Prolonged Impeachment Crisis Closes Wallets... Dining Industry Credit Card Sales Down 9%

Credit card sales at small business dining establishments in the first week of this month decreased by 9% compared to the same period last year. As the impeachment crisis, which began with the state of emergency, drags on, consumer sentiment appears to be weakening.

According to Korea Credit Data on the 12th, credit card sales at small business dining establishments nationwide from the 2nd to the 9th of this month fell by 9% compared to the same period last year. On the other hand, credit card sales at small business dining establishments in Yeouido, Seoul, increased by 10.4% during the same period.

Provided by Korea Credit Data

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Gang Yewon, head of data at Korea Credit Data, said, "Considering that the average profit margin in the dining industry is around 15%, a 10% drop in sales results in profits decreasing by more than 60%."

She added, "It is painful to see a sharp year-on-year sales decline in the first week of December amid sluggish domestic consumption. December is a period when most dining businesses earn significant profits due to year-end parties and other demand, so if this sales decline continues until the end of the year, many businesses will suffer from accumulated losses."

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