"Take Charge of the Hotel Business" Presidential Directive from 50 Years Ago... 59 Global Sites Bearing Fruit

50th Anniversary Hotel Lotte, Expanding Customer Experience

Hotel Lotte, celebrating its 50th anniversary, is preparing for the next 50 years under the banner of ‘Expanding Customer Experience.’ Starting in May 1973 in South Korea, which was then a tourism desert, Hotel Lotte now operates a total of 59 locations including hotels, duty-free shops, and theme parks both domestically and internationally. The company aims to expand its scope into a global cultural and tourism content enterprise.

Lotte Hotel Seoul exterior view at the time of its opening in 1979 [Photo by Hotel Lotte].

From Bando Hotel to the 555m Observatory

As of the 25th, Hotel Lotte comprises three business divisions and 59 business sites. Lotte Hotel & Resort operates 33 chains with over 11,000 rooms, including Signiel Seoul, Lotte New York Palace, and Lotte Hotel Hanoi. Lotte World runs five business sites such as Lotte World Adventure, Aquarium, and Seoul Sky. Lotte Duty Free operates 21 stores domestically and internationally, including the Myeongdong Main Store, Guam Airport Store, and Brisbane Airport Store.

The history of Hotel Lotte began in earnest with the acquisition of Bando Hotel. In 1970, former President Park Chung-hee entrusted honorary chairman Shin Kyuk-ho with the hotel business, leading to the establishment of Hotel Lotte on May 5, 1973. Hotel Lotte acquired Bando Hotel, which was operated by the Korea Tourism Organization, and invested $150 million over six years?an amount equivalent to the construction cost of the Gyeongbu Expressway. As a result, in 1979, Lotte Hotel Seoul, then the largest luxury hotel in Asia with 38 floors, opened its doors.

Hotel Lotte judged that Jamsil would become a new tourist destination around the time of the 1986 Asian Games and the 1988 Seoul Olympics, and opened Lotte Hotel World in September 1988. In January 1989, Lotte Duty Free World Store opened, followed by the opening of Lotte World Adventure, Korea’s first indoor theme park, in July of the same year. With a total investment of 600 billion KRW over five years, Lotte World Adventure was recognized in the Guinness Book of Records as the world’s largest indoor theme park at the time. Since its opening, it has attracted a cumulative total of 211 million visitors as of last year.

Lotte Duty Free built its infrastructure by consecutively opening the Myeongdong Main Store (1980), World Store (1989), and Busan Store (1995). Even during the January 1998 foreign exchange crisis, duty-free sales increased by more than 40% compared to the previous year, contributing to economic recovery. The Gimpo Airport Terminal 1 and 2 stores, opened in 1999, were the first in the industry to feature red uniforms and signage, clearly establishing brand identity. In the 2000s, the company leveraged the Korean Wave by hosting ‘Family Concerts’ with top artists such as Super Junior and BTS, combining shopping, tourism, and culture to promote Korean tourism. Since 2006, the Family Concerts have attracted a cumulative audience of one million. The ‘Seoul Sky’ observatory, opened in 2017 at Lotte World Tower with a height of 555 meters?then the third tallest in the world?has also become a landmark of Korea.

Lotte World Tower, home to Signiel Seoul [Photo by Hotel Lotte].

Expanding Beyond Korea to Overseas Markets

Hotel Lotte has expanded into the global market, led by Lotte Hotel & Resort. Starting with the opening of Lotte Hotel Moscow in 2010, it now operates 13 overseas hotels and resorts, making it the largest hotel group in Korea. Lotte New York Palace, built in 1882 and designated as a cultural asset of New York City, was selected as a 5-star hotel by the 2023 Forbes Travel Guide. The brand is recognized for its value, with U.S. presidents choosing to stay at Lotte New York Palace.

Lotte Duty Free was the first in the domestic industry to open five stores in Oceania and a store at Jakarta Airport in Indonesia. The opening of Lotte Duty Free Melbourne Airport Store is scheduled for June. In the second half of the year, L7 Westlake Hanoi by Lotte Hotel and Lotte World Aquarium Hanoi?the first domestic theme park industry location?are set to open.

(From the third person on the left) Kim Junam, CEO of Lotte Duty Free, Lee Wansin, General CEO of Lotte Hotel Group HQ, Shin Dongbin, Chairman of Lotte, Lee Dongwoo, CEO of Lotte Holdings, and Choi Honghoon, CEO of Lotte World, along with other key attendees, are taking a commemorative photo at the Hotel Lotte 50th anniversary event held on the 24th at Lotte Hotel World in Songpa-gu, Seoul.

The Next 50 Years: Expanding Customer Experience

At the 50th anniversary ceremony held yesterday at Lotte Hotel World in Songpa-gu, Seoul, Hotel Lotte announced its new vision, ‘Expand Your Experience.’ The company aims to expand its content provision area in the next 50 years, where cultural and tourism content will determine global competitiveness, providing emotional value throughout the entire customer lifecycle.

Lee Wan-shin, CEO of Lotte Hotel Group HQ, stated, “It is important to develop content that can expand experiences so that Hotel Lotte’s culture and service accompany customers throughout their lives. We will expand business areas such as intellectual property (IP) content, high-end online duty-free shops, and hotel private brand (PB) product development.” The strategy is to transform into a company that provides customers with experiences and value beyond simple profit generation.

Lee emphasized, “We will realize global expansion through hotel consignment and franchise operations, secure stability and profitability, develop duty-free specialty stores, acquire airport business rights in the Americas and Europe, and expand content distribution and secondary creations through collaboration with media platforms using World IP.” He added, “We will grow Hotel Lotte into a sustainable cultural and tourism content company for 100 years, becoming a source of pride for Korea.”

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