Korea's devastating Gangwon-do wildfire wiped out homes and hospitality businesses overnight. OTAs waived fees, but with tourism accounting for 85% of the local economy, the real recovery challenge is just beginning.
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Hoping Gangwon-do recovers quickly from the wildfire disaster.
On April 4, a massive wildfire tore through Gangwon-do under dry-weather warnings. Major tourist towns like Goseong, Sokcho, Inje, and Gangneung were devastated—one person died, 484 homes burned down, and roughly 1,800 hectares of forest were lost. Among the heartbreaking news: a pension completely destroyed by the flames.
With so many displaced by the fire, countless people have either canceled trips to Gangwon-do or are reconsidering whether to go. OTAs like Yeogi Eottae and Yanolja responded by waiving cancellation fees and issuing full refunds for bookings in the fire zone. But here's the problem: tourism is Gangwon-do's economy. In Sokcho, for instance, tourism accounts for 85% of local GDP and draws 17 million visitors annually. You could say the city lives and breathes tourism—which means this wildfire hit hard. One guesthouse owner said all weekend reservations evaporated after the fire broke out.
Visitor numbers to Gangwon-do plummeted after the disaster. According to the Korea Tourism Organization's Gangwon branch, occupancy at hotels and resorts in Goseong, Yangyang, and Samcheok dropped by over 50% from April 6–8. With the government declaring a national disaster, many in the industry—including hosts reading this—are worried that Gangwon-do tourism might be entering a long, dark tunnel.
But it's not just locals and hospitality operators sounding the alarm. The government and related agencies have rolled out policies to prevent a tourism collapse. Gangwon-do pledged support to help the industry recover quickly. KORAIL slashed KTX fares by 30% through the end of April on all routes to Gangneung—and volunteers ride free. Meanwhile, some ONDA partners in Gangwon-do and other hosts have opened their doors for free to volunteers and displaced residents in a wave of generosity.
The fires are now fully contained, and recent rain has lowered the risk of reignition. Our thoughts are with everyone affected, and we hope recovery comes swiftly. Maybe this spring, a trip to Gangwon-do—to help the region heal while enjoying affordable travel and cherry blossoms—could be just the thing.
[Korea Daily, 2019.04.10, "Please come visit Gangwon-do"…Fear of tourism collapse]
Camping culture is here to stay in Korea.
Korea's camping market is growing—and its culture is maturing. On April 8, the Camping & Outdoor Promotion Agency released 2017 industry stats showing that while the number of campers decreased year-over-year, the overall market size, average nights camped, and spending all increased. This includes traditional tent camping as well as the increasingly popular glamping and caravan stays.
The total camping industry is now valued at roughly ₩2 trillion—up 33% from ₩1.5 trillion the year before. Per-person spending per camping trip averaged ₩77,000, up 5.3% YoY.
What's behind this? The camping boom brought a wave of first-timers, but now camping has settled in as a regular leisure activity in Korea—no longer a one-off splurge. People who once saw camping as expensive and complicated are now treating it like any other weekend getaway. And that means more investment.
The rise of single-person households and "solo camping" is another driver. No need to worry about inconveniencing others—people can just enjoy camping on their own terms. That's expanding the market even further.
We've also noticed more new ONDA partners launching glamping sites, caravan parks, and campgrounds. This trend shows no signs of slowing. In an era where travelers are always hunting for something new and distinctive, camping fits the bill perfectly. If you're a host, it's worth thinking hard about how to stand out in this space.
[News1, 2019.04.08, Camping industry grows—up ₩500 billion YoY]
AirAsia's OTA ambitions: What will they mean for the future of lodging?
Last week, Tony Fernandes—CEO of AirAsia—told a travel trade publication that his company has its sights set on the OTA business. AirAsia is the world's and Asia's top low-cost carrier, known for rock-bottom fares. With giants like Booking.com, Expedia, and Agoda already dominating global lodging distribution, an airline suddenly announcing plans to jump in caught many by surprise.
According to the article, AirAsia has been investing heavily in online travel and fintech. The company believes travel e-commerce will define its future—and it wants to be more than just an airline.
This isn't as far-fetched as it sounds. Look at the data: last year, AirAsia.com sold $4 billion in tickets directly through its own site. The site draws over 65 million visitors a month and is valued at $2.3 billion. By comparison, Expedia gets around 60 million monthly visitors and is valued at $17.9 billion, while Traveloka has 222,000 visitors and a $4 billion valuation.
In other words, AirAsia has the scale, capital, and data to make a real play in the OTA space. It's already built the platform infrastructure, payment system (BigPay), and loyalty program needed to compete.
Will AirAsia actually pull this off? And when? It's a fascinating question. If a company this large enters the OTA market, it could reshape global lodging distribution. What that future looks like—well, reading this article got us thinking.
Skift, 2019.04.03, AirAsia CEO Looks to Disrupt Again, This Time in Online Travel
Complacency about lodging safety hurts guests—and your business.
It's been three months since the tragic Gangneung pension accident we've covered repeatedly in this newsletter. The flurry of policy discussions, debates over mandatory carbon monoxide detectors, and public attention on lodging safety have all faded. And complacency is creeping back in.
April is peak MT (membership training) season for Korean college students. Daeseongri and Gangchon are packed with student groups—but questions about safety remain. According to a recent report, reporters contacted 24 pensions using LPG boilers in the Gapyeong and Chuncheon areas. Only 9 had installed carbon monoxide detectors. It's been barely 100 days since a gas leak at a pension caused 10 casualties, sparking national outrage—but many properties still haven't installed basic safety equipment or completed inspections.
We can't afford to forget. A moment of carelessness leads to disaster. "It'll be fine. I'll get to it later." That mindset—spread across the industry—leaves guest safety in the hands of no one. And if a guest gets hurt, the property owner bears the cost.
Complacency about safety always comes back to bite you. Don't assume your property is safe. Stay vigilant. Prevent incidents before they happen. A safe guest experience builds trust—and trust pays dividends.
[Asia Economy, 2019.03.25, Spring has arrived in MT towns…but the 'carbon monoxide scare' is already forgotten]