"Pay 500,000 Won More"... BTS Concert Ahead of Busan Accommodation Prices Soar, Consumer Agency Takes Action

Courtesy of Suyeong-gu. /Photo=News1 [Financial News] As cases of accommodation establishments canceling reservations and demanding additional fees have been occurring one after another ahead of the BTS concert to be held in Busan next month, the government and consumer groups have stepped up efforts to prevent consumer damage.
The Korea Consumer Agency announced on the 29th that, together with the Fair Trade Commission and the Busan Council of Consumer Organizations, it has issued a "Warning to Prevent Consumer Damage from Exorbitant Accommodation Rates" regarding the BTS concert to be held in Busan on the 12th and 13th. It has been revealed that among accommodation establishments in the Busan area where the concert is taking place, there have been successive instances of unilaterally canceling already confirmed reservations or demanding additional payments.
According to Yonhap News, Mr. A received a notice of reservation cancellation from an accommodation in Busan two months after making a reservation, citing "overbooking" and "incorrect pricing information.
" Subsequently, Mr. A confirmed that the accommodation in question was selling rooms at a price approximately five times higher than the amount he had reserved.
Mr. B was recently asked to pay an additional 500,000 won by the accommodation he booked last January, with the explanation that "peak season rates must be applied.
" He was also told that the reservation would be canceled if he did not accept this. The Korea Consumer Agency stated that, in accordance with the current Enforcement Rules of the Public Health Management Act, accommodation providers must adhere to posted rates, and consumers are not obligated to accept additional charges once a reservation has been confirmed.
Furthermore, in the event of damages such as forced cancellation of reservations or unilateral breach of contract by the business operator, consumers can seek counseling and damage relief through the 1372 Consumer Counseling Center, the 1330 Tourist Information Call Center, or Consumer 24. Taking this performance as an opportunity, the government is strengthening its monitoring of unfair trade practices targeting the boom in the performing arts market.
The Korea Consumer Agency and the Fair Trade Commission announced that they are closely monitoring for market disruption activities, such as collusion, to ensure that domestic and international fans do not suffer losses regarding accommodation.
In particular, they explained that acts by accommodation establishments to determine rates by sharing price information or setting price floors may constitute collusion under the Fair Trade Act, and that the unfair bundling of goods or services also constitutes an unfair practice that infringes upon consumers' right to choose.
Accordingly, following a joint inspection of accommodation establishments during the BTS concert week on the 13th, the government plans to conduct additional inspections today and on June 8 and 9, in collaboration with relevant ministries including the Ministry of the Interior and Safety, the Ministry of Culture, Sports and Tourism, the Ministry of Health and Welfare, and the National Tax Service.
In addition, a meeting of the 'Task Force for Eradicating Regional Price Gouging' was held the day before, jointly chaired by the Ministry of Finance and Economy and the Ministry of Culture, Sports and Tourism, and measures to resolve the accommodation shortage were also devised.
Universities, religious facilities, public institution training centers, and youth training facilities in nearby areas such as Busan, Yangsan, and Changwon have agreed to provide accommodations for a fee or free of charge to domestic and international tourists, and it has been estimated that the number of alternative accommodations secured so far amounts to about 1,300.
y27k@fnnews.com Seo Yoon-kyung Reporter