Explainer: What's the cost of making your favorite K-drama series
What's the story
What makes K-dramas so captivating?
It is the stellar production value that requires a hefty budget.
With streaming giants like Netflix and Disney+ joining the K-drama landscape, the industry is now witnessing a surge in production expenses.
However, this has pushed major broadcasters like KBS, SBS, and MBC to rethink their drama output.
Let's delve into the actual cost of producing your favorite K-dramas!
Context
Why does this story matter?
In the early 2000s, the K-drama scene was simpler, with romantic dramas, alongside a few period dramas, dominating schedules. Cast salaries constituted just 10% of budgets.
Fast forward to today, the landscape has evolved significantly.
Stars now claim a larger share of budgets, productions have become more ambitious with foreign shoots and visual effects, and distribution channels have expanded the variety of Korean shows.
Production
Cable networks transformed economics of production
By 2008, the average cost per episode had surged to over 100M won.
The emergence of cable networks like tvN, JTBC, and OCN elevated it to an average of 400M/episode won by 2015.
Intense competition prompted substantial investments, pushing the cost of premium productions beyond 1B won/episode.
In 2018, tvN's Mr. Sunshine established a new benchmark—boasting an unprecedented per-episode price tag of 1.67B won.
Struggles
Struggle between top star salaries, overall production costs
The predominant expenditure often lies in the appearance fees of top stars.
In some instances, payments to actors can consume 55-65% of the total budget—a stark contrast to just 20-30% in Japan.
Overruns on budgets—especially after paying top stars—can often lead to difficulties compensating other personnel involved in the production.
In 2012, several actors staged a demonstration at KBS's headquarters to protest such inequalities.
Streaming platform
How streaming platforms play significant role in this?
In response to growing international demand, the Korean industry witnessed a surge in production values.
To compete globally, substantial spending became the norm.
Netflix's entry into the K-drama market with Kingdom in 2019, costing over 2.2B won per episode, underscored the streaming giant's commitment.
Shortly after, tvN surpassed this record with Arthdal Chronicles (2019), reaching a production cost of 3 billion won per episode.
Expensive drama
Not 'Squid Game,' this is most expensive K-drama
Per AllKpop, the most expensive K-drama to date is Moving, boasting a staggering budget exceeding 60B won (Rs. 386cr).
With 20 episodes in its 2023 run, this places each episode's budget at approximately 3B won (Rs. 19cr).
A star-studded cast, including Ryu Seung-ryong and Han Hyo-joo, headlines this superhero family drama—adapted from Kang Full's eponymous novel—revolved around teenagers and parents with hidden superpowers.
List
This K-drama was previously ranked as most expensive
Earlier, Song Joong-ki starrer Arthdal Chronicles held the title for the most expensive K-drama with a 54B won budget ($41.75M or Rs. 347.75cr), per Tatler Asia.
Not far behind, Mr. Sunshine (2018) had a 40B won production cost ($30.9M or Rs. 257.7cr).
Other expensive K-dramas include Kingdom (2019) and Snowdrop (2021), with estimated budgets of 35B won and 32B won, respectively, per Lifestyle Asia.