As part of its “Relance Export Tour”, Business France encourages companies to try their luck abroad to boost the economy of the beauty industry. Among the countries of interest for French brands is South Korea. The specifics of this area were detailed during a webinar at E-Cosmetic360 on November 12, 2020.
South Korea’s reputation is well established. The K-Beauty and many of its innovations are the result of South Korea’s reputation. Despite a certain maturity, the cosmetics market remains dynamic (+3% average annual growth over 2013-2018). It is the ninth largest market in the world (3% of the global market), just behind France and India. The beauty sector weighs heavily. It represents 11.4 billion dollars.
Skin care is largely dominant ($5.5 billion), followed by make-up ($2 billion) and perfume ($200 million).
South Koreans are big consumers of cosmetics and it is estimated that each inhabitant uses an average of 20 different products per month.
“Appearance and image play a central role in both private and professional life. The customers are therefore very demanding and demanding innovations,” adds Business France. “Efficiency remains the main criterion for purchasing, but packaging, fragrances, design and textures are very important. The Koreans are also increasingly turning to organic and natural products, which are considered healthier.”
Market characteristics
Local players are very competitive. There are about 2,000 of them in the territory and two of them, LG Household & Healthcare and AmorePacific alone have a market share of nearly 50%. In fact, 84% of the care available …
