Why do kpop groups release Japanese language albums? It is not done for US which is being targeted now with the occasional English album and an English song or two or even China. The reason is Japan is the most loyal overseas market.
According to Korea Customs Service, the 2020 export data reveal 48.6% of the domestic albums shipped overseas were to Japan. U.S. (2) and China (3) combined are little over half of Japan's numbers. In 2018, 65.1% of the overall export of K music was to Japanese market.
It is a trend now that k companies are using huge profits earned in Japan to fund their advancement in places like the U.S. Kpop is highly dependent on the Japanese market and this is due to profit structure of idol industry is based on fandom culture.
Profits generated from YouTube and streaming are not as large as expected. It is often insufficient to support one idol group due to enormous expenses. Idol groups need to sell CDs, merchandise, etc. US and European markets are more performance based (selling tickets to concerts)
Western consumers are less familiar with fandom culture than Japan and Korea and therefore, it is difficult to advance the Korean product strategy and there are many cases where YouTube views are high but there is no real profit.
SEA occupies the largest share of YT views, but it is difficult for an idol group to profit from YT alone. This is because YT revenue is determined based on the advertising unit price of the country in which the viewer is located.
China is familiar with fandom culture but it is an unstable and dangerous market for Hallyu because of political issues and one who has expectations based on that market is reckless. No matter how much kpop grows in the West, Japan will remain the largest kpop market.
Large domestic kpop agency groups are releasing Japanese albums for the Japanese market one after another. Starting with Tomorrow by Together on 20 Jan followed by Super Junior, NCT, and YG group Treasure on 31 Mar.
The history of kpop groups releasing music in Japan goes back a quarter of a century so the releases are not unique but in the era of COVID-19, the situation is drawing attention. Even tho it is not possible to travel to Japan and promote, many kpop groups are shooting in Korea
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