinated status, so there is a strong demand for “hokangseu” (hotel staycations) as a form of compensation for staying at home, and it is expected that the domestic customer boom will continue for the time being.

According to the hotel industry on the 6th, the demand for domestic “hokangseu” at major hotels in Seoul has noticeably increased this month. Especially during the sandwich holiday (May 5-8), which includes Children’s Day and Parents’ Day, occupancy rates were close to full. Since the outbreak of COVID-19, it has been rare for major hotels in Seoul, which mainly targeted overseas business demand, to show such reservation rates. The Shilla Seoul Hotel saw a 50% increase in stays and reservations compared to the same period last year. Lotte Hotel Seoul and Lotte Hotel World experienced more than double the number of holiday guests compared to the same period last year. The Grand InterContinental Seoul Parnas and InterContinental Seoul COEX also exceeded 80% reservation rates respectively. A hotel official explained, “Due to the nature of domestic customers who often make reservations close to the stay date, inquiries about stays for this weekend, the end of the holiday, are continuing in real time,” adding, “The atmosphere has definitely changed since the beginning of this month.”

Major hotels in Jeju are also thriving. At the Grand Hyatt Jeju within the Jeju Dream Tower Complex Resort, more than 1,000 rooms have been booked during this holiday period. Even on weekends outside the holiday this month, about 1,000 rooms are reserved. The Jeju Tourism Association expects about 204,000 tourists to visit Jeju from the 4th to the 8th, an 18.2% increase from about 170,200 during the same period last year.

The hotel industry expects family customers visiting hotels to continue for the time being due to favorable weather for outdoor activities and the effects of lifting social distancing, and has responded by developing and launching customized packages. The Grand Chosun Jeju opened “The Suite,” a suite room for families with children, this month. Lotte Hotel World expanded its character rooms for family customers from 30 to 52 through renovation, gaining popularity. The Shilla Seoul Hotel also introduced the “Suite Little Kids” package for children aged 4 to 6.

A hotel industry official said, “This atmosphere is expected to continue through the holiday from June 4 to 6, which includes Memorial Day,” adding, “It is already difficult to make reservations for the desired period at popular hotels and resorts in major tourist destinations nationwide, including Jeju, Busan, Geoje, and the Gangwon region.”

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