Seoul Cracks Down on 'Dumping Tourism' to Protect City's Image | Be Korea-savvy

Seoul Cracks Down on ‘Dumping Tourism’ to Protect City’s Image


This file photo shows foreign tourists in South Korea. (Image courtesy of Yonhap)

This file photo shows foreign tourists in South Korea. (Image courtesy of Yonhap)

SEOUL, Sept. 28 (Korea Bizwire) – In a bid to safeguard its reputation as a premier travel destination, the Seoul Metropolitan Government has launched an undercover operation to investigate low-cost tour packages sold overseas.

The initiative aims to curb the spread of so-called “dumping tourism,” which officials fear could tarnish the city’s image and lead to negative experiences for visitors.

The city government announced on September 27 that it had examined 100 budget-friendly Seoul travel packages out of 3,097 products currently available on China’s four major online platforms.

The investigation revealed 85 packages, representing 2.7% of the total, suspected of engaging in dumping practices. Seoul has requested that both the South Korean government and the Chinese embassy prohibit the sale of these questionable packages.

“While the proportion of dumping tourism products isn’t high, the more tourists who experience unfair practices like illegal guides and forced shopping, the more it negatively impacts Seoul’s image,” a city official stated. “We need to respond thoroughly in advance.”

Dumping tourism refers to the practice where travel agencies attract tourists with below-market prices, then recoup losses by focusing itineraries on shopping center visits, often receiving commissions from these establishments.

The Korea Tourism Organization's "2023 Tourist Complaint Analysis" showed a 213 percent spike in reported inconveniences in 2023 compared to the previous year, totaling 902 cases filed via the agency's website, emails and call center. (Image courtesy of Yonhap)

The Korea Tourism Organization’s “2023 Tourist Complaint Analysis” showed a 213 percent spike in reported inconveniences in 2023 compared to the previous year, totaling 902 cases filed via the agency’s website, emails and call center. (Image courtesy of Yonhap)

To assess the situation firsthand, the city deployed undercover inspectors, including foreign nationals, to participate in seven low-cost group tours from China and Vietnam – countries that contribute significantly to Seoul’s tourist numbers.

The two-person teams purchased the packages and accompanied the tours from departure to return, evaluating various aspects including guides, accommodations, food, optional tours, and shopping experiences.

Foreign inspectors reported that many tourists were dissatisfied with the heavy emphasis on group shopping at the expense of experiencing Seoul’s history and culture. Some tours included up to eight separate visits to shopping centers, primarily focusing on health supplements, duty-free shops, and cosmetics stores.

Inspectors noted that guide behavior often changed dramatically based on tourists’ shopping performance, with some guides persistently encouraging purchases during bus rides to meet sales quotas. In one extreme case, tourists were prevented from leaving a shopping center for about 40 minutes until someone made a purchase.

Time at actual tourist sites was often cursory, and many itineraries deviated from the advertised schedule, citing weather and logistical reasons. In some instances, tours were canceled without notice, leading to arguments between guides and tourists.

The Seoul government plans to share its findings with the Ministry of Culture, Sports and Tourism and relevant embassies to curb the proliferation of these substandard tour packages. Legal action, including potential police reports, is under consideration following consultation with legal experts.

Despite these challenges, Seoul’s tourism industry has shown strong recovery post-pandemic. From January to July of this year, the city welcomed 7.32 million foreign visitors, reaching 93.2% of the numbers seen during the same period in 2019, before the COVID-19 pandemic.

Lina Jang (linajang@koreabizwire.com)

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