Duty-free shops relying on 'hallyu' stars for success

By Chung Joo-won SEOUL, April 18 (Yonhap) -- South Korean duty-free businesses are shooting for the "hallyu" stars to win the upper hand among the increasing pool of players. For newcomers, hiring A-list hallyu models -- South Korean celebrities wielding global popularity -- is among the fastest ways to stand out in the duty-free market. Four established and new duty-free shops -- HDC Shilla Duty Free, Hanwha Galleria, Doosan and Shinsegae -- are freshly vying to attract foreign travelers. In the big picture, competition for hallyu models among duty-free businesses is expected to stay frenzied this year, as the South Korean government has been considering ways to let 4-5 more retail giants join the local duty-free business to boost the lackluster domestic economy. The hiring competition led to skyrocketing guarantee costs for hallyu stars with sway over customers from China, Japan and other Asian countries that have shown strong interest in Korean pop culture. With different hallyu stars popping up every year, the stars of KBS 2TV's mega-hit television series "Descendants of the Sun" are the latest blue chips. Actor Song Joong-ki and actress Song Hye-kyo, the co-stars of the romantic melodrama, have waged a fierce behind-the-scenes competition among duty-free industry players. Their modeling fees are "without ceilings," according to an entertainment industry source. Another batch of top-priced hallyu actors are actor Song Seung-heon and actress Lee Young-ae, whose latest epic romance series "Saimdang, the Herstory" will launch on terrestrial television network SBS in the second half of 2016. With "Saimdang," duty-free shops are even seeking a dual-package deal with both actors. Lee was one of the first to rise to hallyu stardom with "Jewel in the Palace," more commonly known as "Daejanggeum." The 54-episode epic series was broadcast on MBC in 2003-2004. Thanks to the drama hitting the jackpot in China, duty-free marketers are convinced that "Saimdang," with a similar time and background as "Daejanggeum," will reap more success in the giant country. Song Seung-heon is a widely beloved star in Asia as well. The South Korean heartthrob took both Korea and China by surprise when he confirmed his romantic relationship with Chinese A-list actress Liu Yifei in 2015. Second to none in the hallyu model market are actress Jun Ji-hyun, the heroine of MBC's hit romcom series "My Love From the Star," and G-Dragon, a fashion icon and member of K-pop idol group BigBang. These two recently sealed contracts with Shinsegae. However, according to Lotte Duty Free, marketing with hallyu stars is not the ultimate solution for the South Korean duty-free industry. The company is one of the two existing duty-free businesses, along with Shilla. Lotte has been using hallyu stars for the past 12 years, starting with actor Bae Yong-joon, who starred in "Winter Sonata." So far, Lotte has signed contracts with around 10 of them, including K-drama stars Lee Min-ho, Kim Soo-hyun, Park Hae-jin and Cha Seung-won. Some of the most hip K-pop bands and musicians, such as EXO, 2PM, Super Junior, TWICE and Eru, are also on Lotte's roster. "The key mission (in hallyu star marketing) is to make sure that customers automatically connect the hallyu stars to the brand name," a Lotte Duty Free official said. Signing hallyu stars is only the beginning of a long and winding road since extra marketing costs are needed to inform customers about the linkage between brands and models. In the past 10 years, Lotte spent more than 150 billion won (US$130 million) in China on overseas marketing costs, the Lotte official added. jwc@yna.co.kr (END)