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Insights into Spending Trends of International Tourists in South Korea

On September 30, 2025, Visa, a global leader in payment technology, released an analysis regarding consumption patterns of international tourists visiting South Korea from April 2024 to March 2025. The findings present a striking growth in spending, predominantly from visitors from the United States, Japan, and China, who together accounted for over 50% of total expenditures.

Key Findings

The analysis revealed that the top seven nations contributing to spending were the United States, Japan, China, Taiwan, Singapore, Hong Kong, and Thailand. The combined total of these nations continues to play a critical role in South Korea's inbound tourism economy, with the US, Japan, and China maintaining their positions from previous years.

Notably, both Taiwan and Hong Kong saw remarkable increases in spending, at 54% and 50% respectively, with the number of Taiwanese visitors reaching an all-time high of 1.47 million and 570,000 from Hong Kong. In contrast, Thailand experienced a 14% decline, likely due to an increase in entry refusals following the re-introduction of the K-ETA system in April 2024.

Health and Beauty Sector Growth

The growth in foreign tourist spending is not just a reflection of increased numbers, but also a shift in the types of expenditures. Spending in healthcare, retail, and pharmacies, largely driven by the rising demand for Korean beauty treatments, surged by nearly 60%. The healthcare sector alone constituted 15% of the total spending among the top nations, witnessing a significant 58% increase compared to the previous year. The data points to a substantial interest in beauty services, especially in dermatology clinics, suggesting that many tourists prioritize experiencing Korean beauty treatments as part of their travel plans.

The pharmacy sector also enjoyed growth, with specialty products like acne treatments gaining popularity through word of mouth among tourists. Discount stores, which include health and beauty-related drugstores, reported an impressive 63% increase in spending, rising to 5th place in overall expenditure rankings.

Impact of Japanese Tourists

Japanese tourists have emerged as a key driver of healthcare-related spending. They accounted for 19% of total expenditures in this sector, exceeding the average for the top seven countries. Notably, the number of foreign patients in Korea is expected to hit a record high of 1.17 million in 2024, with Japanese patients making up 38% of that figure. This represents a remarkable 135% increase, particularly fueled by the growing demand among women in their 20s and 30s for skincare and beauty treatments.

Shopping Trends and Local Experiences

Additionally, Chinese, Taiwanese, Singaporean, Hong Kong, and Thai tourists have also significantly contributed to retail and shopping sectors, with above-average spending in department stores and discount outlets. Chinese tourists, in particular, extensively utilized retail shops, accounting for 20% of their total expenditures.

Meanwhile, over half of the tourists opted to stay in Seoul, which accounted for 53% of all accommodation spending. Incheon experienced growth in tourism from Japanese and American visitors, attributed to its accessibility and appeal for short stays primarily focused on shopping and healthcare.

Seasonal Trends and Consumer Preferences

Interestingly, despite winter being traditionally perceived as an off-peak season for inbound tourism, significant numbers of foreign tourists were drawn to the Gangwon province during this period. Data indicated that January to February consumption surged in locations like Pyeongchang, likely driven by interest in winter sports and scenery.

The Rise of Contactless Payments

Another significant finding from Visa's analysis is the surge in contactless payments, which accounted for 15% of all transactions from the top seven nations and had more than doubled from previous figures. This trend is largely attributed to the widespread adoption of IC card payment systems across South Korea. Travelers from Singapore, Hong Kong, and Taiwan particularly showed high preferences for this payment method during their visits.

Patrick Storey, Visa's Country Manager for Korea, noted, "The steady increase of foreign tourists eager to experience Korean culture confirms important trends in the inbound tourism sector, reflecting broader changes in consumer behavior and spending. Visa aims to leverage reliable data insights to enhance customer experiences in collaboration with local partners."

In conclusion, Visa's comprehensive analysis not only underscores the growing significance of the Korean beauty and healthcare sectors but also reflects evolving tourist preferences and behaviors that are shaping the future of tourism in South Korea.