"Polarization Now Seen in Domestic Travel Too" Rising Travel Costs Lead to Increasing 'Hyupo-jok'
Sky Routes Open... But "Giving Up Overseas Travel Again This Year" Due to Expensive Airfares
"Domestic Travel Also Burdensome" Rising Prices in Destinations Like Jeju and Busan
"High Costs Hit Hard... Feels Like Living in Another World," Complaints Arise
Although the skies to overseas destinations have opened, a so-called 'Hyupo-jok' has emerged, referring to people who have given up not only on international travel but also on domestic trips.
View original image[Asia Economy Reporter Kim Jung-wan] Although overseas travel, which was halted due to COVID-19, has recently become possible again, soaring travel expenses such as airfare caused by high inflation have led many to give up on overseas trips and instead plan relatively affordable domestic travel, or even abandon travel plans altogether. Among those who have given up on travel plans, so-called 'Hyupojok' (people who forgo vacations), there are lamentations that vacations amid soaring prices have become an area of polarization.
According to the Consumer Price Trends report by Statistics Korea on June 19, international airfare rose 21.4% year-on-year in June, while domestic airfare increased by 19.5%. According to the travel industry, airfares to the Americas and Europe, which were 1.5 to 2 million KRW for a round trip per person before COVID-19, rose to 2.8 to 3.8 million KRW by the end of May. Airfares to Southeast Asia, which were relatively inexpensive and popular travel destinations, also increased from the 500,000 KRW range before COVID-19 to 1 to 1.15 million KRW.
The travel expenses felt due to global inflation have become even greater. The U.S. Consumer Price Index (CPI) rose 9.1% year-on-year last month, marking the highest increase since November 1981. The consumer prices in the 19 Eurozone countries rose 8.6% year-on-year in June, setting a record high since related statistics began in 1997. China's June CPI rose 2.5% year-on-year, reaching the highest level in 23 months.
Because of this situation, although people long for overseas travel, some have given up on it. Shin (32), an office worker who was excited about the first summer vacation after social distancing was lifted, said, "I really wanted to travel abroad because I felt so frustrated during the COVID period, but airfare prices have risen too much compared to before," adding, "I have given up on overseas travel this summer as well." He added, "I will look into overseas travel again when prices calm down a bit, but for now, I decided to go domestic."
On the 27th of last month, a duty-free shop in downtown Seoul was quiet. Photo by Mun Ho-nam munonam@
View original imageMeanwhile, prices in major domestic travel destinations such as Jeju and Busan have also soared, causing some to feel burdened by domestic travel costs. According to Statistics Korea, domestic group travel expenses rose 31.4% year-on-year last month, and car rental fees increased by 28.9% during the same period. Kim, a company employee in his 40s who planned a trip to Jeju in August, said, "Since there are four children, airfare alone exceeded 1 million KRW," adding, "Rental car prices are also not cheap, so this year I plan to just go to a nearby swimming pool."
As domestic travelers increase, hotel prices in major areas such as Busan have risen, with some cases where the cost of a one-night hotel stay exceeds 1 million KRW. According to the tourism industry last month, the lowest-priced ocean-view rooms at hotels along the Busan coast, including Haeundae and Gijang, during the peak season in July averaged over 800,000 KRW per night, and when including fees for various community facilities, the cost exceeded 1 million KRW.
In this context, a so-called 'reservation war' to secure good travel products despite rising prices is also taking place, causing feelings of deprivation among some. According to an analysis by the comprehensive travel and leisure platform Yanolja on reservation data for products used from July 1 to August 31, based on June 15 of last year and this year, accommodation reservation transaction amounts increased 3.7 times year-on-year. Reservations were also completed 52.3 days before the accommodation use date, 3.5 days earlier than last year.
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Yoon (27), an office worker who decided to spend the upcoming vacation at home, said he felt disheartened after accessing accommodation reservation platforms. Yoon said, "When I checked, prices were much higher than expected, but the good rooms during peak season were fully booked," lamenting, "Now I feel polarization even in domestic travel." He added, "When I see people who manage to travel well despite the high costs, it feels like they live in a different world."
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