The Massive Economic Impact Driven by the K-POP Boom...Rising “Emotional Spending” Among China’s Gen Z, Seoul Named Asia’s Top Leisure Destination

K-POP’s economic influence is expanding across Asia. China’s 250 million Gen Z consumers, born between 1995 and 2010, are spending heavily on K-POP trading cards and related items, while Hallyu has emerged as a key driver of growth in the economic sector, with Seoul surpassing Taipei and Tokyo to be named Asia’s best leisure destination. Chinese Gen Z tends to be frugal in daily life but is willing to spend generously on products that provide emotional satisfaction. An e-commerce industry professional named Liu Meishuan cited an extreme example of hobby-related spending by saying he spent $9,600 (approximately 13 million won) on a K-POP star’s trading card. This reflects a pattern among young Chinese consumers who are less price-sensitive and focus on products that offer emotional connection and enjoyment. RM Investment’s fund manager Li Shouchang analyzed that this new type of consumer pursues self-satisfaction, devotes themselves to hobbies, and spends on things that provide emotional connection and pleasure. The K-POP craze is also boosting performance for Chinese companies. Pop Mart, which sells K-POP-related merchandise, recorded sales of 13.04 billion yuan (approximately 2.515 trillion won) last year, a 106.9% increase from the previous year, and continued to grow by 165% in the first quarter of this year. The stock prices of Pop Mart, Mixee, and Laopuhuangjin have all risen by more than twice since the beginning of the year, with Pop Mart’s market capitalization already exceeding that of the combined market caps of American toy companies Mattel and Hasbro. Hallyu’s economic impact is also evident in the tourism industry. At the “2025 Leisure Lifestyle Awards” organized by the U.S.-based travel magazine Global Traveler, Seoul was named first place in the “Best Asian Leisure Destination” category. Last year, Seoul finished second behind Taipei, but it reclaimed first place this year, with Taipei coming in second, Tokyo in third, Phuket in Thailand in fourth, and Singapore in fifth. A representative from the Seoul Tourism Foundation explained that this award demonstrates Seoul’s strong competitiveness among Asian cities in terms of Hallyu content, shopping, dining, and hiking tourism. The government also recognizes the importance of the Hallyu economy. Lee Jae-myeong, the presidential candidate from the Democratic Party, pledged during a campaign stop at Iksan Station in North Jeolla to use the current annual ODA budget of around 6.5 trillion won for strategies to promote Hallyu culture, including K-POP, K-dramas, and K-food. He said, “There are many diplomatic missions, but there is a shortage of personnel and funding,” adding that these missions will be used as hubs to spread Hallyu in conjunction with ODA projects. Mark Tanner, CEO of consulting firm China Skinny, predicted that these companies have successfully read market trends and adapted to them, and that their popularity will continue for some time. The source stated that this new wave of consumer enthusiasm offers hope for China, which is attempting to shift its economic model by prioritizing consumer stimulation and expanding domestic demand amid threats to its export-driven growth model caused by U.S.-China trade tensions.