K-Pop Sales Slump
Major Korean record label and talent agency S.M. Entertainment’s earnings decreased by 70 percent in the first quarter compared with a year ago, due to cooler sales in Japan as well as the yen’s devaluation against the dollar.
Photo: AP Photo
P:erforming on the stage during the K-Pop All-Star live concert in Niigata, northern Japan.
According to Japan’s Livedoor News, S.M. earned about $44 million in the first quarter of 2013, with 50 percent coming from Japan sales.
As long as the yen was strong, foreign companies could clean up but, since the beginning of the year, the yen has lost about 20 percent of its value against the dollar.
An S.M. spokesperson told Livedoor’s the company has lost a considerable amount of money on the Japanese market but also predicted that the second quarter would be much more lucrative, with major Japanese tours by Girls’ Generation and SHINee in the works.