The Onnuri Gift Certificate was introduced in South Korea 17 years ago to stimulate local economies and support traditional markets. Despite its longstanding presence, recent debates have emerged regarding its effectiveness, especially as last year’s sales reached only 69.3% of the issuance target. Critics point to overlap with regional currencies and suggest reallocating Onnuri budgets to local currency programs for greater impact. The policy’s original intent is to encourage spending in traditional markets and small businesses, but evolving consumer habits are challenging its relevance.
A survey of 364 MZ generation respondents revealed that 81.3% have used Onnuri Gift Certificates, with digital formats being the most popular. The main channels for learning about the certificates include online content, market signage, news, company welfare programs, and recommendations from acquaintances. Many first encountered the certificates through employer-provided welfare or government initiatives such as the ‘Sangsaeng Payback.’ The MZ generation prefers using the certificates in neighborhood stores, cafes, and daily life venues rather than exclusively in traditional markets.
The timeline of Onnuri Gift Certificate usage shows a shift from paper to digital formats, with increased accessibility through apps and online platforms. However, users report difficulties in finding participating merchants and limitations on usage, such as restrictions in large stores and annual sales caps. The policy has expanded usage locations, but concerns remain about diluting its original purpose of revitalizing traditional markets. The survey highlights that discount benefits are the primary motivator for usage, while complicated processes and limited merchant networks deter wider adoption.
Frequently asked questions include: Why do people use Onnuri Gift Certificates? Most cite discount benefits and income tax deductions as key reasons. Where do users prefer to spend them? The majority favor neighborhood stores and daily life venues over traditional markets. What challenges exist? Users struggle with finding participating merchants and navigating complex payment methods. Some worry that expanding usage locations may weaken the policy’s focus on traditional market revitalization.
The Onnuri Gift Certificate program demonstrates strong engagement among the MZ generation, particularly through digital channels and discount incentives. However, the policy faces challenges in merchant accessibility and maintaining its core purpose of revitalizing traditional markets. To improve effectiveness, policymakers should prioritize expanding usage locations and simplifying payment processes, ensuring that the program remains relevant and beneficial for both consumers and small businesses.