Korean Beauty Giants' Global Strategy: Luxury in China, Value in US and Japan
Creatrip Team
a year ago
Amorepacific and LG Household & Health Care, two prominent South Korean beauty companies, saw a turnaround in their earnings last year. They adapted by focusing on high-end luxury products in China amidst challenges like the 'Korean Wave Ban' there, while promoting affordable products in North American and Japanese markets. Amorepacific concentrated on luxurious brands like Sulwhasoo in China but sold mid-range products elsewhere. Similarly, LG maintained luxury branding in China with 'The History of Whoo' and targeted younger demographics in the US and Japan with brands like 'The Face Shop.' This strategic rebalancing allowed both companies to improve sales outside of their domestic market. The beauty giants plan to continue expanding globally, prioritizing online channels and region-specific strategies.
