It was revealed that the Seoul Transportation Corporation earned 14.97 billion won in profits over four years through the 'Paid Station Name Recognition Project', which sells the right to display subway station names.
According to the Seoul Transportation Corporation on the 29th, the station that recorded the highest price in the paid sales business bid was Gangnam Station, and Haru Plant Dental Clinic won the bid for 1.111 billion won. Subsequently, Seongsu Station (CJ Olive Young), Euljiro 3-ga Station (Shinhan Card), and Euljiro 1-ga Station (Hana Bank) acquired secondary station names at high prices.
Following Gangnam Station, Seongsu Station (CJ Olive Young, KRW 1 billion), Euljiro 3-ga Station (Shinhan Card, KRW 874.5 million), Euljiro 1-ga Station (Hana Bank, KRW 800 million), Seolleung Station (Acuon Savings Bank, KRW 751 million), Yeoksam Station (Centerfield, KRW 705 million), Euljiro 4-ga (BC Card, KRW 700.7 million), Myeongdong Station (Woori Financial Town, KRW 654.66 million), Guro Digital Complex Station (Wonkwang Digital University, KRW 477 million), Apgujeong Station (Hyundai Department Store, 473 million won) ranked in the top 10.
In order to resolve financial difficulties, the Seoul Transportation Corporation began a project in 2016 to display the names of companies or organizations next to the names of subway stations. Bidding targets are limited to companies or institutions that are located within 1km of the station and do not conflict with public morals.
From 2021 to present, the station name renaming project has been carried out for 39 stations, and the total contract amount amounts to 14.97 billion won. This amounts to an average annual profit of 3.74 billion won, which is of great help to the construction's finances.
For stations with a large floating population, such as Gangnam Station, competition to acquire sub-station names is fierce. Companies that offer a high price can use the name of the station to increase brand awareness and get the opportunity to get closer to customers.
The Station Weapon Project is receiving positive reviews in that it contributes to the expansion of the corporation's finances and provides an effective promotional tool for companies. However, concerns are also being raised that the public nature of subway stations may be damaged due to excessive commercialization.
Seoul Transportation Corporation should use the profits earned through the station name project to improve facilities for citizens to increase citizen satisfaction. In addition, we need to find ways to harmonize commercial use while maintaining the public nature of subway stations.
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