Hotels are launching niche packages beyond basic staycations—kid-friendly, pet-friendly, cultural themes. What's driving the O-cance trend?
⚠️ All rights reserved. Cite this piece as 'ONDA (온다)' when quoting.
In this issue:
🏨 Korea's 'theme-cation' boom: from hocance to O-cance
💡 ₩600,000/night luxury pensions flying off the shelves
⌨️ #H1TouristNumbers #MobilityEntersLodging #HotelPBBrands #TravelDemandSoftens #ParisOlympicsBust
🏠 Industry deep dive
Korea's 'theme-cation' boom: from hocance to O-cance
"Hocance"—hotel + vacance—is now part of Korea's travel lexicon.
The term first appeared in media around 2005, but it took years to catch on. Then two forces converged: the 2019 Japan boycott and the pandemic. Suddenly, domestic hotel vacations surged—and the word "hocance" went mainstream.
The chart above shows Naver search volume for "hocance." Interest is steady year-round and peaks every summer. It's not just Gen Z—Millennials and even people in their 40s search for it.
Globally, "staycation" is having a moment too. Instead of long-haul trips, travelers are booking local hotels for weekend getaways. With inflation dragging on, many U.S. consumers are opting for nearby hotels this summer—same logic as Korea's hocance trend.
But Korea's taking it further. Hotels aren't just offering rooms—they're launching themed "O-cance" packages: kid-cance, pet-cance, wellness-cance, cultural-cance. Guest expectations are diversifying. Competition is heating up.
What's behind the O-cance boom? And what kinds of packages are hotels rolling out?
👉Read the full story: Korea's 'theme-cation' boom
💡 Hospitality trends
₩600,000/night luxury pensions flying off the shelves
Demand for luxury pensions—kid-friendly, pet-friendly, hanok-style—is surging. Properties with distinctive themes and design are making it onto regional tourism boards' "must-visit" lists.
While average pension rates nationwide are falling, high-end pensions with clear differentiation are commanding premium prices. ONDA data shows bookings for pensions and pool villas priced above ₩600,000/night jumped 52.3% YoY this summer peak season.
As luxury pensions gain traction, booking platforms are responding. Some are launching premium pension categories. Others are curating dedicated collections. Industry attention on luxury pensions is unmistakable.
👉Full story
⌨️ Industry roundup
1️⃣ H1 tourist arrivals 👉[full story]
TL;DR: H1 inbound arrivals hit 91.2% of 2019 levels
The story: Korea welcomed ~7.7M foreign tourists in H1 2024—91.2% of 2019 levels. Top source markets: China, Japan, Taiwan, U.S., Hong Kong. China alone accounted for 29% of arrivals.
Outbound? Korean outbound travelers reached ~14M in H1 (93.4% of 2019). Japan remained the #1 destination, claiming a third of all departures.
2️⃣ Mobility giants enter lodging 👉[full story]
TL;DR: Ride-hailing and transit apps adding hotel booking
The story: Korea's mobility players are moving into lodging. Socar and Tmap were early movers. Now TmoneyGO—Korea's transit payment app—has launched a travel and lodging booking service.
Why? Simple: travel is growing. Big platforms want in. For a deeper look at why super-apps and mobility giants are going all-in on travel, check out this ONDA blog post.
3️⃣ Hotel PB brands boom 👉[full story]
TL;DR: Hotels and resorts see surging sales of private-label products
The story: Korea's "small luxury" trend—high satisfaction at low cost—is fueling demand for hotel PB goods. Major properties are reporting big sales gains.
What's selling? Bedding, perfume, kimchi, coffee, ready-to-eat meals. Hotels are diversifying distribution: their own online stores, Kakao, Naver, Olive Young.
4️⃣ U.S. travel demand softening 👉[full story]
TL;DR: American consumers cutting back on travel and leisure
The story: Prolonged inflation is eating into U.S. travel and hotel spending. Analysts say pandemic savings are depleted—consumers have less left to spend on trips.
In Korea? Domestic visitor counts to regional destinations fell ~7M YoY in July. Concerns are rising that economic slowdown and extreme heat may be dampening domestic tourism.
5️⃣ Paris Olympics: no hotel boom 👉[full story]
TL;DR: Paris hotels see high vacancy despite Olympics
The story: Paris hotels are struggling with vacancies during the Games. Average nightly rate: €313 (~₩470K)—41% lower than last summer's peak.
OCC? Hotel occupancy in Paris is hovering in the low 80s%. That's well below London 2012 (88.6%) and Rio 2016 (94.1%).