Singer G-Dragon has been confirmed as the new model for the domestic second-largest travel and leisure platform 'Yogiwtai' on the 20th.
According to industry sources, the artificial intelligence (AI) entertainment technology corporation Galaxy Corporation, which is G-Dragon's agency, and Yogiwtai are internally coordinating G-Dragon's advertisement schedule. It is said that the full-fledged advertisement video for G-Dragon will be posted starting July 1. A Yogiwtai representative noted to ChosunBiz, "We will officially announce the details after organizing them internally." The previous model was soccer player Son Heung-min.
Yogiwtai is the second-largest player in the domestic online travel (OTA) market. According to data analysis corporation Aigeaworks, as of February this year, Yogiwtai has 3.09 million monthly users. During the same period, competitor 'Yanolja (Nol Universe)' ranked first with 3.24 million users.
Industry sources analyze that G-Dragon's modeling for Yogiwtai is a stepping stone for a leap forward. An industry insider stated, "Yogiwtai, which once grew at a frightening rate to threaten the number one Yanolja, has seen its recent growth slow down," adding, "They seek to raise platform usage rates by promoting G-Dragon as their model."
Lee Jong-woo, a professor at Ajou University’s Business Administration department, stated, "By featuring global star G-Dragon as their model, they aim to increase brand recognition both domestically and internationally while also attracting users through fandom effects." He noted, "It seems they are engaging in aggressive marketing in a situation where travel demand increases from the summer holiday season to the Chuseok holiday."
Recently, some companies have benefited from the so-called "GD effect." The convenience store CU collaborated with G-Dragon on the "Peace Minus One Highball" series, which sold approximately 600,000 cans in just two days after its release. On the third day, the initial quantity of 880,000 cans was sold out. According to BGF Retail, the operator of CU, as of the 15th, highballs accounted for 11.6% of total liquor sales, which is a 7 percentage point increase compared to the same period last year.
Since last month, the situation for the low-cost coffee franchise "The Benti", which has featured G-Dragon as a model, is similar. A representative from The Benti said, "After launching new products in celebration of G-Dragon's modeling, such as the 'Dragon Smoothie' series and 'photo card promotions', sales have increased by about 2 to 3 times."
Meanwhile, some analysts view G-Dragon's modeling as a card for a directional shift in the delayed sale or initial public offering (IPO) of Yogiwtai. There are concerns over the future growth potential of the OTA market, creating a bubble in the value of platform corporations. An industry insider noted, "Since Yogiwtai, which rapidly grew after being acquired by the European private equity fund CVC Capital, has not made significant progress in the sale or IPO it pursued since last year, there is a mood to prepare a footing for long-term investments."