South Korea is not only a prescriber of beauty trends. It is also a country where development prospects are interesting for foreign actors. The France Export Team of Business has reviewed all the specificities of the South Korean market useful to know to set up there.
The South Korean cosmetics sector is the ninth largest in the world and represents 11 billion dollars. Despite a certain maturity, it remains very dynamic and is expected to grow 4.7% per year by 2025.
Tendances
Appearance is very important in South Korea, both in private and professional life. “The clientele is thus very consuming, demanding and asking for efficient solutions and innovation,” comments Business France.
As in many other countries, make-up sales have slowed down due to the pandemic. On the other hand, hygiene products and anti-masknee care are particularly sought after.
Market characteristics
In South Korea, competition is tough and local players are competitive. 45% of the market is held by LG Household & Healthcare and AmorePacific. These two groups are present in all product categories and positions.
Although 84% of the skincare products sold in the country are of Korean origin, the foreign offer still manages to make a place for itself. “Sephora, the world’s largest cosmetics retailer, opened its first store in Korea in October 2019, with a total of 99 brands ranging from affordable to luxury. Since then, the retailer has opened four more stores in Seoul,” Business France adds.
Positioning of the French …
