The famous hotel bingsu 'brave merchant' season has opened again this year. The price of hotel bingsu, which has steadily increased every year, has surpassed 150,000 won this summer. Based on this year's hourly minimum wage (10,030 won), it is a high price that requires working eight hours a day for two days to afford.
According to the related industry on the 19th, the most expensive bingsu launched by the hotel industry this year is the 'Belle Époque Champagne Bingsu' presented by the Grand InterContinental Parnas in Samseong-dong, Seoul. It costs 150,000 won per bowl. It was created in collaboration with the French champagne brand, Pommery. Champagne granita made with frozen Belle Époque champagne is included along with slices of cheese and avocado.
The price of the 'Jeju Apple Mango Bingsu' from the Four Seasons Hotel also approached 150,000 won. This year's Jeju Apple Mango Bingsu is priced at 149,000 won. This is an increase of about 18.3% compared to last year's price of 126,000 won. The consumer price inflation rate over the past four years has been 19%, indicating that the price has risen to a level comparable to this over the past year. The original source of the apple mango bingsu, the Shilla Hotel in Seoul, charges 110,000 won per bowl, while Signiel Seoul's Jeju Apple Mango Bingsu is priced at 130,000 won.
Hotels trying to compete based on relative cost performance have launched bingsu priced below 100,000 won. The 'Mango Bingsu' from the Andaz Seoul Gangnam Hotel costs 82,000 won. The prices for 'Green Tea Citrus Bingsu' and 'Kakao Raspberry Bingsu' are in the range of 74,000 to 76,000 won. Yeouido Marriott Hotel has introduced 'Honey Bee Bingsu' for 45,000 won, which combines milk ice, cotton candy, and Jirisan honey.
The competition among bingsu in market hotels is often described as the 'wag the dog' phenomenon in the stock market. 'Wag the dog' comes from a Western proverb meaning the tail wags the dog and indicates a situation where the importance is reversed. In stocks, it refers to futures influencing the spot market. In the consumer market, it describes how purchasing decisions are influenced by non-core aspects. The fundamental competitiveness of hotels is determined by differentiated customer experience (high-quality service) and the efficient operations connected to it (expense reduction), but the bingsu competition is skewed towards marketing.
Another reason for the annual bingsu competition is the low barrier to entry. Bingsu is relatively easy to make as long as one gains an advantage in securing raw materials like mangoes or melons. It does not require great technology.
A source from the food and beverage institutional sector of a well-known hotel said, "Most hotels use similar ice-making machines, and since those devices are not excessively expensive, there is practically no significant difference in taste." They noted that "the competitiveness lies in how beautifully it is decorated and how creatively it captures attention with its design."
A source from the hotel industry said, "In the past, bingsu was actively started by hotels that lacked competitiveness in the food and beverage institutional sector, but now, with the importance of 'Instagram marketing,' all hotels have jumped in." They added, "As the power of social media marketing has grown stronger, all hotels have no choice but to participate in the spring strawberry buffet wars and summer bingsu wars."