Chinese tourists are buying heated tobacco products in large quantities at Korean duty-free shops

According to South Korea's NEWSPIM, with the increase in Chinese tourists, especially those purchasing on behalf of others, the performance of major duty-free shops in Korea has reached new highs.

In addition to cosmetics, heated tobacco products sold in Korea are also highly sought after by Chinese tourists, with sales experiencing explosive growth.

According to industry sources, among the heated tobacco products sold in Korean duty-free shops, the most favored by Chinese consumers are the "lil" developed by Korea Tobacco & Ginseng Corporation (KT&G) and Philip Morris International's "IQOS".

Since its official entry into duty-free shops at the beginning of this year, sales of lil have surged by 112%. Incheon International Airport Corporation has released data showing that in the first half of this year, sales of cigarettes from Korea Tobacco Company reached 58.1 billion won, surpassing Louis Vuitton (35.4 billion won) by more than 20 billion won, claiming the top sales spot.

The company stated that the brand was initially targeted at local Korean consumers, but as heated tobacco products entered the duty-free market, Chinese tourists became the main buyers.

Sales of IQOS in Korea have also seen significant growth, with the brand achieving sales of 32.7 billion won in Incheon Airport duty-free shops in the first half of the year, ranking third in sales.

With the continuous growth in sales of heated tobacco products, tobacco companies are expanding their promotional efforts targeting Chinese tourists. Philip Morris International has set up an experience space in Terminal 2 of Incheon Airport to facilitate consumer product selection.

Korea Tobacco Company is also stepping up its efforts, operating 20 directly managed stores in Terminal 1 and Terminal 2 to expand its distribution network. Notably, "lil" has opened an exclusive store covering 33 square meters on the 10th floor of the Hyundai Department Store duty-free shop, setting a precedent in the industry.

Industry insiders indicate that as Korea and foreign heated tobacco products strengthen their promotional efforts targeting Chinese tourists, sales of heated tobacco products are expected to grow further in the future!