Coupang also holds an offline beauty event
Distribution industry beauty market expansion begins in earnest
Mega Beauty Show Virtual Store’ held by Coupang in Seongsu-dong / Photo = Provided by Coupang”/>
Coupang’s ‘Mega Beauty Show Virtual Store’ held in Seongsu-dong / Photo = Provided by Coupang Coupang’s ‘Mega Beauty Show Virtual Store’ held in Seongsu-dong, Seoul from the 14th to the 17th was sold out within 6 hours after ticket sales began. Reservations for admission are accepted in one-hour increments, but all time slots are sold out. According to Coupang, a total of 60 beauty brands participated in this virtual store, including 6 new brands.
As K-beauty becomes very popular, the distribution industry is expanding its assortment of beauty products. Competition is expected to become increasingly fierce as various distribution channels enter the market where CJ Olive Young was previously strong.
According to the distribution industry on the 19th, Coupang will hold a ‘Mega Beauty Show’ from the 4th to the 24th, where you can see products from popular beauty brands at discounted prices. Brands such as Dr. G, Manyo Factory, and Cell Fusion C are participating and offering products at discounts of up to 70%. Additionally, during the event period, a consumer-participatory beauty experience center was operated at Bacon Art Seongsu in Seongsu-dong, Seoul, a ‘K-beauty mecca’.
Cosmetics corner at E-Mart Traders Wolgye Branch / Photo = Provided by E-mart. E-Mart Traders, a warehouse-type store, is also strengthening its beauty products. Traders introduces at least one new product every month, focusing on basic cosmetics. In particular, the ‘Mediheal Carrot Moisture Calming Pad’ launched last August was very popular, with 9,000 units sold at a 57% lower price than the regular price. In fact, E-Mart Traders’ cosmetics category sales increased 20% from January to October this year compared to the previous year.
E-Mart No Brand also began selling beauty products in 2016, and beauty sales increased by more than 10% from January to October this year. Last July, it launched 5 types of skin care basic line priced at 4,980 won.
Convenience stores are expanding their lineup of cost-effective, small-capacity products. GS25 has launched a series of cosmetics that do not exceed 10,000 won, ranging from the 1,000 won range to the 7,000 won range. CU also released cosmetics priced in the 3,000 won range last September. 7-Eleven opened a beauty specialty store. This store offers over 30 types of travel and basic cosmetics from various K-beauty brands such as Mediheal.
Daiso, a leader in cost-effective small-volume products, is also significantly strengthening its beauty products. Daiso launched new products such as Kundal, Medi-Peel, and Milk Touch on the 13th.
The reason distributors focus on beauty products is because they have great growth potential. The industry’s analysis is that the market has great growth potential due to the increasing interest in skin care, the diversity of products, and products that are not restricted by gender or age. A beauty industry official said, “We often buy a lot of basic cosmetics for skin care because we use them every day. Choosing and buying products that suit your skin type has become a trend.”
The expansion of the beauty market to include men is also driving growth. E-Mart Traders’ men’s cosmetics sales from January to October increased by about 20% compared to the same period last year. In addition, ‘Acnes For Men All-in-One Lotion’, launched by GS25 last September, ranked first in sales in the skin care category, with sales increasing 179% over the past two weeks compared to the first two weeks of launch.
Reporter Ra Hyun-jin raraland@hankyung.com
How is the integration of online and offline shopping experiences expected to evolve in the beauty industry as consumer preferences shift?
Expert 1: Hello, I’m Jane Smith, an e-commerce expert with extensive experience in the beauty industry. How can I assist you today?
Expert 2: Thank you, Jane. I’m pleased to have you here. Let’s start with a discussion about the impact of Coupang’s recent beauty event on the offline beauty market. Coupang’s ‘Mega Beauty Show Virtual Store’, which took place from October 14th to 17th in Seongsu-dong, Seoul, sold out within 6 hours after ticket sales began. This has demonstrated the growing popularity of K-beauty and its influence on the distribution industry’s efforts to expand their beauty product assortment. Could you share your insights on this trend and how it might shape the future of online and offline beauty shopping experiences?
Expert 1: Absolutely! The success of Coupang’s virtual beauty event is a testament to the increasing popularity of K-beauty products globally. Consumers are drawn to South Korea’s unique skincare routines and innovative product offerings, driving demand for a wider variety of beauty brands and products. This trend has led to fiercer competition among distribution channels as they try to capitalize on this growing market. The expansion of online platforms like Coupang and offline spaces like Seongsu-dong’s beauty mecca further highlights the importance of providing consumers with diverse shopping experiences.
As for the future of online and offline beauty shopping, I believe we can expect a hybrid model where both channels complement each other. Physical stores still offer an immersive experience that allows shoppers to touch, try, and ask questions about products. However, e-commerce platforms like Coupang offer convenience and a wider selection of brands from around the world. Integrating these aspects can create a seamless shopping experience for consumers, while also leveraging the strengths of each channel.
Expert 2: That’s an interesting perspective. Moving on, the article also mentions the expansion of beauty products in other distribution channels, such as E-mart and convenience stores. Can you expand on how these retailers are adjusting their strategies to cater to the growing demand for beauty products?
Expert 1:
