Structural Crises in the K-POP Industry: Competition Over Initial Sales, Overseas Focus, and Security Threats

The K-POP industry is facing multiple structural issues stemming from an abnormal combination of music chart systems and fandom culture. Intense competition over initial album sales, an increase in groups focused on exports due to saturated overseas markets, and severe security threats are all pressing problems. The competition-driven system centered around music charts is overheating the entire K-POP industry. It is common among agency officials to hear stories of Chinese fans of certain groups purchasing millions of albums in bulk to surpass the initial sales figures of rival groups. The combination of music chart systems and fans’ excessive desires has led to fierce battles over initial sales numbers and strategic song releases, exacerbating a vicious cycle where fans engage in reckless consumption while the industry shifts focus toward music that is more likely to succeed commercially. Competition for ticket sales at fan meet-and-greets is equally intense, with some team members even distributing coffee within their groups to encourage voting for trainees in survival programs they support. As domestic success becomes harder due to saturated overseas markets, there is a growing number of “export-oriented idols” who prioritize international activities. Music critic Im Hee-yoon noted, “While the overseas K-POP market has grown rapidly, the domestic market is shrinking. Competition in Korea is so fierce that new idols continue to debut, and ordinary people’s interest in idols has declined.” Changes in domestic music consumption habits also play a role. It is difficult for groups to make it onto charts or gain attention unless they rank among the top five groups, leading fans to prefer already-followed artists or stream songs recommended by algorithms. The era when new idols could instantly achieve nationwide popularity is over, according to experts. For large agencies, overseas earnings from some idols can account for up to 70% of total revenue, prompting these groups to prioritize international tours and global promotion. An executive from a smaller agency stated, “The model of large agencies like SM, JYP, and YG Entertainment is to build a strong domestic fan base first before expanding into Asia and other regions, but for smaller agencies, targeting overseas fans from the start is more effective.” ATEEZ, under KQ Entertainment, is a prime example of this strategy. By aiming at global fans without the backing of a large agency, they are currently conducting world tours with greater influence than their domestic activities. Groups such as Dreamcatcher, ARTMS, Kep1er, and ENHYPEN also build their careers primarily through global tours and overseas fandoms, with limited exposure or attention in Korea. Even Stray Kids and ATEEZ, who are among the most prominent K-POP groups in the United States and Europe, mostly perform abroad, resulting in a relatively weaker presence in Korea. Idol security threats have reached a serious level. Haruna of Billlie experienced an incident on July 25 when an unknown person forced their way into an apartment in Seoul by breaking down the front door. The intruder damaged the door and threatened her; Haruna immediately moved to a safe place and received medical attention from professionals. Although swift action minimized damage, this incident highlights how severe privacy violations and security threats faced by idols can be. In Seoul, the cost of adequate celebrity security ranges from 350,000 to 500,000 rupees per month (equivalent to about 6 million to 8 million won), roughly matching an annual salary for most people. Additional costs such as reinforced doors (80,000 rupees), CCTV systems (50,000 rupees), and bulletproof rooms represent a huge burden for groups like Billlie, which are often new teams. Agencies are now including trauma therapy in their budgets alongside dance training, with psychological counseling for idols becoming as routine as vocal training. Based on medical evaluations, Haruna needs time for psychological recovery and will pause all performances, fan interactions, and other commitments to focus on healing. Billlie will continue operating with its six members. Sinbiroon Story announced it will take “firm legal action without any leniency” regarding this incident. Under South Korea’s revised Stalking Crime Punishment Act, perpetrators can face up to 3 years in prison and a fine of 180,000 rupees (about 3 million won). However, the fundamental problem remains the illegal online sale of idols’ addresses. On dark web forums, information about idols’ locations is traded like Pokémon cards, and without cracking down on these digital intermediaries, no amount of enhanced security can guarantee safety. Fan reactions have been positive, with Billlie’s fandom, “Believe,” showing strong support through messages on social media.