Analysis of the Strategy and Practice of Entertainment Companies Using Fan Psychology for Profit

Ulink High School of Suzhou Industrial Park, Suzhou, 215028, China

^* Corresponding author: tianyi.ma@sz-alevel.com

Abstract

With the quick advancement of Internet technology in recent years, the idol cultivation model has rapidly emerged in the Internet and entertainment industries. Based on the theoretical basis of fan culture and fan economy, this paper explores how entertainment companies use fan psychology to improve profitability and analyzes the business logic and psychological mechanisms behind it. In addition, this paper also takes Korean companies such as S.M. Entertainment and HYBE as examples to explore the role of globalization strategy, social media marketing, and fan community operations in improving profitability. The study found that entertainment companies can effectively enhance the commercial value of idols and transform fans’ emotions into actual consumption behaviors through accurate fan portraits and differentiated personality strategies. However, this business model also brings social problems such as extreme fan behavior and waste of resources. This article calls on entertainment companies to pay attention to fans’ mental health and social responsibility while pursuing commercial interests, to achieve sustainable development of the entertainment industry.