dynamic korean wave
DESCRIPTION
In 2013, the Korean beauty market has shown strong growth by 9.1% increase from the last year and its ability to respond quickly to consumer demand through new ingredients and innovative technologies. They have improved their distribution system and restructured the management of their sales channels from traditional stores into specialist retailers for customer convenience and competitive pricing.TRANSCRIPT
The Dynamic Korean Wave
1. BUYING PATTERNS AND SHIFTING TRENDS
there is a growing trend towards so-called “masstige” IN SKINCARE SEGMENT.
‘Get it beauty’ TV program became one of the most influential forces in Korea’s 7-trillion-won cosmetics market.
HOME SHOPPING CHANNEL AND BEAUTY SPECIALIST RETAILERS ARE BECOMING INCREASINGLY IMPORTANT FOR COSMETIC BRANDS.
the direct selling channelwill be more effective FOR super premium products
2. Domestic Cosmetic brands Growth
domestic cosmetic brands tend to quickly introduce new products with similar functionality or ingredients at a much lower price.
Myung-dong is one of the most famous fashion streets, which contains over 100 DOMESTIC beauty specialist retailers.
3. THE RISE OF K-POP WAVE
Korean cosmetics have become so popular outside of Korea.
MISSHAVS.ESTee LAUDER
200,0
00
BOTTLESIN 2 MONTHS
Top 7 BEAUTY BRANDS IN KOREA
Sulwhasoo 1 ETUDE HOUSE
INNISFREE MISSHA3
ETUDE HOUSE The Face Shop4
The Face ShopNature
Republic5
ESTEE LAUDER CHNAEL6
Tony Moly
source: LOTTE DEPARTMENT STORE
INNISFREE7
Tony Moly2
Chinese JAPANESE
MISSHA
MISSHA
RANK
MISSHA PROFIT
2004
50
100
150
200
250
300
Million
2006 2008 2010 2012
Satisfying quality
competitive pricing
Aggressive introduction of Prosumer
CelebrityAd campaign
MISSHA'S Success strategy
The Dynamic Korean Wave