Changes and expansion of Hallyu in CRM of view

Nayoung Kima,*, Moonhyung Leeb, Dongjea Parkc, Hyeyoung Songd

a
Jinseon Girl's High School, Seoul, Republic of Korea
b
Chungshim International Academy, Gyounggi-do, Republic of Korea
c
Korea International School, Jeju-do, Republic of Korea
d
NLCS, Busan, Republic of Korea
E-mail address: kny26023@naver.com

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Abstract
Changes and expansion of Hallyu in CRM of view in terms of CRM (Customer Relationship
Management), I analyzed the expansion and evolution of the fandom management of BTS and K-pop singers
from the beginning and studied the potential for future development and the potential for application in other
industries. It can be said that Hallyu is a phenomenon that is ultimately driven by the love of Korean stars and
addicted to songs, dramas, and food. This can be seen as a CRM (Customer Relationship Management) with
companies related to hallyu. Recently, it was announced that the Hallyu influenced the growth of the worldwide
music industry. BTS won the award for the second consecutive year, The recently released PERSONA album
has received more than 3 million pre-orders and has achieved tremendous results in managing fans (customers)
including #1 on iTunes in 84 countries after releasing new songs. CNN says that the called for army the fandom
of BTS was globally the most powerful fandom since Beatles. Hallyu started in Japan as a Korean drama in
2002, and now is seen as an example of successful management of a huge customer relationship where 90
million people are performing their own events. At the end of 2019, it is a huge industry and culture with more
than 100 million fans. The Hallyu is a case study in which companies and universities use CRM as a case study
to overcome political, cultural and linguistic limitations and increase fandom in Japan as a drama Hallyu. Drama
Hallyu Downturn - Errors in response to changes in customer relationship management and change in customer
base due to the emergence of K-POP and change in customer base due to the emergence of anti-Hallyu after
2014 and political problems in Japan. Change to China Through the market and customer relationship
management and customer expansion policy through the Anti-Hallyu due to the Thaad situation at 2015 in
China.The use of SNS has been diversified and the market has been diversified. Now, In addition, it is expected
that the analysis of the past growth engines will be carried out by analyzing the new class which is not
influenced by the political and social aspects. In the planning phase of the K-pop singer, we learned how to
approach the local CRM. I would like to compare the case of Japan and the case of Korea that the Hallyu is not
merely government funding and policy support as it is strong in terms of managing relations with the people of
the countries of the world. In addition to analyzing the inconveniences of people who do not know Hallyu and
the areas that they would like to participate in Hallyu in the future, we analyze the value of Hallyu in terms of
CRM by analyzing the economic value of Hallyu by using text mining techniques. We will analyze the
proliferation of fandom of Hallyu and customer relationship management (CRM) change and sustain ability.

Keywords: CRM

I. Introduction
Explanation of Hallyu fandom changes and issues
Increase of Hallyu fans from 2012 to 2018.time series graph

graph by origin with Rscript

The fandom of hallyu, which began in the late 1990s, was minimal and only in 2012 was one of the contents
enjoyed by part of the Asian population with about 7 million fandom members. However, the Hallyu has been
rapidly changing since the beginning of the year.
According to the increase over the past seven years, the number of Hallyu fans has increased 14 times over the
past 13 years and has grown to 90 million fandom members at such a rapid pace that it is hard to find its origin.
The map of hallyu in world

Realize by Python with Basemap library

As shown in the map, we will analyze important issues and events from the CRM and analyze potential growth
in the future of CRM, which has increased 14 times to 7 million in just seven years, with 1500 fan clubs and 89
million fans in 2018.
 II. Main Body

Hallyu start in Japan with Drama

The beginning of the fandom of the Hallyu began with "Winter Sonata" in 2002. In 2003, it was a huge hit with
20 percent of the nation's viewership on Japan's NHK Broadcasting System, and the popularity of actors who
visited filming locations of Winter Sonata, related derivatives and dramas began to make hallyu fandom in
Japan, and it became popular as a national drama in many countries as it was exported to Asian countries during
the drama Winter Sonata.
Table 1
Winter Sonata rating

The maximum viewing rate excluding the final round

Sortation

Kwandong Region (Tokyo, etc. Kwansai (Osaka, etc.)

)

the last episode 20.6% 23.8%

Average 14.4% 16.7%

video research excerpts

In 2003, the popularity of actors gained huge popularity by recording 20 percent of the nationwide viewership
of Japan's NHK Broadcasting System, and finding a location to shoot Winter Sonata, and the popularity of
actors began to create hallyu fandom in Japan, and became popular as a national drama in many countries as
they were exported to Asian countries. With the popularity of the drama "Winter Sonata," other dramas began to
be exported to Japan and Asia, and it began to happen that they were fandom of Korean actors in Asian
countries, especially Bae's popularity was gaining popularity in Japan, dubbed "Yonsama." His fan club had
50,000 members, but Korean dramas disappeared on terrestrial broadcast and the excessive mysticism of actors,
communication with fans, and marriage of actors have reduced interest in Korean actors in the drama's fandom,
middle-aged women, and Bae Yong-joon's fandom. In other words, the fandom of an actor tends to depend on
the frequency of his exposure to broadcasting and the success or failure of a drama, and the exclusion of
continuous activities and excessive mysticism is the core of the actor's CRM.
A middle-aged fan base reduced by excessive commercialization and mysticism.
 photo source : Herald Pop
K-pop's growth due to the change of Political and cultural environment of Hallyu
Dramas
TVXQ's Japanese debut, the beginning of K-pop hallyu, is the global start of K-pop hallyu. TVXQ has been in
Japan since 2005 and gained popularity from the time the drama began to decline in 2007 so it gained popularity
from 2008 until recently and launched "Vigist" a paid pen club in Japan. As a foreign singer, it has the largest
fan club. It is also a true K-pop star that has created fandom in each country through a global concert.
Afterwards, TVXQ, a five-person system, became popular in Japan and other Asia, South America, the
Americas and Europe even though it was switched to a two-person system.
After a year of TVXQ's debut in Japan, Big Bang started a tour of the world, and if TVXQ is an idol-style
singer, BigBang began to gain popularity throughout Asia and Europe with a new style of music with an artist's
personality, and it also helped to create K-pop charts to promote K-pop rankings in different countries.
TVXQ is still struggling with a sincere attitude and social contribution, mobilizing 1 million people for its 2018
concert in Japan, and has been on good terms with fans after a two-year hiatus. Nikkei Entertainment, a
monthly magazine specializing in pop culture for Japanese economic newspaper Nikkei, even ranked TVXQ at
the top of the list of the top 50 in the 2018 concert mobilization rankings, which was launched in the December
issue of last year. This can give very important implications from a CRM perspective. Even after serving in the
military, a Korean social trait, TVXQ's fans can see how important idol relationships are regardless of their
political relationship.
TVXQ 2018 Nissan Stadium, Japan
 Psy's global heat of "Gang nam Style" recognizing the importance of SNS
Singer Psy introduced K-pop to the world by singing a song without fandom. It was an unusual case, an
opportunity to teach K-pop idols and small and medium-sized agencies how to get new jobs in the market, and it
was the biggest impact on BTS debuts in 2013, which now has global fandom. With the advent of Psy's
Gangnam style, the global expansion of K-pop has been the biggest hit in Korean pop history, and since then,
Korean K-pop has further introduced the genre of K-pop to the global music scene in a true sense. For the first
time in the world, Korean and Korean songs, which became the first Korean pop music hit worldwide, are
ranked within the top 10 of Billboard's HOT 100 for the seventh consecutive week. It is the first video clip to
surpass 500 million views within 100 days of posting the fourth-highest total number of views on video, which
became the legend of Korean pop music's first ten-millennial label YouTube, which topped the iTunes music
chart in more than 33 official countries.

The stagnation of the Hallyu in China and Japan by political and cultural environment.
The Hallyu has become more difficult for new activities in Japan and China, which have had the largest
fandom, due to China's THAAD incident in 2014 and Japan's anti-hallyu, and it has become difficult for
fledgling idol groups to make inroads into foreign markets. Entering the global hit case of Psy's Gangnam style
gaining popularity on YouTube, entertainment companies began to actively utilize youtube and SNS. Then, he
began to secure fans in South America, Europe and the United States. Youtube is a media outlet that has greatly
influenced the Korean Wave and the expansion of K-pop. It refers to a transfer from a listening era to a viewing
era. In other words, it is possible to enjoy K-pop idols by watching their dance styles and so on. Beyond the
language constraints, I can't understand Korean, but I started to understand the meaning and message contained
in the song. This phenomenon can be seen from Psy's Gangnam style. This crisis seems to be a bit of a holdup
to hallyu, but it should be seen as a step that extends beyond what CRM sees as a response to customer changes.
youtube official account
12.92 million subscribers 26.2 million subscribers
photo & data source: youtube

Table 2
Hallyu Change Chart in the Youtube

Sortation Before After

Region Japan, China, East Asia Global

Fan age group 20~30 10~30

The language barrier strong Weakness

The birth of BTS and global fandom

BTS, which debuted in 2013, is a boy band with the strongest fandom in K-pop history. CNN also calls the
group the strongest boy band since the Beatles.
BTS
 source: https://www.facebook.com/bangtan.official
BTS, which has strategically used its communication with fans since the beginning of its debut. Because used
this strategy to overcome the limitations of small entertainment companies by posting their daily lives with fans
through SNS, doing one-person broadcasts with fans, telling stories about themselves and listening to their fans.
As a result, two years later, fandom was formed and became a global star in the 4th year of debut. What can be
said about this is that he won the SNS Group award on Billboard in his fourth year since debut, and won three
consecutive years of awards so far this year, and even the TOP Band in 2019 thanks to his strong fandom.
In 2018year, they made a stronger fandom by throwing messages to fans with concerts, speeches at the U.N.,
albums and more with messages to love yourself.
The International Association of Phonogram Industries announced in its Global Music Report 2019 that
worldwide music industry sales reached $19.1 billion last year. That's the highest sales in the last decade, up 9.7
percent from 2017. At the same time, BTS ranked second in the Top 10 Global Recoding Artist released by the
International Association of Phonogram Industries, the BBC and Reuters news agency in Britain said, "The
success of Bangtan Boys contributed to the growth of sales in the global music industry.“ BTS topped
Billboard's album chart, Billboard 200, for three consecutive albums.
BTS albums topping Billboard albums chart

With such strong fandom, she is hosting a World Stadium tour this year, the only K-pop singer to do so.It is
also a concert that only a few people can do as a global singer.
Table 3
Increase rate of aircraft search by country and region with BTS concert

Region Concert schedule Search growth rate during concert period

the Americas and Europe

LA 4~5days May 42%

Chicago 11~12days May 53%

New Jersey 18~19days May 20%

Sao Paulo 25~26days May 392%

London 1~2days June 75%

paris 7~*days june 30%

japan region

6th day july 105%

Osaka
7th day july 91%

13th day july 39%

Shizuoka
14th days july 103%
data source : kayak global site
Right before the BTS concert, it increased by as much as 20 percentage points and as much as 392 percentage
points. The figure is noteworthy even considering that most of them have a concert date of Friday. The growth
rate of the search for the month is also estimated to be the result of the surge in search growth during the concert
period. The area that soared 392 percentage points is Sao Paulo, Brazil. The band will perform at the Aliantz
Parqui stadium on May 25 and 26 at 7 p.m. local time.
Title song of Map of persona album
 photo source : By with Luv music video
The reason why BTS is talking about fandom is that it is now Boy Bend with the strongest fandom recognized
by anyone and the group that has expanded hallyu the most powerfully over the past three years. This year's
album, especially from a CRM perspective, has enough mats for BTS to impress fans even more. The meaning
of Map of Persona's title song "BOY WITH LUV" and the message of the ending of the music video was sent
out to fans of BTS. Also, the constant expression of love and gratitude for one's fandom at any awards
ceremony or broadcast makes fans (customers) feel consistently loved by BTS. It's the way BTS expresses the
core of CRM's underlying customer touching and continuing management to its fan club, Army.

Survey of the current status, complaints and participation of hallyu

For the past 20 years, the hallyu has been separated from the first to the third in Japan. The first Hallyu is led
by middle-aged people who are politically and culturally sensitive, while the second Korean wave is centered on
Japan, which borrows local music like TVXQ or continues to hold concerts or fan meetings there. Women in
their teens and early 20s who lead the third hallyu are called the third wave of hallyu, as they are insensitive to
political and cultural issues and want to become Korean celebrities because they are addicted to their favorite
idols and prefer Korean makeup and fashion.
What do you think about the current Korean wave in the United States, Europe and South America besides
Japan? Based on 2019 it is definitely a huge phenomenon in the world and has started to accept it as contents
that can determine sales of music, fashion, and Cosmic markets. In other words, if there is an additional group
that will have strong fan management and huge fandom like BTS, it is widely expected that hallyu could emerge
as a country dominating the global cultural market outside of the U.S.
Let's look at word-cloud analysis to find out what's inconvenient for people who don't have access to the
Korean Wave and what can be improved.
Discomfort and infertility in the Hallyu
 data source : KOFICE
realize by python 3 with wordcloud
The main reason for the complaint is the problem of place and language. Also, the protection of their culture
and excessive commercialism are cited as problems. The above problems are sufficiently remediable and
worthy of policy efforts. Then, we analyzed what hallyu events would be like for those who did not have access
to hallyu, a potential customer of the hallyu.
Participate in Hallyu Events

data source : KOFICE

realize by python 3 witn wordcloud
It is surprising that what I would like to participate most is food tasting and food cooking events.
 III. Conclusions
There will be more people enjoying hallyu than in the past 20 years. Therefore, just as we have changed from a
customer convenience perspective to English, French and Spanish, to a less sensitive political and cultural issue,
we need to continue to strive to overcome political and cultural interests, to actively express our social
responsibility and customer management perspective of hallyu stars, to expand various events to raise interest,
and to continuously promote the security of Korea to secure customer reliability. And idols, actors, and officials
who have fandom overseas.
It is better not to participate in racial, political and religious issues if possible. Lastly, expressing communication
and interest for fans who enjoy hallyu is the most important thing.

IV. References
Reference Data: Korea Foundation for Cultural Exchange
Hallyu White Paper (2018)
International Recording Industry Association
Youtube
Kayak global travel site
Reference literature :

A: References to Hallyu
Hallyu White Paper (2018)
2017 Hallyu Wave Effectiveness Study (Sub-titled): A Study on the Value Analysis of Hallyu, the growth
engine of hallyu in the fusion era (Korea Institute of International Literature)
Hallyu Know Hallyu Deeper Report, May 2018
2017 Korean Wave White Paper (Kofice)
THAAD, and later Hallyu (subtitles) : Hallyu Political Economy Theory (Kofice)
2017 Global Hallyu Trends (Kim Duk-joong, Nam Sang-hyun, and Kim Ah-young)
A Study on the Economic Effects of the Korean Wave (Jeon Jong-geun, Kim Seung-nyun, Lee Han-seok, Lee
Hyung-o and Kim Young-mi)
2015 Overseas Korean Wave Survey (Korea Foundation for Cultural Business Exchange)

B: Reference for big data analytics

1. Gathering, analyzing and visualizing big data using Python
(Lee Won-hwa)
2. Analysis of big data using R
(Nogyu-seong, Kim Jin-hwa, Park Sung-taek, and Kim Byung-sung)
3. Foundation of logarithmic analysis by R (Nakazawa Minato)
4. Python Data Science Handbook (Jacker Vanderles)
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