Competition in South Korea’s fandom platform market is heating up as Kakao Entertainment prepares to launch BERRIZ, its new K-pop fan platform. The market, currently dominated by Hybe’s Weverse, may undergo a major shift, potentially leading to a two-way rivalry between Hybe and Kakao.
Kakao, which acquired SM Entertainment in 2023, is expected to leverage its expanded portfolio to establish a strong presence in both domestic and international fandom platforms via SM’s existing K-pop fan platform, Bubble, with BERRIZ, which will launch this year. Hybe is expanding its global reach by onboarding global pop stars and improving the AI capabilities on its platforms.
Fandom platforms are online spaces where K-pop fans can access exclusive content and communicate with artists. These platforms support various fan activities, including fan recruitment and management, content distribution, merchandise sales, event bookings, and artist-fan interactions.
Korean entertainment companies are shifting away from their traditional business model, which relied on album sales and live performances, to a platform-based approach that offers fans diverse content.
The global popularity of Korean content, including K-pop and K-dramas, has further fueled the expansion of fandom platforms. Since album sales and live concerts naturally face growth limitations, entertainment companies are investing in online platforms where fans can engage with their favorite artists, ultimately creating new revenue streams.
Hybe’s 2024 Weverse Con Festival, a two-day music festival live-streamed on Weverse, attracted 22,000 fans, with 18,000 participating through live-streaming.
Since its launch in 2019, Hybe’s Weverse has dominated the domestic fandom platform market. The platform reached 9.7 million monthly active users (MAUs) as of the third quarter of last year. The platform hosts K-pop artists such as BTS, with 27.13 million members, Seventeen, ENHYPEN, and LE SSERAFIM. YG Entertainment’s Blackpink and various SM artists are also active on Weverse.
Last year, Weverse expanded its global presence by adding global pop stars such as Ariana Grande, Dua Lipa, and The Kid Laroi. As a result, 87% of its users are now based outside Korea. The platform’s revenue grew from 239.4 billion won ($163 million) in 2021 to 337.9 billion won ($230 million) in 2023, a 41% increase.
Hybe has been enhancing Weverse’s AI capabilities to strengthen its global foothold. Last month, the company introduced a new paid membership called ‘Digital Membership,’ featuring an AI-enhanced image quality function and automatic subtitles in 13 languages, including English, Japanese, and Chinese.
Kakao is also entering the fandom platform with BERRIZ. Kakao Entertainment is currently conducting internal tests on the platform.
Analysts predict that Kakao’s strategy goes beyond K-pop, as the company’s portfolio includes K-pop labels such as SM, Starship, Edam, and Antenna, as well as actor management agencies, drama production companies, and film studios. The company may aim to establish a fandom platform encompassing a broader K-culture spectrum, including webtoons, dramas, and movies.
