Market – Korea

• ST market research page –– here
• ST Research Report 2024 –– Download here
• ST TMS 2023 –– Download here

Click here for an overview slide for each finalized activity in the current year. ((Will follow))

The Consumer Sentiment Index (CCSI) of Korea rose to 95.2 points in February 2025 from up 4.0 points from the previous month, reflecting a gradual recovery following a sharp decline in December 2024 due to political uncertainties. While future economic outlook indicators have improved, the current living conditions index remains unchanged at 87, indicating cautious optimism among consumers. Also, A series of aviation-related accidents from early 2025 has weakened Korean travelers‘ expectations for trips, temporarily leading to a decline in travel demand.

This gradual improvement in consumer sentiment is also positively impacting travel demand. According to Skyscanner’s „Travel Trends 2025“ report, 61% of Korean travelers are interested in wellness tourism, indicating a diversification of travel preferences. Booking.com predicts that in 2025, travelers will prioritize long-term personal growth experiences over short-term leisure trips. These trends present opportunities for Swiss tourism, with the Swiss Travel Pass (STP) remaining highly popular, especially among families and senior travelers. Switzerland continues to rank high in travel satisfaction, reinforcing its strong appeal as a preferred destination.

In 2025, the Korean economy is expected to slow down due to political uncertainty, the global economic downturn, and weak domestic demand. The Bank of Korea anticipates that economic recovery will become more visible in the second half of the year. However, the 2025 GDP growth rate is projected to remain at 1.6–1.7%, while consumer inflation is expected to ease to 2.0%, primarily due to subdued domestic demand.

To counteract the economic slowdown, the Korean government is implementing various measures, including the establishment of strategic industry support funds, easing foreign exchange regulations, and boosting domestic demand.

Korean government has allocated a $34 billion policy fund to support domestic companies in key strategic industries such as semiconductors, automobiles, biopharmaceuticals, aerospace, and artificial intelligence. Additionally, the government is relaxing foreign exchange regulations to attract foreign capital inflows and stimulate domestic consumption.

In 2024, Korean guests recorded 398,528 overnight stays in Switzerland, 4.5% increase from 2023. A new trend is emerging among repeat visitors, shifting from short package tours to longer, more relaxed stays with a focus on local culture.

Korean travelers are categorized into three groups:

1. Millennials and Generation Z (36%) – Young adventurers seeking freedom, unique experiences, and social media-worthy moments. They prioritize scenic accommodations, thrilling nature activities, and cultural experiences.

2. Family Travelers (12%) – Parents traveling with children for new experiences, balancing rest and play. Families with younger children prefer nature-based activities, while those with older kids favor adventure-based experiences like ski camps.

3. Seniors (50%+) – Many consider Switzerland a bucket-list destination. They prefer group tours, focusing on iconic spots without extensive research. Expanding their travel scope requires targeted products highlighting lesser-known cities.

AI-powered content creation and distribution are becoming increasingly common in Korea’s media landscape in 2025. AI algorithms personalize user experiences and optimize content recommendations, making them a key driver of media consumption trends. Short-form content continues to gain traction, with platforms like TikTok and YouTube Shorts leading the trend as Korean audiences favor quick and engaging content.

Regarding for media landscape, the decline in traditional media revenue has led to a restructuring of the industry, with a shift toward subscription-based and digital-first models. Retail media and OTT advertising are becoming major revenue streams, reflecting the changing landscape of digital advertising. As algorithms and AI-driven media platforms shape consumer engagement, the influence of social media on politics, culture, and society is expected to grow even further in 2025.

ST Korea plans to expand the presence of Switzerland Tourism in the rapidly evolving social media market by leveraging short-form videos and carousel contents. Additionally, it will continuously analyze engagement with its own content to maximize efficiency with minimal investment.

To ensure a customer-centric approach and cultivate empathy with future guests, personas-based marketing strategy has been implemented. This involves thoroughly understanding customer needs, communication preferences, purchasing behaviours, and information-gathering patterns throughout the customer journey. By obtaining valuable insights, we can refine our marketing and communication strategies accordingly. In the Korean market, we have specifically identified three personas (Max, Kris, and Jo) out of six to guide our targeted marketing efforts. Find more information about the personas here.