Now that is over for exo and red velvet how..
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Like all businesses, SM will continue with a diverse product mix: different groups to target different markets. We already see this: NCT, Shinee, TVXQ and SuJU comebacks all happening adjacently. Sure, the traditional model in all of Kpop was to push the old model out for the new model but I think SuJu has helped point out there can be longevity and a sustained market, while from a more recent example, the success of the EXO solos also reveals a sustained demand inside and outside the fan base. (Someone with longer experience than I may have other examples - I’m just looking at what I’ve seen..)
Both EXO and RV continue to top many metrics for Kpop (still in top 5-6 despite not releasing new singles in the past year, from Twitter and YT to Spotify), which shows there’s substantial brand equity and awareness around these groups, which equals potential dollars.
Tl, dr: Plenty of room in the market for all, reaching different people. Still high awareness of both groups. SM will keep pushing them all.
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